Cogeco Communications

Press release details


Montréal, Québec and Toronto, Ontario (June 5, 2006) - Cogeco Cable Inc., Quebecor
Media Inc, on behalf of its subsidiary Videotron Ltd., and Rogers Communications Inc.
today have filed a joint submission with the CRTC reconfirming support for the May 2005
decision regarding the regulation of voice over internet protocol (VoIP) services. The
submission concludes that the CRTC decision was correct in May 2005 and remains
appropriate today. The original decision took a consistent and pro-competitive approach
to the regulation of telephone services, regardless of the underlying technology.
The original decision to treat VoIP as a telephone service and not simply as a new
technology, continues to make sense today as it did last year. The submission notes the
fact that all industry participants agree that VoIP and traditional local exchange services
offer the same end product in the minds of consumers.
The CRTC's statutory obligations require economic regulation of VoIP given the
significant market power of the incumbent telephone companies in the local telephone
service market. Today, the incumbent telephone companies still control over 92% of the
local residential telephone market.
The incumbent telephone companies are able to offer VoIP services, but not at prices
that are below cost and targeted only to competitors’ hard-won recent customers. The
submission explains that the CRTC has already granted substantial flexibility for
incumbent telephone company VoIP services given their advantaged market position.
By guarding against anti-competitive behaviour at this time, the VoIP decision has
stimulated more investment and innovation in the local telephone market to the benefit of
all Canadians.
This decision and the recent local forbearance decision reflect the CRTC’s intent to
reduce barriers to competition in local telephone service first and then once competition
has become established, deregulate completely according to clear transparent criteria.
This approach has already led to the successful deregulation of over 70% of Canadian
telecommunications markets, placing Canada in a leadership position in the world.
Cogeco Cable ( is the second largest cable operator in both Ontario and
Québec, and ranks fourth in Canada in terms of the number of basic cable service
customers served. Cogeco Cable invests in state-of-the-art broadband network facilities,
delivers a wide range of services over these facilities with great speed and reliability at
attractive prices, and strives to provide both superior customer care and growing
profitability to satisfy its customers’ varied electronic communication needs. Through its
two-way broadband cable infrastructure, Cogeco Cable provides its residential and
commercial customers with analog and digital video and audio services, high-speed
Internet access as well as digital telephony service. The Corporation provides about
1,464,000 revenue-generating units to approximately 1,462,000 households in its
service territory. Cogeco Cable’s subordinate voting shares are listed on the Toronto
Stock Exchange (CCA).
Rogers Communications Inc. (TSX: RCI; NYSE: RG) is a diversified Canadian
communications and media company engaged in three primary lines of business.
Rogers Wireless is Canada's largest wireless voice and data communications services
provider and the country's only carrier operating on the world standard GSM technology
platform. Rogers Cable and Telecom is Canada's largest cable television provider
offering cable television, high-speed Internet access, residential telephony services, and
video retailing, while its Rogers Business Solutions division is a national provider of
voice communications services, data networking, and broadband Internet connectivity to
small, medium and large businesses across the country. Rogers Media is Canada's
premier collection of category leading media assets with businesses in radio and
television broadcasting, televised shopping, publishing and sports entertainment. For
further information about the Rogers group of companies, please visit
Videotron Ltd. (, a wholly owned subsidiary of Quebecor Media Inc.,
is an integrated communications company engaged in cable television, interactive
multimedia development, Internet access services and residential telephone service.
Videotron is a leader in new technologies with its illico interactive television system and
its broadband network, which supports high-speed cable Internet access, analog and
digital cable television, and other services. As of March 31, 2006, Videotron was serving
1,520,000 cable television customers in Québec; including 512,000 illico subscribers.
Videotron is also the Québec leader in high-speed Internet access, with 699,000
subscribers to its cable modem and dial-up services. In addition, Videotron provides
residential telephone service to more than 227,000 customers in Québec.
For more information, contact:
Marie Carrier
Director, Corporate Communications
Cogeco Cable Inc.
Isabelle Dessureault
General Manager, Corporate Affairs and Communications
Videotron Inc.
Jan Innes
Vice President, Communications
Rogers Communications Inc.