News release

December 14, 2006

CRTC releases report on the future environment facing the
Canadian broadcasting system

OTTAWA-GATINEAU The Canadian Radio-television and Telecommunications Commission (CRTC) today released a report entitled The Future Environment Facing the Canadian Broadcasting System.

In June 2006, the Minister of Canadian Heritage, the Honourable Beverley J. Oda, announced that the Government, in accordance with section 15 of the Broadcasting Act, would draw on the expertise of the CRTC to examine the future technological environment facing the Canadian broadcasting industry. This request was embodied in Order in Council P.C. 2006-519, 8 June 2006.

The Government requested that the CRTC seek comment and provide a factual report on certain matters, including:

• The current state of audio-visual technologies and their predicted evolution over the coming years;
• The kind of content delivered through the regulated and non-regulated aspects of the broadcasting system, and how it is delivered;
• The predicted economic impact these technologies will have on broadcasting undertakings; and
• The impact that the usage of audio-visual technologies by Canadians will have on the broadcasting system, the content and programming choices available to Canadians, and how future generations will consume or access content, programming and programming services.

The report finds that any negative impact on the broadcasting system from shifting media consumption patterns has been marginal to date. This observation is based on the fact that Canadians still consume the vast majority of programming through regulated Canadian broadcasting undertakings.

However, the report notes that Canadians, and younger Canadians in particular, are increasingly accessing programming through unregulated electronic platforms, such as the Internet and mobile networks. The CRTC considers that new audio-visual technologies will have an increasing effect on broadcasting undertakings over time. As a result, the detailed and ongoing monitoring of developments in the evolution, contribution and impact of audio-visual technologies will be an essential foundation to an informed public policy response.

“We are pleased to present this report,” said Charles Dalfen, Chairman of the CRTC. “As was observed in the Order in Council, the Canadian broadcasting system must remain relevant in a global digital environment and must meet the diverse needs of Canadians of all cultures. This report is an important step in providing policy-makers with the information needed to make decisions that will ensure the ongoing health, contribution and relevance of the Canadian broadcasting system. Based on the information provided to us, the CRTC concludes that public policy action will need to be taken within the next three to seven years if it is to have the desired effect, otherwise it may well come too late.”

Beginning in 2006, and continuing through 2008, the CRTC is conducting reviews of its regulatory frameworks for radio, television and broadcasting distribution, with a particular focus on the current and anticipated impact of technological change. Moreover, the CRTC will continue to seek ways to reduce unnecessary regulatory burden to ensure that our measures are as effective and efficient as possible.

The CRTC

The CRTC is an independent, public authority that regulates and supervises broadcasting and telecommunications in Canada.

Reference documents:   Report on the Future Environment Facing the
                                    Canadian Broadcasting System [.htm] [.pdf]
                                    Broadcasting Public Notice CRTC 2006-72
                                    Order in Council P.C. 2006-519

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Copies of today’s documents are available through our Internet site (http://www.crtc.gc.ca) or by contacting the documentation centre of any CRTC office. These documents are available in alternative format upon request.

Date Modified: 2006-12-14

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