Government backs telecom regulator’s wholesale policy despite pushback from Bell and Rogers, signaling a shift toward broader internet affordability and provider access
In a move poised to reshape the Canadian telecommunications landscape, the federal government announced it will uphold the Canadian Radio-television and Telecommunications Commission’s (CRTC) landmark decision to expand wholesale access to fibre internet networks. The ruling, which allows major providers like Bell and Rogers to lease their fibre infrastructure to competitors — outside their core operating regions — is being hailed as a major step toward increasing competition and reducing internet costs for Canadians.
The announcement was made Wednesday evening by Industry Minister Melanie Joly, who said the government supports the CRTC’s framework following extensive consultations with telecom experts, the Competition Bureau, and over 300 public submissions.
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CRTC’s Fibre Access Framework Explained
The CRTC’s decision centers on mandatory wholesale access — a policy that requires large telecommunications companies to allow competitors to use their existing fibre-to-the-home (FTTH) networks in exchange for regulated fees. The intention is to level the playing field for smaller or regional internet providers who do not have the resources to build their own fibre infrastructure.
Originally introduced on a limited basis in Ontario and Quebec in May 2024, the rules were expanded nationwide in August 2024. The framework applies only to existing fibre networks; newly built fibre will be protected from wholesale access for five years to ensure investment incentives remain intact.
Federal Government Rejects Appeals from Bell and Rogers
Despite strong opposition from major telecom giants Bell and Rogers — both of which lobbied the federal government to overturn the CRTC ruling — Ottawa has declined to intervene.
“By immediately increasing competition and consumer choice, the CRTC’s decision aims to reduce the cost of high-speed internet for Canadians,” said Minister Joly in her official statement. “It will contribute toward our broader mandate to bring down costs across the board.”
The decision comes just ahead of the August 13 deadline for Ottawa to weigh in on the regulator’s final ruling issued in June 2025.
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Bell and Rogers Warn of Investment Slowdowns
Not surprisingly, the decision has sparked a backlash from Canada’s largest telecom companies. Bell responded to the CRTC’s initial February ruling by slashing $500 million from its investment plans for 2025 and announced it would delay fibre rollouts to 1.5 million locations it had intended to serve this year.
Bell and Rogers argue that the policy discourages infrastructure investment by allowing competitors to “freeload” on costly fibre networks they didn’t build.
Smaller independent ISPs, however, have mixed feelings. While some welcome the opportunity to reach more customers, others worry that the policy still favors larger competitors who have more leverage even in a wholesale arrangement.
Telus Backs the Policy and Expands Services
Telus, Canada’s third-largest telecom provider, has stood apart from Bell and Rogers by openly supporting the wholesale access framework. CEO Darren Entwistle praised the government’s decision, calling it a “landmark ruling that reinforces Canada’s commitment to competition, choice, innovation, and nation-building infrastructure investment.”
Since November 2024, Telus has been offering fibre internet service throughout Ontario and Quebec under the new wholesale model. The company also announced plans to expand into the Atlantic provinces and committed $2 billion over five years to broadband expansion in regions covered by the framework.
What This Means for Internet Prices and Consumers
While it’s still too early to assess the full impact on consumer pricing, the federal government and the CRTC maintain that increased competition should drive down costs and improve service options in underserved areas. Minister Joly emphasized that the decision was rooted in public interest, not just telecom economics.
The CRTC’s June analysis concluded that the wholesale policy would have a “modest” short-term effect on the market share of regional carriers but could improve overall affordability in the long run.
A Turning Point in Canada’s Telecom Industry?
The government’s decision to uphold the CRTC ruling could signal a broader shift in telecom policy — one that puts greater emphasis on consumer affordability and competition rather than solely protecting the investments of legacy providers.
“This decision affirms that public policy in our country is guided by due process, a national diversity of voices, evidence, and the long-term interests of Canadians,” said Entwistle.
As Canadian households face rising living costs, access to affordable and high-quality internet service is increasingly seen as a basic utility — not a luxury. Whether the CRTC’s framework delivers on its promise of lower prices and more choices remains to be seen, but Ottawa’s stance leaves little doubt about the direction the country is heading.
Internet Access May Soon Be More Affordable — But Industry Pushback Isn’t Over Yet
With the federal government siding with the regulator, Canadians could soon benefit from expanded service options and better pricing — particularly in regions that were previously dominated by one or two major providers. But tensions remain high in the telecom sector, and the real test of this policy will be how it plays out on the ground over the coming months and years.
