Canadian Communications Service Provider Capex Spending, 2021-2022: Strategic NGN Projects Key to Digital Transformation
This IDC Market Perspective updates IDC Canada's previous analysis of Canadian communications service providers' 2021 capital expenditure (capex) forecasts and provides 2022 estimates. We analyze major technological drivers of the C$13.4 billion capex spending budgets in 2022, including 5G wireless and 400G optical next-generation networks (NGNs), and the impact of the global COVID-19 pandemic amidst concurrent fears of global recession."The COVID-19 pandemic underscores the strategic importance of continued investments in NGN technology by service providers to not only cope with traffic demands and for their own future revenue growth but for digital transformation (DX) of Canadian enterprises and Canada's economic development and future prosperity," says study author Lawrence Surtees, vice president of Communications Research and principal analyst at IDC Canada.
Please Note: Extended description available upon request.
- Executive Snapshot
- New Market Developments and Dynamics
- Introduction
- Overview
- Global View
- Canadian Communications SPs Capital Spending in 2021
- Top Investment Priorities
- Industry Dynamics
- Accelerated Capital Cost Tax Allowance
- Assessment of Future Directions: Key Network Capex Drivers
- Communications SP Network Transformations in Progress
- The Need for Bandwidth and the Optical Imperative
- Global IP Traffic Growth and COVID-19 Pandemic
- IP VPN and Metro Ethernet Spurs Enterprise Bandwidth
- From 100G to 400G Optical Backbones
- Undersea Fibre Links Proposed for Nunavut
- Federal Government Broadband Fund Stimulates Infrastructure Projects
- Low Earth Orbit Satellite Constellations Spurred
- Fibre-to-the-Home Programs Boosted
- Telecom Cable Speed Race Accelerates
- Next-Generation Networks Key To Enterprise Digital Transformation
- Cloud Computing Integral to Next-Gen Network Services
- 5G Wireless NGN Technology Enables Network Slices
- Multi-Access Edge Computing Links 5G Wireless, Cloud, and Artificial Intelligence
- AI with NGN to Transform Telecom Back Office
- Private Wireless Networks Spurred by 5G and NGN Technologies
- Standalone 5G Rollout Is a Multiyear Journey
- Millimeter Wave Technology Key to 5G
- Improved Latency Key Benefit of 5G Millimeter Wave Frequencies
- 5G Wireless mmWave Spectrum Allocation Lags
- Wireless Capex Supports New 5G Basestation Technologies
- 5G Network Rollouts Accelerate
- 6G Already Looms
- Capex 2022 Forecast and Assumptions
- Impact of COVID-19 Pandemic
- COVID-19 and Remote Work
- Russia-Ukraine War Stokes Recession Fears
- COVID-19 Pandemic and Inflation Propel Supply Chain Woes
- Market Strategies
- Capex 2022 by Segment and Vendor Profiles
- Incumbent Local Exchange Carriers
- Bell Canada
- Telus
- SaskTel
- Interexchange and Competitive Local Exchange Carriers
- Digital Colony (Allstream)
- Digital Colony (Aptum Technologies)
- AT&T Global Services
- Rogers For Business
- Shaw
- Eastlink
- Primus Canada and Distributel
- Wireless
- Rogers Wireless
- Rogers-Shaw Hookup Pegged to 5G Capex
- Bell Mobility
- Bell MTS
- Northwestel
- Telus Mobility
- SaskTel Wireless
- Shaw Freedom Mobile
- Vidéotron Wireless
- Eastlink
- SSi Mobile
- TeraGo Networks
- Cable Companies
- Rogers Cable
- Rogers Outage Requires C$261 Million Capex for Network Resiliency
- Shaw Cable
- Vidéotron Cable
- Cogeco Connexion
- Eastlink Cable
- Canadian Communications Capex
- Advice for the Services Provider
- Learn More
- Related Research
- Definitions
- Glossary
- Telecom Taxonomy and Service Definitions
- Local TDM and Wireline
- VoIP, Cable Telephony, and SIP Trunk
- SIP Trunk
- Long Distance
- Wireless
- Wireless Data Segmentation
- Wireless Wholesale
- Internet
- Data
- Video Services
- Methodology
- SIP Terms
- Difficulty Reconciling Forecasts with CRTC Market Data
- Synopsis
Research Assistance
Learn how to effectively navigate the market research process to help guide your organization on the journey to success.
Download eBook