Evidence of meeting #32 for Canadian Heritage in the 40th Parliament, 3rd session. (The original version is on Parliament’s site, as are the minutes.) The winning word was content.
A recording is available from Parliament.
Senior Vice-President, Regulatory and Government Affairs, Bell Canada
Our goal is to distribute as many services as possible so we can be competitive.
Bloc
Senior Vice-President, Regulatory and Government Affairs, Bell Canada
Absolutely, we have hundreds of them.
Senior Vice-President, Regulatory and Government Affairs, Bell Canada
Are you asking whether we have our own?
Senior Vice-President, Regulatory and Government Affairs, Bell Canada
No, we distribute them, but, as a broadcaster, we do not own any specialty services.
Bloc
Carole Lavallée Bloc Saint-Bruno—Saint-Hubert, QC
You wouldn't by any chance be planning to do that in the future, in other words, acquire or establish new specialty channels, would you?
Senior Vice-President, Regulatory and Government Affairs, Bell Canada
We are getting CTV....
Senior Vice-President, Regulatory and Government Affairs, Bell Canada
CTV has a number of specialty channels, including RDS. We will continue to distribute those specialty services.
Senior Vice-President, Regulatory and Government Affairs, Bell Canada
We will own it.
Bloc
Carole Lavallée Bloc Saint-Bruno—Saint-Hubert, QC
Down the road, if another specialty sports channel wants to be distributed by Bell, what will you do? Will you say no because you already have one?
Senior Vice-President, Regulatory and Government Affairs, Bell Canada
No, you should not....
Bloc
Carole Lavallée Bloc Saint-Bruno—Saint-Hubert, QC
If a new specialty channel comes to you with a good idea, for example, to target young 14-year-old girls with acne, will you say thanks but come back in 6 months, and then go ahead and create the channel yourselves? That is the problem with convergence.
Senior Vice-President, Regulatory and Government Affairs, Bell Canada
No, Ms. Lavallée, you should not look....
Senior Vice-President, Regulatory and Government Affairs, Bell Canada
Really, you should not look at this in a negative light. First of all, if consumers, our subscribers, want the channel, we will distribute it. Second of all, if we turn it down to give ourselves an undue advantage, then the CRTC can intervene to rectify the situation. It does it every day.
Conservative
Patrick Brown Conservative Barrie, ON
Thank you, Mr. Chair.
It's a very interesting panel today. I have taken a great interest in this transaction with CTV and Bell.
I come from the community of Barrie, Ontario, where—
Conservative
Patrick Brown Conservative Barrie, ON
Thank you, Dean, it is a great town.
We have the great pleasure of having an A channel. There was a lot of concern in recent years about its long-term sustainability. The community really took it to heart: I saw a petition of 5,000 individuals. I saw a gathering on our waterfront where thousands came out to express their support for our local TV, because that is where people get their news. That is where people get their information on local proceedings and charitable events. It really is part of the core structure of the community.
What confidence do you have in the long-term strength of community stations like the A Channel? When Bell looked at this transaction, did you evaluate whether it was a working model?
I know it's appreciated, I know it's watched, but for some reason I keep hearing stories that they're challenged financially. How can something that's tremendously appreciated and watched be...? Does Bell believe it's something that we can make work?
Senior Vice-President, Regulatory and Government Affairs, Bell Canada
I'll speak first for Bell and then I'll turn it over to Paul, because Paul certainly has more direct experience with the A Channel.
We're buying this asset. As I mentioned earlier to Madame Lavallée, it's the number one media asset in the country, and we're buying it with the full intention that it remain there.
We understand the importance of local TV. We understand that a significant part of what we're buying is local TV. We're going to do everything possible to make sure it succeeds.
As for the A Channel specifically, obviously they're in some financial difficulty, as I understand it. I can't speak now for Bell as to what will happen to the A Channel, but, generally speaking, every business unit has to stand on its own two feet.
With that, I'll turn it over to Paul. He has more direct experience with it.
Executive Vice-President, Corporate Affairs, CTV Inc.
Mr. Brown, you've been a big supporter of your local television station and we certainly appreciate your support on that front.
The A channels, as we know, do struggle. It's not a state secret. They lose money, significant money. We need to find solutions to fix that. One is hopefully value for signal, which could be implemented. We have a benefits proposal that we have to make to the CRTC, where Bell has to spend some money on public benefits. We're hoping that maybe we could direct some of that money into the A channels to help them out in terms of HD production and trying to offset some of the significant losses.
So we have to get creative, with the help of the commission, and internally as well. But the fact remains, they are certainly a troubled asset that we need to find a way to fix sooner rather than later.
