NBI/Michael Sone Associates
193 Church Street
Toronto, Ontario
M5B 1Y7
Telephone 416-360-0424

March, 2011

Table of Contents

Section Page
About This Report v
1.0       Executive Summary 1
2.0      FIGURES 9
3.0      Service Providers 14
     3.1      AOL Canada 14
     3.2      Barrett Xplore 17
     3.3      Bell Aliant 18
     3.4      Bell Canada 21
          3.4.1      Consumer 23
          3.4.2      Business 25
     3.5      Cogeco Cable 29
     3.6      Distributel 32
     3.7      EastLink 34
     3.8      MTS Allstream 37
          3.8.1      Consumer Markets Division 37
          3.8.2      Enterprise Division 42
     3.9      Primus Canada 43
          3.9.1      Consumer/SOHO 44
          3.9.2      Business 45
     3.10      Rogers Communications 47
          3.10.1      Rogers Cable 47
          3.10.2      Rogers Business Solutions (RBS) 50
     3.11      SaskTel 53
     3.12      Shaw Communications 57
     3.13      TELUS 60
          3.13.1      Consumer 61
          3.13.2      Business 62
     3.14      Videotron 64
4.0      EXHIBITS 68

List of Figures and Exhibits

Figure/Exhibit     Page
Figure 1 ISP Market Revenues, 2009-2013 10
Figure 2 Cableco, Telco & Other ISP Revenue Shares, 2010 11
Figure 3 Broadband, Dedicated and Dial-up ISP Subscribers, 2009-2013 12
Figure 4 Cableco, Telco and Other ISP Subscriber Shares, 2010 13
Exhibit 1 Subscriber Provincial Distribution by Company, 2010 69
Exhibit 2 Cableco and Fixed Wireless Subscriber Base and Revenues, 2009-2012 70
Exhibit 3 Telco DSL Subscribers and Revenues, 2009-2012 71
Exhibit 4 Telco Dial-up Subscribers and Revenues, 2009-2012 72

About This Report

The Canadian Internet Service Providers Market Report, 2011 Edition is NBI/Michael Sone Associatesí twelfth report on the Canadian Internet market and continues to be the most comprehensive and rigorously researched document available on the subject.

At around 75 pages, this edition of the report is divided into three main sections. The first is an executive summary of the ISP business that discusses major issues, developments and technology pertinent to the industry including the decline in dial-up access and the continued growth of market penetration of high-speed cable, DSL and the impact of wireless access technologies, along with a discussion of the recent Usage Based Billing imbroglio. This overview is punctuated with four figures illustrating five-year subscriber and revenue growth trends. The second section provides qualitatively and quantitatively comprehensive individual profiles of 14 significant national and regional ISPs and their subsidiaries. These include the individual telco, cableco and other carriers, as well as the larger independent, non-aligned ISPs. The third section contains a series of detailed exhibits that are the hallmark of NBI/Michael Sone Associates reports, that illustrate dialup, high-speed and dedicated subscribers & revenues, market shares, business versus consumer data, provincial breakouts, segmentation by level of broadband service and forecasts through 2012. Each industry segment has been explored so that the report presents services offered and planned, marketing activities, pricing, as well as technology and application trends.

Please note that the mobile Internet market is examined and discussed in depth in NBI/Michael Sone Associatesí Canadian Mobile Wireless Communications Services Market Report, 2010 Edition. ISP subscriber totals and revenues in this reportís exhibits do not include mobile Internet customers. Also, growing interest in fixed wireless access has prompted us to examine this market separately and in greater depth than hitherto. Please refer to our Canadian Wi-Fi/WiMAX Market Report, 2009 Edition and upcoming 2011 Edition for information on this rapidly evolving market sector.