Panel: Industry Visions Dennis Lewycky opened the session by
introducing panel mem- bers. Richard Cavanagh: Stentor
Telecom Policy Inc. Richard Cavanagh, Director of Social
Policy at Stentor Telecom Policy Inc. (STPI), began his
presentation by explaining that Stentor is an alliance of
major regional telephone com- panies; STPI is Stentor's
government relations and policy advis- ory body. He then
introduced himself, noting that his background is not in
telecommunications. Before being hired by Stentor, Cavanagh
worked as a lobbyist at the Canadian Conference of the Arts
and as an instructor in communications at various univer-
sities. "This session on industry visions interested me,"
said Cavanagh, "because Stentor seems to be in the business
of vision." In October 1993, Stentor issued a vision
statement, outlining its position on issues such as
government policy and regulation. It also issued a statement
on culture, announcing an allocation of $50 million to the
sector. Stentor has also pub- lished a paper addressing
issues such as the impact of the infor- mation highway on
jobs and economic competitiveness, as well as education,
health care and disability issues. "It's time to put words
into action," Cavanagh proclaimed, noting that there are many
vehicles available. More time should be spent lobbying groups
such as Stentor, because people in the telecommunications
industry are "a harder nut to crack" than the government or
community groups. He told participants that "A group like
this one can get the telephony culture out of the dark ages
and into the light." Regarding Stentor's development of its
vision, Cavanagh noted that often what is left behind is the
focus on what people Ä Canadians and customers Ä
want. Stentor asked the general public what they wanted out
of the services Stentor could provide in the information
highway arena. Discussion boiled down to three main themes: *
Access; * Choice in services (here services in education and
health care came first, while infotainment ranked last); and
* A commitment to community even in the face of competition.
One possible model is community television. Stentor has
attempted to respond to each of these concerns, said
Cavanagh. In terms of access, Stentor is developing a uni-
versal product design to facilitate access by people living
with disabilities. Competition will breed choice and lower
prices, but it is necessary to define what is meant by
"universal" access. "From our perspective, the community is
the starting point, the cornerstone for the development of
the information highway." Cavanagh pointed out that Stentor
shareholders are increasingly interested in its activities in
the community sec- tor. FreeNets, SchoolNet and PharmaNet are
the building blocks of the information highway, and they also
present business opportu- nities. In Alberta, PharmaNet is a
network that is making health care accessible and is saving
the province a great deal of money. Issues that need to be
examined are: how the information highway will be paid for
and by whom, subsidization, and regula- tory flexibility.
"Future networking at the community-level needs to be
facilitated," said Cavanagh. Stentor has made a public
commitment to culture, education and health care. It has
recognized the importance of community networking. However
there is a need for feedback from the community. Cavanagh
concluded his presentation with "a piece of blunt advice" for
the way in which community groups should communicate with the
industry sec- tor: "The more you can frame this (feedback) as
a business op- portunity, the more successful you will be."
Bruce Matheson: Rogers Cable 22 West Bruce Matheson, Program
Manager of Rogers 22 West, noted that his presentation would
focus on Rogers, community TV and Cable TV. While community
TV had been approached for coverage of the conference, no
teams were available to film the sessions, Matheson
explained. He pointed out that the merger of Roger and
Maclean Hunter had been keeping the staff at Rogers busy
lately. Matheson gave a brief history of community TV and
access issues, including a recent period of reduced
accessibility. "We feel we should get back to our
grassroots," he said. Community TV was one of the first
companies to become involved in the Na- tional Capital
FreeNet (NCF). Community TV became involved in NCF to get
community feedback, for promotional purposes, and to generate
resource material for program development. In September 1995,
community TV will launch a World-Wide Web site complete with
graphics. Other activities planned for the future include:
the development of multiple channels; an automated
interactive play system; video downloading; producing; making
community coun- cil meetings more accessible, and
disseminating community mes- sages with voice and video
components. "While we continue to be technologically
involved, we can't lose sight of the community," said
Matheson. Community TV will continue to develop community
relationships, involve volunteers and use advisory boards.
Because it has a self-expression man- date, community TV will
promote self-expression success stories. Matheson explained
that Rogers will provide the hard- and software for
SchooLink, a network that will link 1300 schools. It is also
exploring telecommuting, testing the concept with IBM
employees in Newmarket. Matheson concluded his speech on a
posi- tive note by referring to an article in Canadian
Business that states that a software that enables the
teaching of maths is currently "the hottest selling
franchise". Rainer Paduch: fONOROLA i*internet Rainer Paduch,
President of fONOROLA i*internet, used a series of overheads
to describe what fONOROLA i*internet has done, and where it
is going with regard to the information high- way. "We're
focussed on building a national network, because we're
getting impatient with the telephone companies," he said.
Commenting on an earlier speaker's reference to a Mac truck
on the information superhighway, he noted that the Mac truck
is going down a dirt road: "The best way to describe the
informa- tion highway is using two words þ `under
construction'." An important issue to be examined is
transportation versus content, said Paduch. Transportation is
a standard telephone company problem. He noted that the
Internet is moving out of the realm of research and
development and becoming mainstream. It is one of the most
affordable means of communication, costing modem users
approximately $1 per hour, or 1.6 cents per minute. One of
the interesting features of the Internet, Paduch pointed out,
is that users can make their own content available to other
users. Paduch then gave a brief overview of fONOROLA
i*internet. "fONOROLA i*internet is...focussed on developing
Internet capa- bility across the country," he explained. This
company is look- ing at hooking up some of the more isolated
communities. One example of this initiative is in Northern
Quebec, where selected communities will have Internet
connectivity in autumn, 1995. "By Fall we will have a
presence in every major city, and the smaller towns will be
able to have access to the Internet through these centres,"
Paduch stated. He then gave participants a general background
to the Inter- net. Describing the Internet as a "ChaosNet"
that is available to everyone, Paduch pointed out that the
majority of people who go online are from the United States.
However, there is a sub- stantial number of Canadians online
and the number of people connected to the information highway
is growing rapidly. It is important to think about network
performance, Paduch said. For example, it takes a very long
time to download a video through a modem: "You need a faster
connection that is good qual- ity, like a Rogers connection."
He stressed that the information highway is a "dirt track".
If people are using the information highway only to get a TV
picture, then they are better off hook- ing up to a cable
system. "Consider what you want out of the Internet," he
said. "The price is fairly nominal and you can get a lot out
of it." Com- munities can gather lots of information through
the Internet, some if it for free, and some at a cost. David
Sutherland: Response David Sutherland, Chair of the Board of
National Capital FreeNet, Director of Computing Services at
Carleton University, and member of the federal Information
Highway advisory council responded to the panel. "There isn't
an information-highway," noted Sutherland. "It's just a bunch
of ideas." Sutherland pointed out some new developments that
are making the information highway more accessible. "All
electronic infor- mation is now being moved to a common form,
and it's digital instead of on analog," he said. This will
ensure that a common carrier can be used for video and other
services. This develop- ment is what is referred to when
people talk about convergence, said Sutherland. Once
information is in a mathematical form, digital and video
compression can take place, which could lead to the
500-channel universe. Wireless communication is another
medium that will enhance accessibility. This development will
lead to microcellular tele- phony, which will also be based
on the digital system. This type of communication will be
available as early as autumn. It will be able to process
voice, and provide Internet access. A parallel development
can be seen in the satellite indus- try. Direct home
transmission is making inroads in England, although it is
still being debated in Canada. "This medium could change
universal access issues," stated Sutherland. It will also
change concerns regarding the delivery of services now
limited by geography. Hook-ups to low earth orbit satellites
will cost only $1 per minute from anywhere in the entire
world. Using this information as a backdrop, Sutherland
addressed key points made by the panel speakers. "Universal
access is a serious problem; the question is, access to what?
What are people willing to pay for? He noted that not
everybody wants access to the information highway, and it is
therefore necessary to figure out what people are willing to
pay for it. He stressed the need for a definition of minimal
universal service: the Information Highway Advisory Council
(IHAC) attempted such a definition, but all they could come
up with was cheap telephone service that is high quality.
Access has to be defined in terms of human needs, and whether
it promotes better health care ser- vices, banking, access to
legal services and education. Sutherland said he liked the
comments on community network- ing as represented by
community TV. "We should reserve the right of way þ not
necessarily pay for it þ but ensure that we have space
for community TV," Sutherland stated. Sutherland referred to
a book entitled Life after Television by George Gilder, who
predicts that bandwidth will become free. This would upset
the current economics which are established on the assumption
that band width is very expensive. Gilder draws a parallel
with the computer industry, showing that although there were
seven computer companies ten years ago, because of the intr-
oduction of the microchip, the only computer company to
survive is IBM. A similar phenomenon will happen with cable
companies, Gilder predicts. "We're just on the edge of
inexpensive bandwidth. Things are going to change a lot.
We're going to deal with a significant social revolution as a
result of the technical revolution," Sutherland concluded.
General Discussion Addressing his comments to Cavanagh and
Matheson, a delegate noted that both speakers had addressed
the idea of community space. He asked whether or not
Matheson's job would still remain if all community TV's
stories could be posted only with FreeNet permission. The
delegate noted that neither Rogers nor Stentor had mentioned
a community channel in their submissions to the CRTC. Stentor
did, however, say that it would not support a community
channel. "Given the way your organizations have acted on the
policy level," asked the delegate, "how can we trust that you
are going to implement access?" Cavanagh responded that in
the convergence process, Stentor said it would discuss ways
to approach the community channel that do not follow the
current model. This model has failed on a number of fronts.
"I do think an alternative is a necessary component," he
noted, adding that deliberations such as the pre- sent one
should be held to find out what constitutes an accept- able
version of public space. He referred to a comment made the
previous day by a speaker from New Brunswick who noted that
people have to engage in a lobbying exercise. "It's a
balancing process," said Cavanagh, noting that community
groups have to approach industry groups. "How do we do that
at a practical level?" the delegate asked. Cavanagh noted
that a number of reports are being released, such as the IHAC
report. His hope is that these will contain recommendations
to hold consultations with community groups. One way for the
dialogue to start is for industry to listen, just as it is
doing at this conference. Matheson noted that he has been
involved with community TV for 14 years. At first people used
to shoot home vide type pro- grammes. "A change took place,
and suddenly people wanted to look slick," he noted. There
are two camps within community TV, he added: those who
believe the channel is filling in for the local broadcaster,
and those believe community TV is getting away from issues of
access to become providers instead. Matheson predicted that
community TV will break in two: one channel will provide pure
public access, while the other will be a local orig- ination
channel that is commercial. Matheson noted that commu- nity
TV is being asked to cover more and more events. However,
people are not willing to get training in order to shoot
their own films; instead, they find it easier to sit in front
of a computer and go online. He noted that the Internet will
make it easier for community TV to shoot films in communities
for editing in a central location. A participant asked the
industry representatives how they were dealing with the issue
of copyright, and whether they saw themselves as owning the
material they carried. Cavanagh noted that Stentor has
developed an interest in rights issues: "We've said we'll be
carriers and not gate-keepers. We're distributors, not
owners." Another delegate referred to the thousands of
layoffs that have occurred recently in telephone companies.
"The continued economic viability of the community is
important," he said, "and instead it gets lopped off." He
asked that conversations about competitiveness be refocussed,
as we are going through a transi- tion period at present:
"Instead of focussing on competitiveness, we should create a
framework of what we want and ensure that companies fulfill
it," he stated. "The cable rebel- lion is a good model for
how we can model ours." The speaker referred to a Stentor
initiative, modelled after one in the U.S. called Ameritech,
that is marketed to the top 20% of online users, while the
rest of the users are phased out. This is not a viable model,
he said. He noted that the Premier of New Bruns- wick said he
would provide community access to online services, but asked
the community to do it. "We have to force the cable companies
to do this, and not talk about competitiveness," he
concluded. Quoting Noam Chomsky, a group member said the mass
media forms "a smoke and mirrors society". The panel members
are re- presentatives of the central authority of the 'Net,
he said. "Looking at the panel, I see four white men who
represent the central authority of the Internet, I don't see
decentralization." He asked for access to these companies'
corporate and technical reports, saying that this would be
decentralization. He pointed to IBM's predicament as an
illustration of increased centraliz- ation. "When Rogers and
Stentor start providing the service, there's no way any small
company could compete. Instead, these companies would have to
go to Rogers and Stentor. This goes against my vision of an
anarchy net," he concluded. One participant asked the
panelists to do a thought experi- ment, engage in a paradigm
shift, and imagine that they are in their backyards speaking
with their neighbours. He asked them to play out this
scenario, and to respond to their neighbour's ques- tion:
"What is progress now?" He referred to Irene Seiferling's
image of a kaleidoscope zeroing in on a dialogue taking place
in a market square. Marita Moll, a member of the steering
committee for the conference, thanked Stentor for having
provided financial backing for the conference. She went on to
remark that local measured service would increase costs so
much as to destroy all the ac- cessibility to electronic
networks that community groups have been working for. "We
have to make sure that you know there'll be an open revolt if
this goes through," she concluded. Mitchell Beer, President
of InfoLink Consultants, thanked fONOROLA i*internet for
having provided the link to the Internet for on- site
tutorials. Following this question period, panel members made
their closing comments. Cavanagh noted that in his vision of
progress, the notion of a kaleidoscopic view of a market
place was a starting point to address the question of
decentralization. He noted that a group of companies as large
as the Stentor group can do a lot to bring down barriers to
access. This can be seen in the success that Stentor has had
in lobbying the government to get more access for people
living with disabilities. However, he pointed out that in big
business it is difficult to convince CEOs that initiatives
are viable if there is no market effect. Referring to
comments about Ameritech, Cavanagh said he had never heard of
it before. He added, however, that there is no question that
companies market their products to people who use online
services most. He concluded by saying that a lot of
discussion must occur before positions can be taken. Matheson
said that he could not speak for Ted Rogers' vision of
progress. Rogers has had a humbling experience with the
consumer backlash it has undergone, and so things can only
get better. He emphasized that it is necessary to start
building strong community relations. Responding to the
thought experiment that a participant asked him to embark on,
Matheson said his neighbours weren't interested in the
information highway. Instead, they were interested in CHCH
and City TV applying for licenses in Ottawa, as this would
mean that they would have access to more sports coverage.
They also rejected the idea of having to pay for a service
that they didn't use. Matheson concluded by saying that some
online services will have to be free, and that this is a
social responsibility. Paduch started his closing comments by
noting that fONOROLA has had to hire rather than fire people.
"We have to balance our requirements with community
expectations," he noted. Referring to a participant's request
for access to fONOROLA's technical and corporate reports,
Paduch noted that it is not possible to disclose this
information because of competition. The "tug of war" between
the interests of large companies and those of their
shareholders and community groups make fora like the current
one a requirement, he concluded. Dennis Lewycky thanked the
panelists, and the session was adjourned.