Competition Bureau Canada

Competition Bureau Canada

December 15, 2009 10:17 ET

Competition Bureau Canada: Cogeco Clarifies Advertising Regarding the Speed of its Internet Services

OTTAWA, ONTARIO--(Marketwire - Dec. 15, 2009) - The Competition Bureau announced today that Cogeco has clarified certain advertising claims about the speed of its Internet services, in order to resolve concerns raised by the Bureau.

The Bureau was of the view that Cogeco was promoting its Internet services to residents in the cities of Drummondville and Saint-Hyacinthe, as being "the fastest" without having based such claims on fair comparisons. This raised issues under the misleading representations provisions of the Competition Act, because the claims being made did not allow consumers to compare the speed of Cogeco's services with those of all of its competitors, and to verify whether Cogeco was indeed offering "the fastest" services.

"In the Internet services field, speed and price are key factors in consumers' purchasing decisions," said Andrea Rosen, Deputy Commissioner of Competition, Fair Business Practices Branch. "It is important that all representations in this regard be clear and truthful so that consumers can make informed purchasing decisions."

Cogeco, operating as Cogeco Cable inc., Cogeco Cable Canada inc. and Cogeco Cable Quebec inc., responded to the Bureau's concerns by clarifying the representations in its advertising materials.

"The Bureau reminds businesses that we regularly monitor representations made to the public including those regarding the speed and price of Internet services. We are pleased that Cogeco cooperated and acted so quickly to correct the situation," added Ms. Rosen.

The Competition Bureau is an independent law enforcement agency that contributes to the prosperity of Canadians by protecting and promoting competitive markets and enabling informed consumer choice.

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