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Telecommunication Infrastructure in Canada
Telecommunications Industry
Canada’s government is helping the Telecommunications Industry reach
national and international recognition by laying groundwork to help the
nation’s communication equipment suppliers. By giving tax credits to the
private sector to stimulate research and development, Canadian telecom
equipment, computers, peripherals, and software companies have promising
futures. Canada was the first for the deployment of many telecommunication
advancements such as the first public packet switching network, a pioneer
of fiber-optic use and of intercontinental ATM transmission. In 1995,
Canada’s communications sector made a profit of almost $23 billion of
which over $20 billion was revenue from the telephone industry. The
Canadian Telecommunications Industry supported about 150 companies, most
of whom were re-sellers, that captured about 10% of the estimated $6
billion long-distance market from incumbent operators. Canada's city
nodes are Vancouver, Ottawa, Montreal, and Toronto.
Canadian Technology innovators
- Nortel – www.nortel.com
Northern Telecom which is the best known of Canada’s telecom
companies and the world sixth largest equipment supplier and developer
of communications products, systems, and networks.
- MPR Teltech – Located in British Columbia. MPR Teltech is an
innovator of communications and business systems concentrating in ATM,
multimedia applications, and wireless communications, including
digital and cellular digital packet data and wireless local loop
communications.
- Newbridge Networks – www.newbridge.com
Based in Ontario, Newbridge Networks is a leader in the global
telecommunication industry, most specifically, ATM wide-area network
with almost one-half the market share, and T1/E1 multiplexing markets
with nearly one-third of the market share.
- West End Networks – Located in Ontario and a member of the
Newbridge Networks Group, West End Networks provides access over
hybrid fiber/coax (HFC), frame relay, X.25, and ISDN network media and
is expanding into VSDL and ATM.
- TimeStep – Located in Ontario and also an affiliate of the
Newbridge Networks Group, TimeStep is experienced in security and
cryptology over TCP/IP networks for LANs, Internet communications, and
branch/remote offices.
- Other Canadian Telecommunication leaders include Cross Keys,
Consultronics, Mitel, VIVE Synergies, Hewlett-Packard Canada, The
Canadian Networks Operation, and GN Nettest.
Canadian Technology innovators reaching internationally include:
- Argus Technologies – Based in British Columbia, Argus is an
established leader of telecommunications dc power in North America and
is expanding into developing countries in Asia and Eastern Europe.
- TSB International
Canadian Technology innovators reaching rural communities
include:
- SR Telcom – Located in Quebec, SR Telecom is the leader in TDMA
point-to-multipoint microwave radio-based wireless local loops.
- SatCorp Communications
These companies offer excellent service provided by modern technology.
Domestically, Canada has a strong domestic satellite system with about 300
earth stations. Internationally, Canada has 5 coaxial submarine cables;
satellite earth stations—5 Intelsat (4 Atlantic Ocean and 1 Pacific
Ocean) and 2 Intersputnik (Atlantic Ocean region).
Source: Telecom Magazine , CIA-World Fact Book
1999
Future of Telecommunications in Canada and Beyond
Canada and its government support a powerful telecommunication presence
in the world. With the support of their government, Canada has funded
growth into the most leading edge innovations in the telecommunication
market in areas such as switching systems, fiber optic cabling and
satellite networking, wireless, voice recognition and video over
telephony, electronic commerce and encryption, and in broadband and new
media products and services. Canada is a world leader in this industry
with the invention, connectivity, and resourcefulness of a powerhouse.
They rank high in most telecommunication segments such as telecom
spending, top telecom operators, fixed-line telecom operators, and
equipment vendors along side the United States and share cross country
backbone with the United States. Canada stands strong in the
telecommunication industry by providing fast, reasonably priced products
to their Canadian consumers and Canadian businesses in order for them to
be internationally competitive. The following data shows numbers that
reinforce Canada’s goal – to be a world telecommunication leader. The
numbers are compared against another world leader in Telecommunications
– the United States.
Influential Statistics for the Telecommunications Industry in Canada
Telecom Spending in Canada vs. United States (#
Ranking Worldwide)
|
(U.S.$M) |
1992 |
1993 |
1994 |
1995 |
1996 |
1997 |
|
Canada (#10) |
13,537 |
12,785 |
13,584 |
13,916 |
15,177 |
16,648 |
|
% of World |
2.6% |
2.4% |
2.3% |
2.1% |
2.1% |
2.1% |
|
U.S. (#1) |
170,398 |
181,331 |
195,166 |
205,577 |
209,587 |
220,067 |
|
% of World |
33.2% |
33.7% |
33.6% |
30.8% |
28.8% |
28.3% |
Telephone Tariffs, 1994
| |
Residential |
Business |
Local Call |
Subscription as a
% of GDP per Capital |
| |
(US$) Install |
Monthly Subscription |
(US$) Install |
Monthly Subscription |
|
|
|
Canada |
24 |
8.1 |
72.2 |
29.4 |
|
0.5 |
|
U.S. |
43.5 |
11.3 |
76.8 |
42.6 |
0.10 |
0.6 |
Source: Digital Planet – The Global Information
Economy
Telecom Indicators for Canada vs. United States
| |
|
|
GDP |
Main Telephone Lines |
| |
Population
Total (Mil)
1998 |
Density (per Km)
1998 |
Total (Bil US$ 1997) |
Per Capita (US$ 1997)
|
Total K (1998) |
Per 100 Inhabitants (1998) |
|
Canada |
30.30 |
3 |
618.3 |
20,608 |
19,206 |
63.39 |
|
U.S. |
270.37 |
29 |
8,083.4 |
30,173 |
178,800 |
66.13 |
|
Americas |
799.90 |
20 |
10,730 |
13,658 |
258,345 |
32.33 |
Mobile Cellular, Subscribers per 100 people
| |
Cellular Mobile Subscribers (K) |
CAGR (%) |
Per 100 People |
As a % of total tele subscribers |
% Digital |
| |
1997 |
1998 |
1997-98 |
1998 |
1998 |
1998 |
|
Canada |
4,346.8 |
5,320 |
22.4 |
17.56 |
21.7 |
NA |
|
U.S. |
55,312.3 |
69,209.3 |
25.1 |
25.60 |
27.9 |
28.9 |
|
Americas |
72,153.1 |
96,339.7 |
33.6 |
12.09 |
27.3 |
26.6 |
Top Canadian and US International Telecom Operators
Ranked by Total Outgoing & Incoming International
Minutes, 1998
| |
International Telecom Traffic,
Minutes 1998 |
International Telecom Rev |
| |
Bothways |
Outgoing |
Incoming |
|
|
|
| |
Total (M) |
Change 97-98 |
Total (M) |
Change (97-98) |
Total (M) |
Change (97-98) |
Total (US$ M) |
Change |
% of Total |
|
Teleglobe (CA #19) |
1,905 |
3.1% |
1,145 |
3% |
760 |
3.2% |
631 |
-18.3% |
18.6% |
|
AT&T (US #1) |
14,529 |
7.1% |
10,331 |
8.2% |
4,198 |
4.5% |
9,555 |
-2.7% |
18.6% |
Fixed-Line Telecom Operators
Ranked by Number of 1998 Domestic Main Telephone Lines
| |
Main Telephone Lines |
Total Service Revenue |
| |
Total (000s) |
Change 97-98 |
Total (US$M) |
Change 97-98 |
As a % of Total Revenue |
|
Bell Canada (CA#18) |
10,950 |
3.2% |
6,038 |
0.9% |
85% |
|
Bell Atlantic (US#4) |
41,637 |
4.1% |
23,467 |
3% |
74% |
Equipment Vendors
| |
Telecom Equipment
Revenue (US$ Bil) |
Change 97-98 |
As a % of Total Sales |
|
Nortel (Canada) |
17.3 |
11.7% |
98% |
|
Lucent (US) |
26.8 |
16.5% |
89% |
Source: International
Telecommunication Union |