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From the CRTC website...

News Release

May 17, 1999

                               CRTC WON�T REGULATE THE INTERNET

OTTAWA-HULL � The Canadian Radio-television and Telecommunications
Commission (CRTC) announced today that it
will not regulate new media services on the Internet.

After conducting an in-depth review under the Broadcasting Act and the
Telecommunications Act beginning last July, the
CRTC has concluded that the new media on the Internet are achieving the
goals of the Broadcasting Act and are vibrant,
highly competitive and successful without regulation. The CRTC is concerned
that any attempt to regulate Canadian new
media might put the industry at a competitive disadvantage in the global
marketplace.

"By not regulating, we hope to support the growth of new media services in
Canada," says Fran�oise Bertrand, CRTC
Chairperson. "The CRTC is one of the first regulators in the world to
clarify its position on the Internet."

Broadcasting

Regarding whether content on the Internet is broadcasting as defined by the
Broadcasting Act, the CRTC has made the
following points:

   1.Everything transmitted over the Internet that is predominantly
alphanumeric text is by definition not broadcasting
     under the Broadcasting Act.
   2.Material transmitted over the Internet, which is significantly
"customizable" or capable of being uniquely tailored by
     the individual user, does not involve the transmission of programs for
reception by the public and is, therefore, not
     broadcasting.
   3.The remaining material would fall within the definition of broadcasting
under the Broadcasting Act, but will be
     exempt from regulation for the following reasons:

          The new media complement, rather than substitute for traditional
broadcasting. Before the new media
          could substitute for traditional media, key technological and
other developments would have to take
          place.

          The Commission does not believe that regulation of the new media
would further the objectives of the
          Broadcasting Act.

          There is a substantial Canadian presence on the Internet today,
supported by demand for Canadian
          new media content.

          Ample business and market incentives exist for the continued
production and distribution of Canadian
          new media content.

          The new media industry requires local Canadian content to develop
their businesses.

          Both the Federal and Provincial governments have initiatives in
place to support Canadian content on
          the Internet.

          Generally applicable Canadian laws, industry self regulation,
content filtering software as well as
          increased media awareness are appropriate tools to deal with
offensive and illegal content on the
          Internet.

"Our message is clear. We are not regulating any portion of the Internet,"
says Fran�oise Bertrand.

Telecommunications

Two main telecommunications issues were raised during the hearing, which the
Commission is already examining:

   1.The Commission is already mandating access to the high-speed local
facilities of telecommunications and cable
     companies at tariffed rates for, among others, retail level Internet
service providers. The Commission will shortly
     issue its decision regarding the specific regulatory approach for
high-speed access on cable.
   2.Concerns were also raised about the ability of Canadian citizens and
consumers to access the Internet at
     reasonable costs. The Commission will be addressing some of these
concerns in the context of its proceeding on
     telephone service in high-cost serving areas.

Reference documents:  Public Notice CRTC 1999-84 [Part 1 | Part 2]
                                   Telecom Public Notice CRTC 99-14 [Part 1
| Part 2]
                                   The New Media Hearing � Background
Information
                                   Some 1998/1999 Statistics on New Media in
Canada
�                                  Did You Know?

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General Inquiries:
     Ottawa, Ontario K1A 0N2
     Tel: (819) 997-0313, TDD (819) 994-0423, Fax: (819) 994-0218
     Toll-free # 1-877-249-CRTC (2782), eMail: info@crtc.gc.ca
Media Relations:
     Denis Carmel, Tel: (819) 997-9403, eMail: denis.carmel@crtc.gc.ca

Copies of today's documents are available through our Internet site
(http://www.crtc.gc.ca) or by contacting the public
examination room of any CRTC office. These documents are available in
alternative format upon request.