Canada Worse than 3rd World Countries when it comes to Mobile Data Access

Travesty of Canadian Mobile Carriers

The motto of the CRTC, Canada’s telcom regulator is “Communications in the Public Interest”. Right.

If you live in Canada, write to your MP. The CRTC, as an institution, needs to be taken out and shot.*

This chart charts the best rates available from all carriers. And all levels of government say that “ICT” competitiveness is key factor in Canada’s future economic
prosperity. Ya. Right. I would like to say that Canada is a 3rd world country when it comes to Mobile ICT, except you can clearly see from this chart that even *Rwanda* has orders of magnitude better Mobile Data service than Canada.

As I’ve noted in the chart, 500MB is about 100 minutes of usage at a Canadian Carrier’s maximum (advertised) download speed of 700kB/s (your mileage will vary, International carriers are typically twice or four times faster). 500MB is not a lot of data in the grand scheme of things, a few GB could make a better example but in that case the red bars would be completely off the charts.

If you don’t live in Canada but you or your small business depends on mobile connectivity or net neutrality in general, don’t come here.

If see these numbers makes you mad, then Digg this article and spread the word on your site.

(and leave a comment, what is mobile service like where you live? why do you think mobile data is important?)

Here is the complete data table including data speed and Caps for each of the services listed. You’ll notice Canadian carriers lag substantially in every category.

see also on this blog: Bell to charge you $3600 per hour for Wireless Internet access. (the situation has not changed in a while)

supporting links:
www.vodafone.co.nz/pricing_plans/broadband.jsp?st=ourserv…
www.t-mobile.com/shop/plans/default.aspx
powervision.sprint.com/mobilebroadband/plans/index.html
www.terracom.rw/services/internet/evdo/pricing.php
www.telstra.com.au/business/products/internetanddata/mobi…
www.telusmobility.com/on/business_solutions/connect_megab…
www.bell.ca/shop/en_CA_AB/Sme.Sol.Wireless.Internet.Plans…
www.fido.ca/portal/en/domore/options.shtml
www.shoprogers.com/business/wireless/plans_services/busin…

*not literally of course, we are Canadian after all. (the CRTC is the Canadian regulator for radio, television, and telecomumnications). Here’s the Canadian Telecommunications Act that governs the CRTC. I like parts 7 a, b and c.

UPDATE May 2010: While the situation (and competition) has improved significantly in Canada since this post was first published, according to OECD data Canadians still pay among the highest cell phone bills in the world.

UPDATE December2007: For ongoing and more up to date coverage of the Canadian wireless industry, data rates, carriers, spectrum auctions, and mobile startups, I recommend WirelessNorth.ca

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303 Responses to Canada Worse than 3rd World Countries when it comes to Mobile Data Access

  1. Pingback: Remarkk! » Canada Worse than 3rd World Countries when it comes to Mobile Data Access

  2. Zac says:

    I’d like to see more information about this, it could be quite interesting. I live in Ontario and work for a medium business where our employees are constantly on the move. I would have thought that data-access over cellular networks would have been important to them, but none of them seem to care.

    It’s somewhat ironic, in a sense. Canada can be quick to take on new technologies [such as debit transactions… it was years before the US decided to go for that] and slower for others. This, however, screams a supply/demand question.

    I know in our case, the use of the blackberry has totally overridden any interest in data-carrying services from the telecos. I’d like to know more about the statistics, such as of a poll of all cellular users would actually use data services. I wouldn’t’ be surprised if it was a very small percentage.

  3. Zac says:

    I’d like to see more information about this, it could be quite interesting. I live in Ontario and work for a medium business where our employees are constantly on the move. I would have thought that data-access over cellular networks would have been important to them, but none of them seem to care.

    It’s somewhat ironic, in a sense. Canada can be quick to take on new technologies [such as debit transactions… it was years before the US decided to go for that] and slower for others. This, however, screams a supply/demand question.

    I know in our case, the use of the blackberry has totally overridden any interest in data-carrying services from the telecos. I’d like to know more about the statistics, such as of a poll of all cellular users would actually use data services. I wouldn’t’ be surprised if it was a very small percentage.

  4. Dan McEwan says:

    I absolutely agree with the majority of your assessment, however you have forgotten the highly limited Inukshuk network. I was part of the initial Fido test group and while pre-WiMax, the transfer rates hovered around 2.0mpbs and the cost was roughly $40 a month for something like 25gb of download.

  5. Dan McEwan says:

    I absolutely agree with the majority of your assessment, however you have forgotten the highly limited Inukshuk network. I was part of the initial Fido test group and while pre-WiMax, the transfer rates hovered around 2.0mpbs and the cost was roughly $40 a month for something like 25gb of download.

  6. Mike says:

    You think those rates are crazy – you should see what these crooks charge you for data when you are “roaming” in the US. It’s ridiculous.

  7. Mike says:

    You think those rates are crazy – you should see what these crooks charge you for data when you are “roaming” in the US. It’s ridiculous.

  8. John Edgar says:

    This fine and dandy, however if I am to present it to my MP, I’d prefer there was a little more information/detail regarding social implications, cause and effect. Would you consider beefing up the story a bit?

  9. M Freitas says:

    The Vodafone New Zealand data is actually even cheaper. You can get a 1GB (gigabyte) plan for $49/month or $59/month for 2GB.

  10. M Freitas says:

    The Vodafone New Zealand data is actually even cheaper. You can get a 1GB (gigabyte) plan for $49/month or $59/month for 2GB.

  11. Pingback: Mauricio Freitas

  12. Pingback: Off Topic :: How much is your data?

  13. Billco says:

    Yep, Canada’s wired internet is quite decent (except for Rogers), but our wireless is still in the dark ages. There is great demand for fast and cheap wireless internet access, but no one’s stepping up to provide it because the current system is far too profitable. Just surfing a few web sites on a mobile device, for example looking up movie showtimes or gas prices, ends up being a 3 or 4 dollar affair for less than 2 minutes of light surfing. Do it a few times a week and you’ll easily double your bill for the month. It’s pretty sad when telecoms charge more than hookers.

  14. Billco says:

    Yep, Canada’s wired internet is quite decent (except for Rogers), but our wireless is still in the dark ages. There is great demand for fast and cheap wireless internet access, but no one’s stepping up to provide it because the current system is far too profitable. Just surfing a few web sites on a mobile device, for example looking up movie showtimes or gas prices, ends up being a 3 or 4 dollar affair for less than 2 minutes of light surfing. Do it a few times a week and you’ll easily double your bill for the month. It’s pretty sad when telecoms charge more than hookers.

  15. Pingback: Jason M. Hanley » Blog Archive » Canada Worse than 3rd World Countries when it comes to Mobile Data Access

  16. Brad says:

    I completely agree with this article. I was just charged almost $40 for going over my 2MB limit in a month by 1.2MB.

    I was just testing things out and thought I would sign up for a data plan with Rogers, so I pay $5 for 2MB data transfer in a month and my first bill I sent no email or anything, but I had to FTP 1 file that was 3.2 MB on my PPC Phone…so I went over my 2MB limit by the 1.2MB… and the charge was almost $40!!

    I couldn’t believe it, what an absolute rip off…so I did what most people would do…canceled my data plan and will NEVER get a data plan with Rogers or any other Canadian plan until they get their acts together! I mean I have friends in the US that paid $20/month for unlimited and I get a $40 for 1.2MB? CRAZY

  17. Brad says:

    I completely agree with this article. I was just charged almost $40 for going over my 2MB limit in a month by 1.2MB.

    I was just testing things out and thought I would sign up for a data plan with Rogers, so I pay $5 for 2MB data transfer in a month and my first bill I sent no email or anything, but I had to FTP 1 file that was 3.2 MB on my PPC Phone…so I went over my 2MB limit by the 1.2MB… and the charge was almost $40!!

    I couldn’t believe it, what an absolute rip off…so I did what most people would do…canceled my data plan and will NEVER get a data plan with Rogers or any other Canadian plan until they get their acts together! I mean I have friends in the US that paid $20/month for unlimited and I get a $40 for 1.2MB? CRAZY

  18. Derek Froese says:

    I live in BC, Canada, and I have a data package added to my cell plan with Bell Canada. unlimited internet usage and 75 text messages cost me $10/month in additino to my plan fees… just unlimited internet would be an extra $7 to my plan. I’m not really sure which plan costs $850, but mine costs me $10… … …

  19. Toxickiwi says:

    Check out – Vodem fees catch out unwary

    http://www.stuff.co.nz/4012139a11275.html

  20. Derek Froese says:

    I live in BC, Canada, and I have a data package added to my cell plan with Bell Canada. unlimited internet usage and 75 text messages cost me $10/month in additino to my plan fees… just unlimited internet would be an extra $7 to my plan. I’m not really sure which plan costs $850, but mine costs me $10… … …

  21. Toxickiwi says:

    Check out – Vodem fees catch out unwary

    http://www.stuff.co.nz/4012139a11275.html

  22. Anonymous says:

    I actually have the $50/unlimited Internet access add-on that Fido used to offer.

    Last summer, a few months after they stopped offering it, Fido sent me a bill with the unlimited add-on removed. The bill was over $6,000!

    Thankfully when I complained that they’d removed the unlimited package they put it back on and credited my account.

    Thank goodness for grandparenting! And with the new UTMS support through Rogers I can even stream shoutcast streams. Evil, I know. 🙂

  23. Anonymous says:

    I actually have the $50/unlimited Internet access add-on that Fido used to offer.

    Last summer, a few months after they stopped offering it, Fido sent me a bill with the unlimited add-on removed. The bill was over $6,000!

    Thankfully when I complained that they’d removed the unlimited package they put it back on and credited my account.

    Thank goodness for grandparenting! And with the new UTMS support through Rogers I can even stream shoutcast streams. Evil, I know. 🙂

  24. Sinzen says:

    This is exactly what is stopping me from getting a Moto Q and such. I want cheaper data rates before I sign up as I know I’ll be using it through out the day and to it’s fullest.

    No wonder we can’t get face to face video conversations on our mobiles over here.

    If any bigwig is reading this I say Chop the Rates and forget the Debate! Bring Canada into today’s world in terms of data rates!

  25. Sinzen says:

    This is exactly what is stopping me from getting a Moto Q and such. I want cheaper data rates before I sign up as I know I’ll be using it through out the day and to it’s fullest.

    No wonder we can’t get face to face video conversations on our mobiles over here.

    If any bigwig is reading this I say Chop the Rates and forget the Debate! Bring Canada into today’s world in terms of data rates!

  26. Mousing! says:

    note: I do alot of work in Africa (Zambia, Malawi, Kenya) and Asia (Philippines, Thailand) — and it costs us 2x the amount to send a SMS message via Telus through most of the Bulk SMS dealers (clickatell, etc). Check out the rates — and then ask yourself why from Canada does it cost me 2x the amount to send a SMS message to Canada compared to Kenya or the Philippines! Scam!

  27. Steve Wight says:

    THANK YOU!
    More people need to know this and know how cheated us (as Canadians) are!
    Have these mobile carriers ever heard of Opportunity Cost?
    Lower the rates and more people will hop on, make it a higher volume product and cheaper to produce. (someone correct me if I’m wrong and this doesn’t scale to data, although I don’t see why not)
    We need to protest for consumer rights more in this country and get things moving.
    Make the customer right again.

  28. Mousing! says:

    note: I do alot of work in Africa (Zambia, Malawi, Kenya) and Asia (Philippines, Thailand) — and it costs us 2x the amount to send a SMS message via Telus through most of the Bulk SMS dealers (clickatell, etc). Check out the rates — and then ask yourself why from Canada does it cost me 2x the amount to send a SMS message to Canada compared to Kenya or the Philippines! Scam!

  29. Steve Wight says:

    THANK YOU!
    More people need to know this and know how cheated us (as Canadians) are!
    Have these mobile carriers ever heard of Opportunity Cost?
    Lower the rates and more people will hop on, make it a higher volume product and cheaper to produce. (someone correct me if I’m wrong and this doesn’t scale to data, although I don’t see why not)
    We need to protest for consumer rights more in this country and get things moving.
    Make the customer right again.

  30. aj says:

    I live in NYC and my data plan options are outstanding, although the company with the best network (Verizon) is also the most expensive, but that is to be expected.

  31. aj says:

    I live in NYC and my data plan options are outstanding, although the company with the best network (Verizon) is also the most expensive, but that is to be expected.

  32. raiseaglass says:

    Canada is home to two large, competing 1x/EVDO CDMA networks, soon to go Rev A, so speed is not the issue so much as price. Price remains prohibitively high due to the geography and population density. In a country much larger than the US and a population roughly 1/10th the size, and very spread out, it is extremely expensive to roll out infrastructure for a high speed network and provide adequate coverage. Telus and Bell Mobility are both at approx $100 for 250 MB. The demand for more than this is low across Canada except in major cities (which in Canada is anywhere with population >1 or 2 million, which is few). In these cities the proliferation of publicly accessible WiFi is widespread so I don’t think you’re going to see major changes in cellular data pricing in Canada anytime soon.

  33. raiseaglass says:

    Canada is home to two large, competing 1x/EVDO CDMA networks, soon to go Rev A, so speed is not the issue so much as price. Price remains prohibitively high due to the geography and population density. In a country much larger than the US and a population roughly 1/10th the size, and very spread out, it is extremely expensive to roll out infrastructure for a high speed network and provide adequate coverage. Telus and Bell Mobility are both at approx $100 for 250 MB. The demand for more than this is low across Canada except in major cities (which in Canada is anywhere with population >1 or 2 million, which is few). In these cities the proliferation of publicly accessible WiFi is widespread so I don’t think you’re going to see major changes in cellular data pricing in Canada anytime soon.

  34. Lee Wipper says:

    Why would the companies in Canada do anything different, there are only 3 wireless carriers, Rogers bought Fido when Microcell started the Fido City Plan (all you can eat phone for $45) The other 2, Telus & Bell which share infrastructure, so the argument can be made that there are only 2 carriers. Rogers key to success is to operate in a regulated market and lobby. Canada is a country where the citizenry gravitates towards protectionism and government regulation, people need to wake up and realize that the Canadian government regulators are so asleep at the wheel, the interest of Canadian consumers is the last thing on their minds. I live in Canada, but I have an active Cingular / AT&T account as Rogers roaming charges are crazy, calling from Kingston to Toronto is considered long distance, however with Cingular I can call San Diego from Kingston and that is included in my calling package. For data I hear T-Mobile is the way to go for around $70 US / Month you can get unlimited data worldwide. It is a sad commentary on the state of Canada’s wireless providers that for robust mobile services the answer is to obtain an account from a carrier in the United States that has a deal to use Bell’s or Rogers’ networks at a price you could not come close to with one of those carriers native Canadian plans.

  35. Lee Wipper says:

    Why would the companies in Canada do anything different, there are only 3 wireless carriers, Rogers bought Fido when Microcell started the Fido City Plan (all you can eat phone for $45) The other 2, Telus & Bell which share infrastructure, so the argument can be made that there are only 2 carriers. Rogers key to success is to operate in a regulated market and lobby. Canada is a country where the citizenry gravitates towards protectionism and government regulation, people need to wake up and realize that the Canadian government regulators are so asleep at the wheel, the interest of Canadian consumers is the last thing on their minds. I live in Canada, but I have an active Cingular / AT&T account as Rogers roaming charges are crazy, calling from Kingston to Toronto is considered long distance, however with Cingular I can call San Diego from Kingston and that is included in my calling package. For data I hear T-Mobile is the way to go for around $70 US / Month you can get unlimited data worldwide. It is a sad commentary on the state of Canada’s wireless providers that for robust mobile services the answer is to obtain an account from a carrier in the United States that has a deal to use Bell’s or Rogers’ networks at a price you could not come close to with one of those carriers native Canadian plans.

  36. Nick Vocal says:

    Keep in mind that Canada JUST got number portability. The competition in the marketplace caused the rates to go down quite a bit in other countries when it came in.

    Canadians do need to fight back; our cost of doing business is massive when compared.

  37. Nick Vocal says:

    Keep in mind that Canada JUST got number portability. The competition in the marketplace caused the rates to go down quite a bit in other countries when it came in.

    Canadians do need to fight back; our cost of doing business is massive when compared.

  38. Chad Poirier says:

    This is not shocking. The CRTC is known (at least to those I’ve discussed it with) as a bureaucratic organization created mostly to benefit the producers and distributers, not the consumers, of content. This has been only ramped up in recent years, and you hear guys like Cory Doctorow speaking up about it and making predictions all the time.

    Social implications, John? As (someone who seems like) a reasonable person, are they that hard to see? The basic framework for the argument as I see it is:

    Everyone being able to access and use the same services via their cellphone for a low fee = good. Why? Because the field’s more fun when everyone can play.

    Only certain people being able to afford and use said services because of their high price = bad.

    If the cost of these services is inordinately expensive and thus out of reach of Joe Blow, Jane Doe, or whoever, then I consider that to be a bad thing.

    I just think that in the digital age, we can take steps to eliminate the mentality of haves/have nots and make these services available to people who need or would like to use them, and not just the people who have the money to foot the bill.

    If they can make something happen in Rwanda, we can make it happen in Canada.

  39. Chad Poirier says:

    This is not shocking. The CRTC is known (at least to those I’ve discussed it with) as a bureaucratic organization created mostly to benefit the producers and distributers, not the consumers, of content. This has been only ramped up in recent years, and you hear guys like Cory Doctorow speaking up about it and making predictions all the time.

    Social implications, John? As (someone who seems like) a reasonable person, are they that hard to see? The basic framework for the argument as I see it is:

    Everyone being able to access and use the same services via their cellphone for a low fee = good. Why? Because the field’s more fun when everyone can play.

    Only certain people being able to afford and use said services because of their high price = bad.

    If the cost of these services is inordinately expensive and thus out of reach of Joe Blow, Jane Doe, or whoever, then I consider that to be a bad thing.

    I just think that in the digital age, we can take steps to eliminate the mentality of haves/have nots and make these services available to people who need or would like to use them, and not just the people who have the money to foot the bill.

    If they can make something happen in Rwanda, we can make it happen in Canada.

  40. Ken says:

    I don’t believe wireless rates are regulated by the CRTC in Canada, though. The rates are determined by the carriers, of which there are really only three now (Telus, Bell, Rogers) since Fido was bought out by Rogers and Virgin Mobile is running on the Rogers network as well.

    Having said that, I think we’ll see a dynamic shift in this market space over the year or two in Canada. All three wireless carriers have local broadband internet access available, and I expect we’ll see bundling of the wireless data services with those local services (in the interest of protecting their incumbent territories).

  41. Ken says:

    I don’t believe wireless rates are regulated by the CRTC in Canada, though. The rates are determined by the carriers, of which there are really only three now (Telus, Bell, Rogers) since Fido was bought out by Rogers and Virgin Mobile is running on the Rogers network as well.

    Having said that, I think we’ll see a dynamic shift in this market space over the year or two in Canada. All three wireless carriers have local broadband internet access available, and I expect we’ll see bundling of the wireless data services with those local services (in the interest of protecting their incumbent territories).

  42. tim says:

    You didn’t mention Aliant Mobility (Bell’s partner in Atlantic Canada).

    To transfer 500 MB of data (non-mobile browser) costs $200.

    http://productsandservice.aliant.net/PS/ns/english/productsandservices/ps_2.jsp?section=26&subsection=5&bodycont=productsandservices%2fcellular5.jsp&curbody=26

  43. tim says:

    You didn’t mention Aliant Mobility (Bell’s partner in Atlantic Canada).

    To transfer 500 MB of data (non-mobile browser) costs $200.

    http://productsandservice.aliant.net/PS/ns/english/productsandservices/ps_2.jsp?section=26&subsection=5&bodycont=productsandservices%2fcellular5.jsp&curbody=26

  44. RYAN BELL says:

    CANADA IS A RIP OFFFFFFFF!!!!!!!! WHEN it comes to mobile data or Cell phones!!!

    Learn from the 3rd world countries how to Price Service!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

  45. RYAN BELL says:

    CANADA IS A RIP OFFFFFFFF!!!!!!!! WHEN it comes to mobile data or Cell phones!!!

    Learn from the 3rd world countries how to Price Service!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

  46. David says:

    On a similar note, WIFI hotspots can also be pretty damn expensive. If you’re with Rogers, you can pay quite a bit for WIFI. If you’re with FIDO, it can be cheaper.
    http://www.fido.ca/portal/en/domore/hotspot.shtml
    http://www.shoprogers.com/business/wireless/plans_services/hotspot.asp

    For Fido, if you’re sipping a cup of coffee at a Second Cup and just want to check your email, an $8 charge is mighty expensive. The only way to justify Fido’s payment plan is to get the monthly and just live in the coffee shop and kill your home plan. At least you’ll have more bandwidth..

    It’s getting so expensive to communicate in Canada. Broadband download/upload bandwidths seem to be getting smaller and smaller too..
    http://www.bell.ca/shopping/PrsShpInt_Int_Chart_Dsl.page

  47. David says:

    On a similar note, WIFI hotspots can also be pretty damn expensive. If you’re with Rogers, you can pay quite a bit for WIFI. If you’re with FIDO, it can be cheaper.
    http://www.fido.ca/portal/en/domore/hotspot.shtml
    http://www.shoprogers.com/business/wireless/plans_services/hotspot.asp

    For Fido, if you’re sipping a cup of coffee at a Second Cup and just want to check your email, an $8 charge is mighty expensive. The only way to justify Fido’s payment plan is to get the monthly and just live in the coffee shop and kill your home plan. At least you’ll have more bandwidth..

    It’s getting so expensive to communicate in Canada. Broadband download/upload bandwidths seem to be getting smaller and smaller too..
    http://www.bell.ca/shopping/PrsShpInt_Int_Chart_Dsl.page

  48. Pingback: Canada falls behind Rwanda

  49. Apollo says:

    Rogers has added a new data plan with the launch of its HSDPA network that is $210 for 500 MB. Not $1600. I can’t imagine trying to use 500 MB of data on the EDGE network (unless you’re using a PC card or something). It’s just not fast enough. Perhaps with HSDPA it’s possible.

    I have 50 MB of data on my BlackBerry plan and have yet to crack the 2 MB mark. I use the mobile browser a fair bit, too. For the most part the data plans that are offered are quite sufficient. I just happened to go overboard with mine.

    To #11 (Brad), you should have been informed when you signed up for your data plan how much data usage was included. If you know you have 2 MB, you know what the cost per KB is and you know you want to download a 3.2 MB file, you should not be surprised by your bill. I would NEVER download such a large file over the mobile internet, even though I have a tonne of data usage to spare. I have always used bluetooth or IR, which are completely free. If you really NEEDED that 3.2 MB file then it was worth it to spend $40 to get it.

  50. Apollo says:

    Rogers has added a new data plan with the launch of its HSDPA network that is $210 for 500 MB. Not $1600. I can’t imagine trying to use 500 MB of data on the EDGE network (unless you’re using a PC card or something). It’s just not fast enough. Perhaps with HSDPA it’s possible.

    I have 50 MB of data on my BlackBerry plan and have yet to crack the 2 MB mark. I use the mobile browser a fair bit, too. For the most part the data plans that are offered are quite sufficient. I just happened to go overboard with mine.

    To #11 (Brad), you should have been informed when you signed up for your data plan how much data usage was included. If you know you have 2 MB, you know what the cost per KB is and you know you want to download a 3.2 MB file, you should not be surprised by your bill. I would NEVER download such a large file over the mobile internet, even though I have a tonne of data usage to spare. I have always used bluetooth or IR, which are completely free. If you really NEEDED that 3.2 MB file then it was worth it to spend $40 to get it.

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