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Friday, February 4, 2011

Socialist Canada Can Take a Breather (NASDAQ: NFLX)

OTTAWA - Canada's (Pronounced Ka-Na-Da) Prime Minister Stephen Harper said he would quash the recent decision by the Canadian Radio Television Telecommunications Commission (CRTC) on a ruling which set a cap on internet usage. Harper is demanding the government agency back down or he will personally overturn their decision.

"The CRTC should be under no illusion. The prime minister and the minister of industry will reverse this decision unless the CRTC does it itself," a senior government source said.

The chairman of the CRTC Konrad von Finckenstein will have an awkward address on Thursday night when he explains to Canada his little mis-hap.

The ruling by the CRTC forced all Canadian to be under a 25 gigabyte data cap. The idea was that customers would be charged on how much they used over this amount. But Canadian consumers were up in arms.

This isn't the first time the government agency has been overruled. In 2009 they tried to block a bid that would have Globalive Wireless Management Corporation set up a cellphone service in Canada.

In the U.S. certain companies have tried to charge customers based on usage such as Time Warner but have failed and have reverted back to unlimited plans. Perhaps companies in the future will settle on a model but it makes little sense for the government to be intervening.

Harper essentially said yes to the free market today.

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