U.S. study confirms Canada a global leader in wireless value

CWTA News Release March 2, 2020 FN

Ranks first in wireless value proposition among G7 nations and Australia

OTTAWA, Ontario; March 2, 2020 – A new study released today shows that Canada’s wireless industry offers the highest value proposition among G7 nations and Australia.

The study – titled A Comparison of the Mobile Wireless Value Proposition, commissioned by U.S. industry association, CTIA, and conducted by NERA Economic Consulting – was designed to show how the U.S. compares against international peers when it comes to the value mobile wireless users receive upon purchase and use of wireless services.

“This report confirms what many Canadians already know to be true: That the value offered by our mobile wireless industry is unmatched among its peers, ahead of even the United States,” said Robert Ghiz, CWTA President and CEO. “At a time when Canadian policymakers are considering important regulatory issues, this study shows the importance of relying on sound data when analyzing the state of competitiveness in the mobile wireless industry and the need to encourage ongoing investment in Canada’s world-class wireless infrastructure. This is even more crucial now, when our industry is at the early stages of 5G deployment in Canada.”

The study examined a total of 1,554 rate plans of 213 mobile operators in the 36 countries of the Organization for Economic Co-operation and Development (OECD), and, in addition to price, took into consideration everything from plan characteristics, network quality, and country attributes.

Based on all of those factors, it showed that prices in Canada are approximately 4.7 percent lower than the average price that other G7 countries and Australia would charge for the same value proposition.

“The goal of this study was to provide a much more robust and meaningful comparison than the one- dimensional and oft-criticized comparison models cited by others,” said Eric Smith, CWTA Senior Vice- President. “It looked at competitive differentiators beyond price – such as service allowances and quality – as well as country attributes such as size, rate of urbanization, and labour rates, all of which affect the cost of building wireless networks. And it proved that when you take into consideration all of those factors, Canada’s wireless service providers provide ‘more bang for the buck’.”

The study also ranked Canada number one among “Leading Democracies”, identified as Canada, U.S., Germany, Austria, New Zealand, United Kingdom, Ireland, Netherlands and Australia.

“This is not a study that was commissioned here in Canada, which makes the findings all the more impressive,” added Ghiz. “Even American studies are now clearly showing that our country is providing better value to our customers than our international peers.”

About CWTA

CWTA is the authority on wireless issues, developments and trends in Canada. It represents companies that provide services and products across the wireless sector. Representing the industry before all levels of government and various regulatory agencies, CWTA actively promotes the industry with the goal of ensuring continued growth of the wireless sector in Canada. CWTA administers a number of initiatives on behalf of its members, including corporate social responsibility programs and the national common short codes program.

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