[dftimes]

Three months following the notification of price increases on mobile plans by Rogers and Bell to some of their customers, the CEOs of these companies, along with the CEO of Telus, appeared before the House of Commons industry committee to elucidate their decisions.

MP Francesco Sorbara criticized Rogers' increases, which could go up to $9/month for some customers, as "tone-deaf."

Rogers CEO Tony Staffieri informed MPs that one reason for the price changes earlier in the year was to provide customers on legacy plans without contracts with more "choice."

"The customers could... migrate to a plan that offered them the best value for their circumstances," Staffieri explained. "That was our primary concern."

The CEO defended the hike, asserting that it only affected a "small percentage" of customers, with the average increase being $5.

Bell CEO Mirko Bibic avoided directly answering whether customers could expect similar Home internet plans price hikes, and Telus CEO Darren Entwistle declined to discuss specifics regarding competitors.

What Bibic and Entwistle didn’t disclose was that both companies had implemented their own versions of price increases. Some Bell customers experienced a $6/month increase, and Telus recently raised the price of a plan introduced by its flanker brand Koodo during the holiday season by $6/month.

All three CEOs affirmed that prices for mobile services had decreased. They repeatedly referred to data from Statistics Canada showing a 50 percent decline in wireless prices over the past five years.

However, many MPs questioned why Canadians weren't seeing this decrease reflected in their bills, a question the witnesses adeptly avoided addressing.

Entwistle offered the most comprehensive explanation, suggesting that the industry has failed to effectively communicate the "value" and "cost of services" it provides to Canadians.

Factors contributing to the pricing discrepancy include increased data usage and the types of devices being used. Although Entwistle didn't specify, he noted that the industry doesn't control device economics, stating, "We are price takers, not price makers on that front."

MPs also touched on the availability of 5G connectivity from the companies' flanker brands.

For instance, Rogers-owned Fido doesn't offer 5G services, while Bell-owned Virgin Plus and Telus-owned Koodo do, albeit with limitations on plans.

MP Ryan Williams inquired about what was preventing Fido from offering 5G services; Staffieri didn't directly address the question, instead asserting that Canada has "very robust and healthy competition."