[Advisors] Re: [BCC-list] Competitors blast exclusive Telus deal

James Van Leeuwen jvl at ventus.ca
Tue, 13 Mar 2012 12:47:18 -0600


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Senior government in Canada is paralyzed for lack of effective strategic =
capacity. This will not change under Harper.=20

The most glaring symptom of the condition is that we still don't have a =
national digital strategy.


Provincial 'strategies' are being developed around incumbents as we now =
see in BC.

The Government of New Brunswick has done a much better job of leveraging =
Bell Alliant, but it's a different company from Telus or Bell... more =
progressive and strategic.

The Government of Saskatchewan has handed the ballgame to SaskTel (at =
least it's crown owned).=20

The Government of Alberta built the SuperNet, then walked away from it =
to let market forces drive last-mile solutions for rural communities.

Mobility operators are steadily gobbling up the juiciest markets and =
leaving WISPs to fight over the scraps.


The upshot of all this is that digital governance in Canada is =
developing at the community level, and this trend will strengthen.

It will become a key issue by the next federal election, and it will =
cast the Conservatives in an awkward light.

Their hands-off policy of less intervention in Canada's telecom industry =
will finally be challenged as a liability to Canada's strategic =
positioning in the global economy.


What else is there to say when wholesale bandwidth costs in the U.S. are =
less than 10% of ours?

Or when retail bandwidth costs are less than 1% of ours?

=
http://arstechnica.com/tech-policy/news/2012/02/gigabit-internet-for-80-th=
e-unlikely-success-of-californias-sonicnet.ars?utm_source=3DArs+Technica+N=
ewsletter&utm_campaign=3D2ab84ded98-September_02_2011_Newsletter&utm_mediu=
m=3Demail

The trend in the U.S. is now towards greater government and regulatory =
intervention in the telecom industry, because of strategic objectives =
and political pressure from grass roots.

Some recent commentary in Bloomberg from a highly respected source:

=
http://www.bloomberg.com/news/2012-02-15/the-case-for-publicly-owned-inter=
net-service-commentary-by-susan-crawford.html


Canada is being left behind for lack of effective strategic leadership.=20=


This is what happens after two consecutive generations of easy =
prosperity based on exporting natural resources.=20

We've grown dangerously complacent.=20

As an Albertan with strong ties to the oil and gas industry, Harper =
could be the worst possible leader for our times.=20

He and most other western political leaders are banking on Alberta's oil =
riches to carry the Canadian economy under a business-as-usual scenario, =
i.e., rip it and ship it.=20

What do you think they care about more... oil pipelines or data =
pipelines?


For now, there is only one solution for meaningful progress, and that is =
community governance and (ideally) regional collaboration.

Here is what it looks like in Eastern Ontario:

www.eorn.ca


JvL

=93Never doubt that a small group of thoughtful, committed citizens can =
change the world; indeed, it's the only thing that ever has.=94 [Mead]

On 2012-03-13, at 9:15 AM, Garth Graham wrote:

> FYI.  If those of you using broadband for community development have =
been feeling a bit lonely after the latest Telus Agreement, some strange =
allies may have just showed up!
>=20
>> Rob Shaw. Competitors blast exclusive Telus deal: In world of =
technology, 10 years is a 'lifetime,' Rogers tells government. Times =
Colonist March 13, 2012
>> Read more: =
http://www.timescolonist.com/news/Competitors+blast+exclusive+Telus+deal/6=
293115/story.html#ixzz1p0NZzXu4
>>=20
>> Canada's biggest telecommunications companies have blasted the B.C. =
government for a $1-billion deal with Telus Corp. that they say is =
unfair and won't give taxpayers the best value for money.
>>=20
>> Shaw Communications Inc., Bell Canada, Rogers Communications Inc. and =
five regional communications companies sharply criticized the government =
for signing a 10-year deal with Telus to provide long-distance, voice, =
data and cellular services to the provincial government, six regional =
health authorities and four Crown corporations.
>>=20
>> The province announced its intention to contract with Telus last June =
and moved ahead with the deal despite the opposition, according to =
documents the government released publicly on the weekend.
>>=20
>> Rogers went so far as to hire an Ottawa-based international trade =
lawyer, who wrote the deal was "a flawed process that borders on abuse."
>>=20
>> "In the world of technology, 10 years is a lifetime, and it is hard =
to fathom how the government can anticipate their future =
telecommunications needs and expect to meet them through one company," =
wrote Rogers senior-vice-president David Miller in an accompanying =
letter.
>>=20
>> "And the issue of price is paramount - how, with a sole-source =
contract, can the government effectively benchmark the prices that it =
obtains from Telus?"
>>=20
>> The companies took particular aim at the process.
>>=20
>> B.C. had been looking to secure a new wireless contract since 2008. =
It put out a request for proposals on nine service bundles and said =
Telus won all nine. The government then expanded the scope of the deal =
to include rural service improvements and announced a direct contract in =
2011 under the rationale that only Telus could meet the province's =
stated needs.
>>=20
>> Telus promised to upgrade high-speed Internet connections to 450 =
schools - 79 on Vancouver Island - expand cell coverage to dead zones, =
such as the highway from Port Alberni to Tofino, and boost Internet =
bandwidth in 119 communities.
>>=20
>> The other companies weren't aware they could put together offers on =
expanded services and were excluded from making such bids, Bell Canada =
complained in its letter. B.C. "violated its obligation to keep the =
tendering process fair and equitable" with the deal, wrote Mario =
Belanger, senior vice-president of sales.
>>=20
>> Shaw noted "technology has evolved significantly and price structures =
changed dramatically" in the time it took the government to sign its =
Telus deal.
>>=20
>> The government has said it stands to save as much as $400 million =
over the 10-year-deal by bundling all its services with Telus, which is =
also creating an $80-million improvement fund.
>>=20
>> "None of [the companies] were able to do it better, faster or cheaper =
than Telus could do," said Labour, Citizens' Services and Open =
Government Minister Margaret MacDiarmid. MacDiarmid said the contract =
contains clauses allowing the province to cancel the deal.
>>=20
>> NDP critic Doug Routley said it's another example of the Liberal =
government changing its own procurement rules when it is convenient.
>>=20
>> Rogers and Shaw declined to comment. Bell did not respond to a =
request for comment.
>>=20
>> rshaw@timescolonist.com
>>=20
>> =A9 Copyright (c) The Victoria Times Colonist
>> Read more: =
http://www.timescolonist.com/news/Competitors+blast+exclusive+Telus+deal/6=
293115/story.html#ixzz1p0NwobRE
>=20
> My own question about this particular  "market-based" approach to =
broadband infrastructure development in BC isn't about procurement rules =
or bid process.  It's  this - in a digital economy, if you "outsource" =
to the private sector all of the capacity in government to understand =
the uses of networked connectivity for the electronic delivery of =
government services, who is left to meet  government's inherent =
responsibility to link connectivity and community development?  My =
experience with government practices of using outsourcing to downsize =
itself, for example in health, social services or environmental =
regulation, is that the people who understand the public policy =
dimensions of that sector are then let go, and government effectiveness =
as an actor in the sector disappears.  Less government almost always =
results in less effective governance, leaving the little guys and the =
big guys to sort it out on their own.
>=20
> I'm not rejecting public-private partnerships where the capacity of =
governments to exercise their responsibility to balance the system of =
services remains intact.  But it remains my own faith that societies =
that recognize the importance of community in the structure of a digital =
economy will do far better at adapting to it than those who do not.  For =
the next ten years, because of a political priority to downsize =
government by outsourcing network services for the electronic delivery =
of government services, Telus now owns essential components of BC =
capacity to address the uses of ICTs for development =96 community =
development online.  Bottom line is that Telus now dominates the =
transport channels for the networked delivery of government services. =
Long term, the question I think needs to be asked is =96 do we want them =
the dominate governance?  Who elected them?
>=20
> GG
> =3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=
=3D=3D=3D=3D=3D
> For list archives and subscription/unsubscription settings visit:
> =
http://vancouvercommunity.net/lists/info/broadbandcommunitychampions-list
>=20
> To Unsubscribe from this list :
> Send an email to SYMPA@vancouvercommunity.net with the subject line as =
follows:
> UNSUBSCRIBE broadbandcommunitychampions-list
>=20


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<html><head></head><body style=3D"word-wrap: break-word; =
-webkit-nbsp-mode: space; -webkit-line-break: after-white-space; =
"><div><br></div><div>Senior government in Canada is paralyzed for lack =
of effective strategic capacity. This will not change under =
Harper.&nbsp;</div><div><br></div><div>The most glaring symptom of the =
condition&nbsp;is that we still don't have a national digital =
strategy.</div><div><br></div><div><br></div><div>Provincial =
'strategies' are being developed around incumbents as we now see in =
BC.</div><div><br></div><div>The Government of New Brunswick has done a =
much better job of leveraging Bell Alliant, but it's a different company =
from Telus or Bell... more progressive and =
strategic.</div><div><br></div><div>The Government of Saskatchewan has =
handed the ballgame to SaskTel (at least it's crown =
owned).&nbsp;</div><div><br></div><div>The Government of =
Alberta&nbsp;built the SuperNet, then walked away from it to let market =
forces drive last-mile solutions for rural =
communities.</div><div><br></div><div>Mobility operators are steadily =
gobbling up the juiciest markets and leaving WISPs to fight over the =
scraps.</div><div><br></div><div><br></div><div>The upshot of all this =
is that digital governance in Canada is developing at the community =
level, and this trend will strengthen.</div><div><br></div><div>It will =
become a key issue by the next federal election, and it will cast the =
Conservatives in an awkward light.</div><div><br></div><div>Their =
hands-off policy of less intervention in Canada's telecom industry will =
finally be challenged as a liability to Canada's strategic positioning =
in the global economy.</div><div><br></div><div><br></div><div>What else =
is there to say when wholesale bandwidth costs in the U.S. are less than =
10% of ours?</div><div><br></div><div>Or when retail bandwidth costs are =
less than 1% of ours?</div><div><br></div><div><a =
href=3D"http://arstechnica.com/tech-policy/news/2012/02/gigabit-internet-f=
or-80-the-unlikely-success-of-californias-sonicnet.ars?utm_source=3DArs+Te=
chnica+Newsletter&amp;utm_campaign=3D2ab84ded98-September_02_2011_Newslett=
er&amp;utm_medium=3Demail">http://arstechnica.com/tech-policy/news/2012/02=
/gigabit-internet-for-80-the-unlikely-success-of-californias-sonicnet.ars?=
utm_source=3DArs+Technica+Newsletter&amp;utm_campaign=3D2ab84ded98-Septemb=
er_02_2011_Newsletter&amp;utm_medium=3Demail</a></div><div><br></div><div>=
The trend in the U.S. is now towards greater government and regulatory =
intervention in the telecom industry, because of strategic objectives =
and political pressure from grass roots.</div><div><br></div><div>Some =
recent commentary in Bloomberg from a highly respected =
source:</div><div><br></div><div><a =
href=3D"http://www.bloomberg.com/news/2012-02-15/the-case-for-publicly-own=
ed-internet-service-commentary-by-susan-crawford.html">http://www.bloomber=
g.com/news/2012-02-15/the-case-for-publicly-owned-internet-service-comment=
ary-by-susan-crawford.html</a></div><div><br></div><div><br></div><div>Can=
ada is being left behind for lack of effective strategic =
leadership.&nbsp;</div><div><br></div><div>This is what happens after =
two consecutive generations of easy prosperity based on exporting =
natural resources.&nbsp;</div><div><br></div><div>We've grown =
dangerously complacent.&nbsp;</div><div><br></div><div>As an Albertan =
with strong ties to the oil and gas industry, Harper could be the worst =
possible leader for our times.&nbsp;</div><div><br></div><div>He and =
most other western political leaders are banking on Alberta's oil riches =
to carry the Canadian economy under a business-as-usual scenario, i.e., =
rip it and ship it.&nbsp;</div><div><br></div><div>What do you think =
they care about more...&nbsp;oil pipelines or data =
pipelines?</div><div><br></div><div><br></div><div>For now, there is =
only one solution for meaningful progress, and that is community =
governance and (ideally) regional =
collaboration.</div><div><br></div><div>Here is what it looks like in =
Eastern Ontario:</div><div><br></div><div><a =
href=3D"http://www.eorn.ca/">www.eorn.ca</a></div><div><br></div><div><br>=
</div><div>JvL</div><div><br></div><div><font class=3D"sqq"><i>=93Never =
doubt that a small group of thoughtful, committed citizens can change =
the world; indeed, it's the only thing that ever has.=94 =
[Mead]</i></font></div><div><br></div><div><div>On 2012-03-13, at 9:15 =
AM, Garth Graham wrote:</div><br =
class=3D"Apple-interchange-newline"><blockquote type=3D"cite"><div>FYI. =
&nbsp;If those of you using broadband for community development have =
been feeling a bit lonely after the latest Telus Agreement, some strange =
allies may have just showed up!<br><br><blockquote type=3D"cite">Rob =
Shaw. Competitors blast exclusive Telus deal: In world of technology, 10 =
years is a 'lifetime,' Rogers tells government. Times Colonist March 13, =
2012<br></blockquote><blockquote type=3D"cite">Read more: <a =
href=3D"http://www.timescolonist.com/news/Competitors+blast+exclusive+Telu=
s+deal/6293115/story.html#ixzz1p0NZzXu4">http://www.timescolonist.com/news=
/Competitors+blast+exclusive+Telus+deal/6293115/story.html#ixzz1p0NZzXu4</=
a><br></blockquote><blockquote type=3D"cite"><br></blockquote><blockquote =
type=3D"cite">Canada's biggest telecommunications companies have blasted =
the B.C. government for a $1-billion deal with Telus Corp. that they say =
is unfair and won't give taxpayers the best value for =
money.<br></blockquote><blockquote =
type=3D"cite"><br></blockquote><blockquote type=3D"cite">Shaw =
Communications Inc., Bell Canada, Rogers Communications Inc. and five =
regional communications companies sharply criticized the government for =
signing a 10-year deal with Telus to provide long-distance, voice, data =
and cellular services to the provincial government, six regional health =
authorities and four Crown corporations.<br></blockquote><blockquote =
type=3D"cite"><br></blockquote><blockquote type=3D"cite">The province =
announced its intention to contract with Telus last June and moved ahead =
with the deal despite the opposition, according to documents the =
government released publicly on the weekend.<br></blockquote><blockquote =
type=3D"cite"><br></blockquote><blockquote type=3D"cite">Rogers went so =
far as to hire an Ottawa-based international trade lawyer, who wrote the =
deal was "a flawed process that borders on =
abuse."<br></blockquote><blockquote =
type=3D"cite"><br></blockquote><blockquote type=3D"cite">"In the world =
of technology, 10 years is a lifetime, and it is hard to fathom how the =
government can anticipate their future telecommunications needs and =
expect to meet them through one company," wrote Rogers =
senior-vice-president David Miller in an accompanying =
letter.<br></blockquote><blockquote =
type=3D"cite"><br></blockquote><blockquote type=3D"cite">"And the issue =
of price is paramount - how, with a sole-source contract, can the =
government effectively benchmark the prices that it obtains from =
Telus?"<br></blockquote><blockquote =
type=3D"cite"><br></blockquote><blockquote type=3D"cite">The companies =
took particular aim at the process.<br></blockquote><blockquote =
type=3D"cite"><br></blockquote><blockquote type=3D"cite">B.C. had been =
looking to secure a new wireless contract since 2008. It put out a =
request for proposals on nine service bundles and said Telus won all =
nine. The government then expanded the scope of the deal to include =
rural service improvements and announced a direct contract in 2011 under =
the rationale that only Telus could meet the province's stated =
needs.<br></blockquote><blockquote =
type=3D"cite"><br></blockquote><blockquote type=3D"cite">Telus promised =
to upgrade high-speed Internet connections to 450 schools - 79 on =
Vancouver Island - expand cell coverage to dead zones, such as the =
highway from Port Alberni to Tofino, and boost Internet bandwidth in 119 =
communities.<br></blockquote><blockquote =
type=3D"cite"><br></blockquote><blockquote type=3D"cite">The other =
companies weren't aware they could put together offers on expanded =
services and were excluded from making such bids, Bell Canada complained =
in its letter. B.C. "violated its obligation to keep the tendering =
process fair and equitable" with the deal, wrote Mario Belanger, senior =
vice-president of sales.<br></blockquote><blockquote =
type=3D"cite"><br></blockquote><blockquote type=3D"cite">Shaw noted =
"technology has evolved significantly and price structures changed =
dramatically" in the time it took the government to sign its Telus =
deal.<br></blockquote><blockquote =
type=3D"cite"><br></blockquote><blockquote type=3D"cite">The government =
has said it stands to save as much as $400 million over the 10-year-deal =
by bundling all its services with Telus, which is also creating an =
$80-million improvement fund.<br></blockquote><blockquote =
type=3D"cite"><br></blockquote><blockquote type=3D"cite">"None of [the =
companies] were able to do it better, faster or cheaper than Telus could =
do," said Labour, Citizens' Services and Open Government Minister =
Margaret MacDiarmid. MacDiarmid said the contract contains clauses =
allowing the province to cancel the deal.<br></blockquote><blockquote =
type=3D"cite"><br></blockquote><blockquote type=3D"cite">NDP critic Doug =
Routley said it's another example of the Liberal government changing its =
own procurement rules when it is convenient.<br></blockquote><blockquote =
type=3D"cite"><br></blockquote><blockquote type=3D"cite">Rogers and Shaw =
declined to comment. Bell did not respond to a request for =
comment.<br></blockquote><blockquote =
type=3D"cite"><br></blockquote><blockquote type=3D"cite"><a =
href=3D"mailto:rshaw@timescolonist.com">rshaw@timescolonist.com</a><br></b=
lockquote><blockquote type=3D"cite"><br></blockquote><blockquote =
type=3D"cite">=A9 Copyright (c) The Victoria Times =
Colonist<br></blockquote><blockquote type=3D"cite">Read more: <a =
href=3D"http://www.timescolonist.com/news/Competitors+blast+exclusive+Telu=
s+deal/6293115/story.html#ixzz1p0NwobRE">http://www.timescolonist.com/news=
/Competitors+blast+exclusive+Telus+deal/6293115/story.html#ixzz1p0NwobRE</=
a><br></blockquote><br>My own question about this particular =
&nbsp;"market-based" approach to broadband infrastructure development in =
BC isn't about procurement rules or bid process. &nbsp;It's &nbsp;this - =
in a digital economy, if you "outsource" to the private sector all of =
the capacity in government to understand the uses of networked =
connectivity for the electronic delivery of government services, who is =
left to meet &nbsp;government's inherent responsibility to link =
connectivity and community development? &nbsp;My experience with =
government practices of using outsourcing to downsize itself, for =
example in health, social services or environmental regulation, is that =
the people who understand the public policy dimensions of that sector =
are then let go, and government effectiveness as an actor in the sector =
disappears. &nbsp;Less government almost always results in less =
effective governance, leaving the little guys and the big guys to sort =
it out on their own.<br><br>I'm not rejecting public-private =
partnerships where the capacity of governments to exercise their =
responsibility to balance the system of services remains intact. =
&nbsp;But it remains my own faith that societies that recognize the =
importance of community in the structure of a digital economy will do =
far better at adapting to it than those who do not. &nbsp;For the next =
ten years, because of a political priority to downsize government by =
outsourcing network services for the electronic delivery of government =
services, Telus now owns essential components of BC capacity to address =
the uses of ICTs for development =96 community development online. =
&nbsp;Bottom line is that Telus now dominates the transport channels for =
the networked delivery of government services. Long term, the question I =
think needs to be asked is =96 do we want them the dominate governance? =
&nbsp;Who elected =
them?<br><br>GG<br>=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=
=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D<br>For list archives and =
subscription/unsubscription settings visit:<br> <a =
href=3D"http://vancouvercommunity.net/lists/info/broadbandcommunitychampio=
ns-list">http://vancouvercommunity.net/lists/info/broadbandcommunitychampi=
ons-list</a><br><br>To Unsubscribe from this list :<br>Send an email to =
<a =
href=3D"mailto:SYMPA@vancouvercommunity.net">SYMPA@vancouvercommunity.net<=
/a> with the subject line as follows:<br> UNSUBSCRIBE =
broadbandcommunitychampions-list<br><br></div></blockquote></div><br></bod=
y></html>=

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