Shaw says Telus high-speed Internet pricing is 'anti-competitive'

Shaw Cablesystems has asked the country's communications regulator to order Telus Corp. to stop "anti-competitive" pricing for its high-speed Internet service.

In a complaint to the CRTC, Shaw said Telus has offered 18 promotions for its Internet access over the past five months in Alberta and British Columbia. Shaw complained that the promotions are "priced well below Telus' cost of service and extend beyond reasonably accepted periods of time for promotions."

Shaw said Telus has offered high-speed service in promotions ranging from 12 months at $16.95 per month up to 36 months at $24.95. Shaw said its retail rate for high-speed access and the lease of a cable modem is $42.95 per month, the same regular price Telus charges.

"We're in favour of fair and sustainable competition because we believe it is in the best interests of the consumer," Jim Shaw, CEO of Shaw Communications, said.

"However, if these predatory pricing practices are permitted to continue it could significantly reduce competition in the Internet access market in Western Canada, that is not in the best interests of serving Internet customers," he added.

Shaw wants the CRTC to bar Telus from offering below-cost pricing on Internet access for periods longer than three months.

Shaw also wants the CRTC to prevent Telus from offering bundles of products that include local phone service, saying those offers violate regulations.