Canada's telecom network operators played a vital role in maintaining economic and social activity in Canada, including investing more in expanding and enhancing critical network infrastructure than their international peers, according to a new report commissioned by the Canadian Wireless Telecommunications Association (CWTA).
PwC estimated that Canada's telecommunications sector contributed $74.9 billion to the national GDP in 2021 and supported over 650,000 Canadian jobs. The study also revealed that Canada's telcos outpaced international peers in capital investments in 2021, investing $21.2 billion in infrastructure and new spectrum licenses to support the country's 5G networks.
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Canadian operators' continued investments in network technologies have played a key role in the expansion of the country's digital economy, the report adds, and have the potential to contribute an incremental $97 billion to Canada's GDP by 2035.
"Canada's telecommunications sector has played a crucial role in maintaining economic and social activity since the beginning of the pandemic, and by investing in critical network infrastructure at levels that exceed that of international peers, the telecom sector will be a key contributor to Canada's post-COVID economic recovery," said Robert Ghiz, president and CEO of CWTA. "These investments are vital to maintaining Canada's status as a world leader in telecommunications and meeting Canada's innovation and economic growth objectives."
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Canada's telecom sector's large investments are delivering positive outcomes for Canadians, including:
- By 2020, there was 99.7% mobile wireless network coverage where Canadians live and conduct business as well as along major transportation roads; the sector is on track to deliver 100% coverage by 2026;
- Based on a quality index that considers speed, availability and video experience, Canada ranks above G7 peers and Australia;
- According to Opensignal, Canada's national operators ranked as Global High Performers for 5G Reach, with only South Korea, Taiwan and Saudi Arabia having as many network operators with as high a ranking;
- Wireline internet access to 100 Mbps and 1 Gbps is available to 87% and 76% of homes, respectively, in Canada, compared to 76% and 51% of homes in EU countries;
- Continued sector investments in 2021, directly and through partnerships with the government, are further closing the rural/urban divide.
Canadian internet access plan prices are also trending below inflation, decreasing 1.7% year-over-year from June 2021 to June 2022.
