ARCHIVED - Telecom Order CRTC 2010-313

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Ottawa, 27 May 2010

Videotron Ltd. - Destandardization of certain third-party Internet access services

File number: Tariff Notice 31

1.        The Commission received an application by Quebecor Media Inc., on behalf of its affiliate Videotron Ltd. (Videotron), dated 1 March 2010, in which the company proposed to destandardize its current Extreme High-Speed and Extreme Plus High-Speed third-party Internet access (TPIA) services.

2.        Videotron submitted that, as of the date of its application, it no longer offers Extreme High-Speed and Extreme Plus High-Speed services to its new retail end-users. Videotron argued that these services were rendered irrelevant in the marketplace due to the improved speed, performance, allowed data consumption, and overall attractiveness of its regular High-Speed service and its new Ultimate Speed 30 and 50 services.

3.        Videotron submitted that its existing retail end-users for Extreme High-Speed and Extreme Plus High-Speed services are being grandfathered, and thus are not being required to convert to other service offerings. It also submitted that it is grandfathering these services for its existing TPIA end-users on the same terms as its own retail customers.

4.         Videotron's application was given interim approval in Telecom Order 2010-139.

5.        The Commission received comments from Cronomagic Canada Inc. (Cronomagic). The public record of this proceeding, which closed on 14 April 2010, is available on the Commission's website at www.crtc.gc.ca under “Public Proceedings” or by using the file number provided above.

Should the Commission approve Videotron's destandardization request?

6.        Cronomagic requested that the Commission deny Videotron's request to destandardize these services as the majority of its clients subscribe to Extreme High-Speed service. Cronomagic noted that it was heavily promoting the use of Extreme High-Speed service through promotions and advertising.

7.        In reply, Videotron indicated that, in addition to the services being grandfathered for existing customers, other high-speed Internet access services substitutes, such as Ultimate Speed 30 and 50, are available to wholesale customers including Cronomagic.

8.         The Commission notes that Videotron stopped offering the Extreme High-Speed and Extreme Plus High-Speed services in question to its new retail end-users effective 1 March 2010, but that existing retail and wholesale end-users are being grandfathered, and thus are not required to convert to other service offerings.

9.        The Commission notes that Videotron has notified customers that the services in question will no longer be offered to new end-users and that the services will be grandfathered for its existing end-users. The Commission considers that there are other reasonable substitutes to Extreme High-Speed and Extreme Plus High-Speed services.

10.    In light of the above, the Commission considers that Videotron has met the requirements for destandardization consistent with Telecom Decision 2008-22. Accordingly, the Commission approves on a final basis Videotron's application to destandardize its Extreme High-Speed and Extreme Plus High-Speed services to new TPIA end-users, effective the date of this order.

Secretary General

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