For the past century, cellphone companies have been providing monthly cellphone plans, where consumers pay a fixed price each month, regardless if they use up all their airtime or text messaging.

Earlier this year, a new Canadian Wireless provider, by the name of Ting, introduced a new cellphone plan, where the customer only pays for what they use. Ting buys network from other companies at a wholesale price and then sells it back to people who sign up with the company.

The Toronto-based provider thrives in the U.S as Sprint company sells them their mobile network. Ting “would love to be in Canada” but cannot, because the big three, Bell, Telus and Rogers refuse to sell them their network.

The big three cellphone companies have a comparative advantage as they have a strong barrier protecting other competitors from entering the telecommunications market. Consumers’ have no choice and are forced to pay high prices due to a lack of cellphone carriers. In order for Ting to thrive into the Canadian market, and benefit Canadian consumers, the government must enforce laws to loosen the patent the big three have.

Saltzman, Aaron & The Canadian Press. “The Canadian mobile phone service you can’t get here- Ting buys network access in the U.S. and sells it on to its subscribers”. CBC News. 01 Aug 2013. Web. 05 Oct 2013.

Link on the new wireless provider:

https://ting.com/