The telecommunications company (CRTC) issued new rules governing cellular networks known as "Mobile Virtual Network Operators," or MVNOs - which provide greater competition in the wireless market.

MVNOs are cellular networks that do not have their own infrastructure or spectrum. Mint Mobile, affiliated with Canadian actor and businessman Ryan Reynolds, is an example of an American MVNO company that sells unlimited data, talk, and text plans within the United States for $30 per month.

The company does not have its own cell towers or spectrum rights, but simply buys "space" on the cellular networks of other companies and resells it to consumers.

Last year, the Canadian Radio-television and Telecommunications Commission set a policy to establish the basic rules for Mobile Virtual Network Operators (MVNOs) wishing to operate in Canada.

Under these new rules, a company like Mint is still unable to operate in Canada because the CRTC requires an MVNO to have its own network somewhere in Canada in order to benefit from existing networks in the rest of the country.

On Wednesday, the regulatory authority issued further basic rules for any virtual network operator. The telecommunications regulator did not change any of the fundamental frameworks it established in 2021 but provided some details about what it wants to happen now. The CRTC says: "Major incumbents must now begin accepting requests to access their networks and enter negotiations with regional wireless service providers to agree on wholesale MVNO prices."

The regulator says these negotiations will help ensure qualified virtual mobile network operators have access to 5G networks and do not drop calls on their networks while customers travel to areas outside coverage.

The regulatory authority also says it has denied many provisions that would have made virtual mobile network operators more restricted or harder to use by regional players, and says it will prevent any step that would restrict regional service providers from wholesale reselling access to other virtual network operators.

Ian Scott, Chairman of the CRTC, said in a press statement: "We are one step closer to implementing our policy that will enable regional providers to offer wireless services in areas where competition is limited." "This will help provide more affordable options to millions of Canadians with increased competition. We expect major competitors to negotiate and reach an agreement as soon as possible with regional wireless service providers."

Edited by: Yusra Bamtarf