Thank you.
My name is Jean-Philippe Béïque, and I am the CEO of EBOX, the largest alternative telecommunications provider in Quebec.
EBOX provides services to more than 90,000 customers in major markets such as Montreal and Toronto, as well as in areas like Abitibi, where competition is scarce. The area has certainly felt the detrimental impact of the lack of competition. With service-based competitors Videotron and EBOX coming on the scene, retail prices have dropped by as much as half.
According to a Protégez-vous survey, EBOX scored highest in customer satisfaction of all the telecommunications providers.
Our critics like to call us resellers, but we actually invest tens of millions of dollars in our customer experience, transport network and data centres, as well as the in-house development of digital TV software. Those are just some of the many investments we make, proportional to the company's size.
We have spent every day of the past 20-plus years waging a David and Goliath battle. It goes without saying that the competition [Technical difficulty—Editor].
As far as EBOX is concerned, one question is fundamental: How is this deal good for Canadians?
In a market where all but the big players know that Canada ranks low on the service affordability scale, how can we turn to our members of Parliament and genuinely ask for more competition?
Shaw, a $5.4-billion company, claims that, without a merger, it will no longer be competitive. However, Videotron, a $4.3-billion company, is prepared to invest to achieve the same position, without having the benefit of an existing wireline subscriber base in the western markets. What an ironic situation, one that serves the current interests of already powerful business people.
Honourable members, the only real solution is to bring in regulations so that mobile virtual network operators establish market discipline. That model would allow for more than four companies in all the markets.
What we are looking for is not a parasitic presence in the market, but a solution to the competition problem. That means restrictions are needed to prevent the dominant players from using their power, for example, discount brand competitors owned by big companies, which very often price their services close to regulated rates in the hope of choking off the competition. To quote a popular saying, it takes a parasite to know one.
Lastly, you should know that EBOX, like many other companies, has made repeated attempts to become a mobile virtual network operator on commercial terms. Our efforts were unsuccessful; it was even suggested that we merge our activities with those of existing operators. It's unrealistic to think that mere trade negotiations will give rise to serious competition nationwide.
Thank you.