GATINEAU – The CRTC wants to know more about account stacking before it renders a ruling in a dispute between cable, broadcasters and satellite companies and has called for comments on the issue.
Account stacking is where a BDU treats two (or more, as the complaint mentioned below contends) residences as a single subscription. So, for example, if a Star Choice customer has a dish at his home and cottage, he pays just one monthly fee.
In a complaint filed with the Commission in December and reported on only by cartt.ca here. Videotron has asked the CRTC to put a stop to this practice. Some users abuse the privilege so that several residences sometimes share one account. The effect is that a number of people may split a subscription and those folks don’t pay the full freight – and is unfair competition, says Videotron.
The Quebecor-owned MSO says Shaw Communications-owned Star Choice is "giving itself an undue preference and subjecting Videotron to an undue disadvantage by allowing the sale of several decoders and antennas to a single individual who may then install them in two separate residences while paying for only one subscription," says the public notice.
It also deprives specialty service owners of revenue, a fact the Canadian Association of Broadcasters pointed out in a letter supporting the complaint.
"In the view of Videotron, this practice by SCI is anti-competitive and deprives Videotron of subscribers, thereby subjecting Videotron to an undue disadvantage. Videotron further alleged that this practice deprives programming undertakings, particularly specialty programming services and pay television services, of revenue that they would otherwise collect if SCI complied with the Regulations.
"In its response to Videotron’s complaint dated 20 December 2005, SCI acknowledged that it was allowing its subscribers to receive its service at two different residences while paying for only one subscription, provided both residences were owned by the same subscriber. SCI considered that this constitutes a reasonable and rational use of its technology, which allows it to serve its customers at both their main place of residence and their second residence. SCI was of the view that the manner in which it has chosen to serve some of its customers complies with the Regulations and with the policy objectives set out in the Broadcasting Act."
Comments are due April 18th.
– Greg O’Brien