Following Consumer Rate Hikes, Shaw Threatens TekSavvy with 88% Increase to Internet Cost

Shaw is allegedly attempting to abuse control of key Internet infrastructure to artificially increase Internet prices for Canadians.

Teksavvy CEO Marc Gaudrault posted on DSL Reports claiming that Shaw is trying to force independent ISPs to pay a  88% increase to access Canada’s Internet networks.

The move comes on the heels of Shaw’s unpopular Internet price hikes, which force Shaw subscribers to either pay higher rates or accept slower speeds.  

Vancouver-based OpenMedia sees this as “an attempt to block Canadians from the few affordable alternatives they have,” noting that large incumbent telecom providers like Shaw control 90% of the residential broadband market.

“Canadians should be outraged that Shaw is trying to abuse their power to crank up Internet prices across the board,” says campaigns manager Josh Tabish. “Canadians are already paying some of the highest prices in the industrialized world for service, and speeds have fallen far behind our global counterparts. And this at a time when Shaw’s customers just faced a 10% price hike – after the company reported record profits in the last quarter.”

“This is the type of treatment Canadians can expect until decision-makers at the CRTC change the outdated rules that allow telecom giants to block us from affordable services,” Tabish argues. “Shaw is clearly trying to jack up prices, not just for their customers but everywhere they can.”

Shaw’s proposed 88% rate hike will require approval from the CRTC.