The minimum monthly price for a smartphone plan with 20GB in Canada is the highest in the world, according to a new report from analyst firm Rewheel Research.
The report outlines that Canada has among the highest wireless prices in the world. It reveals that Canadians pay seven times more every month than consumers in France for 20GB.
“Like many other independent research studies (e.g., Wall, FCC, OECD), we have consistently shown the last five years that Canada has among the highest monthly/gigabyte prices,” the report states. “The root cause of the high Canadian wireless prices is the fact that the Canadian wireless market is a de-facto network duopoly.”
Rewheel Research notes that the proposed merger between Rogers and Shaw would likely significantly impede competition in the Canadian wireless market and result in higher prices and consumer harm.
The analytics firm outlines that remedies for this situation must remove both short-term and long-term competition concerns. It notes that effective remedies must focus on the creation of new mobile network operators, which could be possible through the divestment of spectrum and mobile network assets to domestic or foreign-owned interested parties.
Other remedies include “time-limited national-roaming/wholesale access obligations at internationally benchmarked competitive data rates.”
The report also outlines that Canadians pay the 6th highest prices for plans with 5GB and the 7th highest prices for plans with 10GB. Further, prices for plans with 15GB in Canada are the third highest.
Rewheel Research compiled this report by analyzing plans sold by 179 mobile network operators, 93 operator sub-brands and 64 MVNOs that were present in the 51 European, American, Asia Pacific, Middle East and African countries included in the report.
Canadian carriers included in the report were Rogers, Bell, Telus, Freedom, Fido, Chatr, Phonebox, Lucky Mobile, Virgin Mobile, Koodo Mobile and Shaw Mobile.
Image credit: Rewheel Research
Source: Rewheel Research
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