Building a Strong Canada: Why Telecommunications is a National Strategic Priority

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Robert Ghiz, Canadian Telecommunications Association President & CEO

***Check Against Delivery***

2025 Canadian Telecom Summit: Keynote

June 3, 2025

I. Opening: Setting the Vision

Good afternoon everyone. Thank you for being here today. It’s an honour to speak with you about a subject that is not only timely—but vital to the future of our country.

Canada stands at a crossroads—facing global uncertainty, economic transformation, and a once-in-a-generation opportunity to build a stronger, more independent, and resilient nation.

Our new Prime Minister has recognized this moment. The federal government is now focused on a bold mandate: to build a stronger, more self-reliant Canada—one that can thrive in a rapidly changing world.

But to realize this vision, we must look beyond the traditional pillars of nation-building. We must recognize telecommunications not just as infrastructure—but as a national strategic priority.

II. The Strategic Role of Telecommunications

Let’s begin with the facts. Telecommunications is already a cornerstone of our economy. As we heard during today’s lunchtime keynote discussion, the telecom sector contributed over $87.3 billion to Canada’s GDP in 2024 alone. It also supported over 661,000 jobs across industries last year—from software developers and network engineers to logistics managers and healthcare professionals.

But the impact goes far beyond numbers.

For consumers, the benefits are tangible. Canadians today enjoy broader coverage, faster speeds, and—despite popular perception—steadily declining prices. Between 2020 and 2024, the lowest average monthly price of a 10GB mobile plan dropped by $41, a 65% decrease adjusted for inflation, while the price of a 50GB mobile plan fell by $84 a month, a 72.5% decrease adjusted for inflation. In fact, Canadian mobile wireless national brand and main flanker plans are typically cheaper than those offered by their U.S. counterparts. The same is true for home internet, where over the same period the lowest average cost of a 50/10 megabits-per-second plan fell by almost 40% on an inflation adjusted basis, and the price of a blazing-fast gigabit connection fell by over 45%.

Telecom providers are also putting more control into the hands of consumers by launching innovative services such as digital only brands, intuitive customer apps that simplify account management, and testing tools that help customers measure the performance of their service. These offerings clearly demonstrate that it is market competition—not regulation—that drives companies to outdo one another in delivering exceptional customer service and innovative solutions.

But telecommunications is more than just a provider of consumer connectivity. It is more than phones and data plans. It is economic infrastructure—as vital to Canada as roads, railways, and ports.

Of the $87.3 billion in direct GDP contribution, $57.2 billion came from productivity gains across other sectors. That’s not just telecom doing well—it’s telecom making everyone else better, more efficient, more productive. It powers remote work, digital commerce, telehealth, online education, and smart logistics. It enables the modernization of traditional industries like mining and oil & gas. It provides the digital backbone for public safety, first responders, and our military and national defense. But this is just the beginning.

As government and the private sector work to strengthen the national economy, telecommunications will become an even more critical enabler of growth and increased productivity.

Let me give you a concrete example: Canada’s trade corridors. The Canadian government has outlined a comprehensive plan to enhance and modernize Canada’s trade corridors. This includes increasing trade flow in and out of Canada, enhancing resilience to climate change, adapting to new technologies, and addressing the needs of the Artic and northern communities. This goal cannot be realized without continued investment in our nation’s telecommunications infrastructure.

Telecommunications networks are the invisible engine behind our ports, railways, and logistics hubs. They enable:

  • Real-time communication between shippers, carriers, customs, and port authorities.
  • Data sharing and tracking of cargo, ensuring timely and efficient movement of goods.
  • Optimized operations, reducing delays and managing traffic flow.
  • Rapid response to disruptions, from weather events to cyber threats.
  • Innovation, through GPS tracking, automated systems, and secure digital transactions.

In short, without robust and enhanced telecom infrastructure, our trade corridors—and our economy—would grind to a halt.

III. The Investment Challenge

But here’s the challenge: building, maintaining, and enhancing telecom infrastructure is capital-intensive. This is particularly so in Canada, where our vast geography and difficult terrain make building more expensive than many other countries.

In 2024, Canadian telecom companies invested 18% of their revenue into capital expenditures—a higher rate than their counterparts in the U.S., U.K., and Australia. That’s a testament to their commitment, but also the challenges that they face.

At the same time, regulatory complexity has increased. As PwC notes in its report released this morning, since 2007, Canada has fallen 19 spots in the World Bank’s Ease of Doing Business Index.

And while demand for data and connectivity continues to rise, service plan prices have steadily declined, and revenue growth has slowed. Prices are falling, but the cost of building is rising. This is putting pressure on the sector’s capacity to invest in expanding and enhancing their networks.

IV. The Risks of Underinvestment

If we fail to act, the consequences of underinvestment will be severe.

First, without continuing to build and enhance telecom infrastructure, Canadian businesses will find it more difficult to adopt digital tools, automate operations, and compete globally. Foreign investors and companies will look elsewhere.

Second, rural, remote, and Indigenous communities risk being left behind—cut off from education, healthcare, and economic opportunity. This isn’t just a connectivity issue—it’s a question of equity and national unity.

Third, our national security becomes vulnerable. In regions like the Arctic, where sovereignty and security are paramount, inadequate telecom infrastructure means slower response times, weaker coordination, and exploitable gaps in our defense.

Fourth, Canada risks losing technical sovereignty. As global powers race ahead in 5G, AI, and quantum computing, Canada risks becoming a passive consumer—dependent on foreign technologies and suppliers. That’s not just a tech issue—it’s a sovereignty issue.

Finally, Canada becomes less attractive for capital. If investors see Canada as a high-risk, low-return market, they will take their capital elsewhere. And once that capital leaves, it’s hard to get it back.

In short, underinvestment isn’t just a missed opportunity—it’s a strategic liability.

V. A Call to Action for Policymakers

So, what must we do?

First, we must recognize telecommunications as strategic infrastructure—and include it in our national economic and industrial strategies.

Second, we need a regulatory framework that encourages long-term investment. That means creating stable, predictable policies that reduce regulatory uncertainty, reward infrastructure buildout, and support innovation over the long term.

Third, we must incentivize investment. This includes:

  • Continuing to support public-private partnerships.
  • Offering tax incentives that encourage building, such as continuing the accelerated capital cost incentive.
  • Eliminating or significantly reducing annual spectrum license fees.

We pay amongst the highest spectrum auction fees in the world; this is capital that could have been spent on building. Why are we further diverting capital away from building by charging high annual spectrum license fees?

We should also identify and eliminate outdated regulations. This is what the U.S. Federal Communications Commission is doing with its recently launched “Delete Delete Delete” consultation — an initiative to identify and eliminate outdated regulations that hinder investment and innovation.

And last, but not least, we should reject policies that encourage the largest telecom providers in Canada to become resellers instead of builders. Canada has world-class networks because of the long-standing recognition that facilities-based competition provides the strongest incentives for investment and innovation, while also delivering positive outcomes for consumers.

Quite simply, Bell, Rogers, TELUS and their affiliates should not be permitted to take advantage of mandated wholesale high speed access (HSA) anywhere in the country over any technology. Instead, they should be encouraged to do what they have always done well, continue to build, expand and enhance their networks.

VI. Closing: A Connected Future

Let me close with this: A stronger Canada is a connected Canada—productive, independent, and ready for the future. We have the talent. We have the technology. We have the vision. Now, we need the will.

As Prime Minister Carney has said, it is time to build again. To build a new Canadian economy. To build more than anyone can take away from us. To build a strong Canada.

To do this, we must continue to invest in the communications networks that will carry our economy, our communities, and our country forward.

Let’s build a Canada that is not only connected—but bound together by a shared ambition and purpose.

Thank you.