Foreign Ownership

The Harper government announced changes in foreign ownership of telecommunications in the Speech from the Throne, March 3, 2010. He said:
“Our Government will open Canada’s doors further to venture capital and to foreign investment in key sectors, including the satellite and telecommunications industries.”

Under the Telecommunications Act, telecom companies must be majority owned and controlled by Canadians. A large minority of foreign investment is allowed, up to a maximum of 46.7%.

This is why we should keep telecom companies in Canadian hands:

Loss of Jobs – Foreign takeovers of Canadian telecom companies will likely lead to a loss of jobs in Canada. For example, if an enormous company like American AT&T took over Bell, why would it duplicate jobs in Canada that could be done from the US?

Reduction of Canadian Content and Culture – Telecom and broadcasting are provided by the same companies with the same technology, so foreign control of telecom threatens our cultural identity. We should keep the ability to tell our own stories, listen to our own music and get our own point of view on the world, rather than provide more opportunities for foreign programming.

Less Protection of Personal Privacy – Canada has more stringent rules about privacy than many other countries. Just to the south, the US Patriot Act allows emails and users’ records across the country to be seized on the order of a judge. If a US company owned and controlled our communications, our privacy laws would be undermined.

Negative Impact on Canadian Security – Telecom is part of our infrastructure, necessary for business, government, essential services and just about everything else. If communications were knocked out by a disaster (such as floods or another ice storm), it would be the first priority of a Canadian company to get our systems back up and running. We will be less secure with, say, an American company that would put American interests first.

Loss of Canadian Sovereignty – The Telecommunications Act ensures that basic telecom services are provided to everyone, including Canadians living in rural and remote regions. We also have public input into decisions about telecom services. This framework is the reason why we got a telephone to every person in the country, and are now trying to do the same for high-speed internet. Foreign-owned and controlled companies won’t be interested in providing service to unprofitable parts of the country. We must keep control of our own telecom services in order to ensure that our needs are served.

Click on the following links to read a presentation regarding Foreign Ownership and Outsourcing in the Telecommunications Industry…

Source: http://www.cep.ca/action/campaigns/foreign-ownership