Mediacheck

In Global Digital Economy, Canada Lags

Compared to peers, our digital policy is about as advanced as dial-up. Why not upgrade?

By Michael Geist, 29 Nov 2011, TheTyee.ca

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Still waiting on a national digital policy strategy.

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Earlier this month, Industry Minister Christian Paradis held a press conference to launch the Digital Technology Adoption Pilot Program, which will provide $80 million to small- and medium-sized businesses to integrate digital technologies. Paradis described the program as an important component of the government's digital economy strategy.

While the program may create some useful incentives for technology adoption, it was Paradis' reference to a digital economy strategy that attracted the attention of policy watchers. The digital economy strategy has emerged as the government's "Penske File," the source of considerable discussion and much "work," but thus far few tangible results (for non-Seinfeld watchers, the Penske file has become synonymous for a non-existent work project).

Most of Canada's trading partners have had digital economy strategies in place for years, using the policies to set goals for connectivity, guide investments in networks and digital infrastructure, as well as establish legal frameworks to provide privacy protection and enhance consumer confidence in electronic commerce.

Canada has lagged behind with no real policy direction. In May 2010, then-industry minister Tony Clement conducted a national consultation on the issue, yet 18 months later, there is still no strategy in sight. There has admittedly been an election and a cabinet shuffle, but as Canada dithers, other countries move ahead with a broad range of initiatives.

A world of innovation

Countries such as Japan, Germany, and Australia have all established ambitious targets for broadband connectivity, employing a mix of public dollars and regulatory incentives with the goal of establishing universal access to affordable, fast connectivity. The Canadian Radio-television and Telecommunications Commission has set a target of universal access to 5 Mbps broadband by 2015, but a report last week indicated that hundreds of thousands of Canadian households currently only have access to much slower speeds.

In the United States, the Federal Communications Commission recently teamed up with cable and technology companies to launch Connect-to-Compete, which promises to bring computers and Internet access to low-income households. The program includes a commitment from the cable companies to offer $10 per month broadband Internet access to homes with children that are eligible for free school lunches. Moreover, Microsoft has committed to offering low-cost personal computers and Morgan Stanley has pledged to develop a microfinance lending program for community-based financial institutions.

Digital strategies are not limited to fostering greater Internet access. In Europe, the European Commission recently adopted a recommendation on digitization that will lead to investing billions in digitization initiatives. The strategy includes a plan to make 30 million works freely available online as well as develop legal frameworks to facilitate greater access to online materials.

Ireland has focused on copyright reform as a means to jumpstart its digital economy. Unlike Canada, which has emphasized restrictive digital locks, Richard Bruton, the Irish Minister for Jobs, Enterprise and Innovation, has promised to remove barriers to digital innovation by considering greater copyright flexibility through the adoption of a fair use provision.

The net effect of these initiatives is that other countries have stopped talking about digital economy strategies and actually introduced and implemented them. In Canada, the opposite is true.

Plans for the forthcoming spectrum auction, which holds the promise of injecting new competition into the wireless and mobile broadband markets, remains shrouded in secrecy. Legislative initiatives such as new privacy rules are stuck in neutral in the House of Commons. Anti-spam laws are in limbo as the government may cave to lobbying pressure to water down tough new penalties.

Few would dispute the need for a national digital economy strategy, yet in the spirit of Seinfeld, the Canadian approach appears to have turned the matter into a strategy about nothing.  [Tyee]

5  Comments:

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  • rantnic

    25 weeks ago

    Regulate and profit

    With the CRTC restricting licenses, the big 4 have only profit to be made. Offer up some real competition and watch better service at better prices become the normal. With government control, comes the lobby for profit by the big fish who want to keep the pond small. Too bad for us that it's our pond being controlled by our own government. We should know better.

  • packrat2

    25 weeks ago

    destroy!

    mike, these guys are conservatives. The BEST they can do is destroy, not build.

    Give them a system where they could steal from every subscriber

    (whose web feed is now a web-site, due to some fortuitous accident. (Yes, it's a VERY easy fix.))

    and the cherry-picking would commence.

    not that they could control the hubs that would arise... santizing sites would empty.

    packrat

  • cyberclark

    25 weeks ago

    Harper's spin on things.

    I just have to say it! When we had a very brief blip for the better in our economy, Harper was taking bows across the map and internationally saying all good things that has happened was because of his good management and his great party.

    Now, the worm has turned and we do not hear a peep out of him!

  • freewilly

    25 weeks ago

    Access to hi-speed

    Access to hi-speed Internet is hugely unfair. We live in a small rural village where our ISP pays telus for bandwidth and sells the service to us. While folks in the city can download and upload an almost unlimited amount of information, we are extremely limited to how much bandwith we can use without being penalized heavily.
    I can accept having to pay, even 40% more than customers in the lowermainland but I can't accept the meager amounts of band width we are limited to, and the slow speeds we are getting. Because of our dismal local economy, some of us work via the internet and depend on it, maybe more so than folks in the city. Its unfair for the whole community and an economy that needs to remake itself.
    I'm not going to blame telus or our ISP, just that some strict guidelines for internet equity should have been written a long time ago.
    It would be nice if there were competing ISPs but they dont exist for folks in the outback.

  • OwlRol

    24 weeks ago

    High speed access a piece of the problem

    Access to high speed could be a huge chunk of development income for many of our more remote communities, assuming they have power and hardware (not some old 386) and decreasing cost, higher capability software, to present their valuable work to the world. The potential is huge, the path is difficult.

    Big telecom lobbying and conservative fear of loss of control have surely put us far back in this rapidly changing field of endeavour, even behind some less developed nations.

    But then, despite respected banking and fiscal management (originated with Liberal finance minister, Paul Martin), Canada is surely becoming less relevant and prone to ignoring, besides a source of fossil fuels, in the world's eyes. What a bunch of dinks.

    That's the image developing in S. America, Africa, Europe, the middle and far east and Australia. Trade and use their resources, but otherwise ignore them.

    This only makes the wonderful potential of our more remote communities less palatable to others, despite their curiosity and desire to connect with us.

    CRTC and other internet decisions are only a small piece of the problem as a chunk of government policy.