The Big Three

Bell, Rogers, and Telus control approximately 90% of Canadas wireless market. This oligopoly has created a situation where Canadian consumers pay some of the highest cell phone rates in the developed world. The average Canadian pays over $70 monthly for cell service that costs half that in comparable countries.

Why Prices Stay High

The lack of competition means no real pressure to lower prices. When one of the Big Three raises rates, the others typically follow. New entrants face massive barriers: spectrum auctions where incumbents outbid everyone, infrastructure costs that favor established players, and regulatory requirements that are easier for large corporations to meet.

Regional carriers like Videotron and SaskTel offer some competition but lack national coverage. MVNOs (mobile virtual network operators) that could theoretically offer lower prices by leasing network capacity are kept marginal by wholesale rates set by the incumbents.

Government Response

Successive governments have promised to address high telecom prices with limited results. The CRTC has mandated some price reductions for basic plans, but these are often insufficient for modern data needs. Political will to truly challenge the oligopoly seems lacking.

For Gen Z, this means budgeting significantly more for connectivity than peers in other countries. It also means accepting that affordable unlimited data plans โ€” common elsewhere โ€” remain a luxury in Canada.

What You Can Do

Shop around, use price matching, consider prepaid plans, and take advantage of promotions. The small carriers that do exist often offer better deals, even if coverage is slightly reduced. Every dollar not going to the Big Three is a small victory for competition.