CTA Study Provides Evidence that Telco Regulation Has Achieved Objectives

Research evidence excerpt

CTA Study Provides Evidence that Telco Regulation Has Achieved Objectives

TD SECURITIES INC. - CANADA QUICK TAKE: INDUSTRY UPDATE

May 21, 2026

■Communications CTA Study Provides Evidence that Telco

Regulation Has Achieved Objectives

Vince Valentini, CFA^ THE TD COWEN INSIGHT

416 944 7012

We believe the stats from this study (LINK to study) show clear evidence that telecom

vince.valentini@tdsecurities.com

regulation has already achieved its stated objective (if not beyond the objective), so that

Natale Puccia, CFA^ incremental moves by government or the CRTC are unnecessary. Pricing in Canada is already

416 983 6399 below other peer nations for consumers interested in shopping around.

natale.puccia@tdsecurities.com

Carter Sullivan, CPA^ The regulatory environment has already caused a reduction in privately funded infrastructure

416 983 3954 investments, which could have helped Canada's economy and competitiveness in the future.

carter.sullivan@tdsecurities.com

Event: The CTA released a study conducted by PwC regarding the Canadian telecom sector

and the impacts enabled by sustained private investment.

Impact: NEUTRAL

The study highlights the importance of telecom networks as critical infrastructure

underpinning many aspects of society, and as assets of strategic importance with regard to

Canada's digital sovereignty.

It has been well noted that consumer affordability gains have been broad based and

meaningful for all consumers. The study notes that between January 2020 and February

2026, wireless CPI declined 45.5% while wireline CPI declined 3.1%, in stark contrast to the

material increases seen in shelter, food and transportation costs over the same time period.

Figure 1 outlines the cost of entry level wireline and wireless plans as a share of household