STAFF REPORT

June 18, 2001

To: Economic Development Committee

From: Joe Halstead, Commissioner Economic Development, Culture and Tourism

Subject: South Etobicoke Employer Cluster Capacity Study

Etobicoke-Lakeshore - Ward 6

Purpose:

The purpose of this report is to provide an overview on the findings and recommendations contained in the South Etobicoke Employer Cluster Capacity Study.

Financial Implications and Impact Statement:

There are no financial implications resulting from the adoption of this report.

Recommendations:

It is recommended that:

(1) the findings and recommendations of the South Etobicoke Employer Cluster Capacity Study be endorsed by the Economic Development and Parks Committee and Council;

(2) this report be forwarded to the Planning and Transportation Committee and Etobicoke Community Council for their information and consideration when reviewing land use options for the New Toronto Secondary Plan;

(3) the Commissioner of Economic Development, Culture and Tourism be requested to monitor and report on implementation of the South Etobicoke Employer Cluster Capacity Action Plan; and

(4) the appropriate City officials be authorized and directed to take necessary action to give effect thereto. - 2 -

Background:

South Etobicoke is located in the southwest quadrant of the City and includes the area south of the Queen Elizabeth Highway to Lake Ontario and west of the Humber River to the Etobicoke Creek, as shown on Attachment No. 1. In 1999, South Etobicoke was identified as an “Employment Revitalization Program Area” and private and public resources (including funds from Human Resources Development Canada) were successfully leveraged to revitalize the area. This initiative has facilitated a collaborative community based process designed to encourage reinvestment in the community.

The South Etobicoke Regeneration Program (SERP) is the largest and most comprehensive of eleven active Employment Revitalization project areas in the City. The strength and breadth of stakeholder participation is demonstrated by the many signatories to the Human Resources Development Canada (HRDC) agreement, which include Lakeshore Area Multi-Services Project, Vacant Industrial Landowners, local Business Improvement Areas (BIAs), Lakeshore Ratepayers Association, the Community Social Planning Council of Toronto, the Assembly Hall, Canadian National Railway, Citizens Concerned about the Future of the Etobicoke Waterfront (CCFEW), Castrol Canada Inc., Humber College, the Lakeshore Planning Council, the South Etobicoke Industrial Employers Association (SEIEA) and Lakeshore Arts.

In spring 2000 SERP completed its Blueprint For Action, a broad strategy to increase local employment through community capacity building, partnership development, reinvestment advocacy and area marketing and promotion. This document was approved by Council and referred to various City departments for action. An implementation framework was subsequently created under the direction of the SERP Steering Committee and four work groups were formed: Business Attraction and Retention; Physical Infrastructure; Social Infrastructure; and Marketing & Promotions. Each work group is co-chaired by a community and City staff representative.

One of the action items identified by the Business Attraction and Retention (BAR) Work Group was an analysis of economic cluster activities and labour force adjustments/ requirements in South Etobicoke, building on the findings and recommendations outlined in the City of Toronto report entitled “Toronto Competes” and the City’s recently released Economic Development Strategy. Similarly, the work was intended to complement the efforts undertaken in the Toronto Official Plan Directions Report, Toronto At The Crossroads: Shaping Our Future, where Urban Development Services reference the GTA forecast of 540,000 additional jobs and articulate the need to accommodate this job growth within the City structure.

Comments:

The South Etobicoke Employer Cluster Capacity Study, provided in Attachment No. 2, was prepared under the direction of the Business Attraction and Retention Work Group of the South Etobicoke Regeneration Project (SERP). Perhaps the most significant finding of the report is that South Etobicoke is a viable employment area and an important and growing manufacturing - 3 - centre in the City of Toronto. The findings of the study are summarized below under the headings of employment growth and characteristics, dominant business clusters and area advantages.

Employment Growth Characteristics in South Etobicoke:

(a) Following the economic restructuring and recession of the early 1990s, South Etobicoke made a successful transition, adapting well to the forces of globalization and modern production processes. This is evident by the large number of firms that have made recent investments in plant and machinery. As an example, the nine companies that currently comprise the South Etobicoke Industrial Employers Association are collectively investing at a rate of almost $17 million per year in capital improvements. This is projected to grow provided there is a stable investment environment.

(b) Over the past five years, manufacturing employment has grown more quickly in South Etobicoke than in the City (18 percent compared to 14 percent).

(c) Total employment in South Etobicoke has increased 5 percent in the past 4-5 years.

(d) There are 24,365 people employed in South Etobicoke, including a large number of skilled trades and crafts people.

(e) Approximately 33 percent of the labour force live in the area.

(f) Over 40 percent of the local labour force are involved in manufacturing.

Dominant Business Clusters in South Etobicoke:

(a) Food processing and automotive manufacturing are highly concentrated, with 14 and 22 percent, respectively, of total City employment for these sectors.

(b) Over the past five years, food and beverage processing grew by 16 percent, compared to 5 percent in the City overall and automotive parts manufacturing grew by 34 percent, compared to 7 percent in the City overall.

(c) The media cluster (photography, graphics, communications, program and film distribution, radio and TV, advertising, printing, and reproduction of tapes, films, and records) grew by 111 percent in South Etobicoke compared to 11 percent across the City over the past 4-5 years.

(d) There are very strong inter-firm linkages in the area, particularly with respect to packaging, machinery manufacturers and repair shops, transportation/logistics operations and chemical manufacturers. - 4 -

Area Advantages:

(a) The area possesses excellent road and rail infrastructure and is in close proximity to the airport and downtown.

(b) There are excellent opportunities for meeting the City’s population targets within the South Etobicoke area without jeopardizing the current supply of employment lands. There is a substantial amount of land currently designated and zoned for residential uses, but currently not built out (approx. 4,500 units) and significant “Avenues” intensification along Lakeshore Boulevard, both consistent with the policy framework established in the Toronto Official Plan Directions Report, Toronto At The Crossroads: Shaping Our Future.

(c) There is an increasing supply of new housing units in the area, particularly to the east, that provides accommodation for a range of household types and incomes to meet the City’s housing objectives.

(d) South Etobicoke has a robust and scalable network that provides a full complement of services to business customers in all employment areas.

(e) South Etobicoke is served by a well developed fibre optic network.

(f) Deregulation of the industry has provided an extremely competitive marketplace decidedly in the customer’s favour in South Etobicoke compared to other jurisdictions in North America.

(g) There is an active and innovative business community willing to work in partnership with the City, Province and Federal governments.

The report identifies an Action Strategy designed to build on the strengths of the area to contain employment sprawl, ensure employment and assessment growth and retention and provide for the efficient use of existing infrastructure. The main themes of the Action Plan are described below.

Create a Positive Investment Climate for South Etobicoke:

The report indicates that the most important issue related to the continuing vitality of the employment area is the need for employers and investors to have a greater degree of land use certainty. Decisions need to be made as quickly as possible on the New Toronto Secondary Plan to ensure the integrity of this manufacturing centre.

Food/ Automotive/ Media Cluster Initiatives:

Several initiatives are identified in the Action Plan to build capacity in the dominant and emerging cluster groups, specifically, food, automotive and media. These initiatives involve the - 5 - participation of numerous stakeholders, including community groups, educational institutions, employment agencies, as well as the municipal and provincial government.

Skills Development:

The Action Plan also addresses skill development and readiness. The employers in South Etobicoke recognize that modern work environments have increased demand for more computer literate and technically sophisticated employees to operate machinery and equipment. SERP’s current project application to HRDC includes partnership initiatives with local industry, employment agencies, and the federal government to increase labour market skill development and labour force participation.

Marketing:

A number of marketing actions are proposed in the report. These actions primarily relate to a marketing campaign emphasizing local attributes, including proximity to the airport and downtown, excellent transportation and telecom infrastructure, an industrial profile and real estate information highlighting reasonable rental rates and land costs vis a vis other parts of the City. The South Etobicoke Regeneration Project’s Marketing Workgroup is currently developing a marketing toolkit for use in promoting the area to prospective investors.

Infrastructure and Amenities:

South Etobicoke has good infrastructure in reasonable repair and the City is undertaking road, sewer and watermain upgrades as part of its five-year capital maintenance program. Action items primarily relate to these initiatives to enhance the image/attractiveness of the area.

Conclusions:

Employment uses in South Etobicoke are significantly more competitive than a decade ago, with many viable companies in production 7 days a week, 24 hours a day. In fact, South Etobicoke represents a vital and important manufacturing center in the City of Toronto. In addition to providing employment for local residents, employment properties in South Etobicoke represent approximately 15 percent of the total CVA in Ward 6 but contribute about 52 percent of the total property tax revenue.

Since inception of the South Etobicoke Regeneration Project in 1999, remarkable local energy and resources have been applied to a number of initiatives directed at community revitalization/ reinvestment. The level of community interest and involvement among numerous stakeholder groups, supported by strong federal and municipal political advocacy, sustain the success of this community based partnership.

The Action Plan identified in the Employer Cluster Capacity Study represents an extension of the community work undertaken over the past few months, with a platform that supports employment intensification. A co-ordinated and focused approach will be required to successfully realize the opportunities identified in the Plan, particularly as they relate to ensuring - 6 - the integrity of this employment area as an important manufacturing centre through the New Toronto Secondary Plan, building capacity in the food, automotive and media cluster groups, developing labour market skills, enhancing the image/attractiveness of the area through capital improvements and marketing and promoting the area to prospective investors.

Contact:

Brenda Librecz Managing Director, Economic Development Division Tel: 416 397-4700 Fax: 416 395-0388 E-mail: [email protected]

Joe Halstead Commissioner Economic Development, Culture and Tourism

List of Attachments:

Attachment No. 1 South Etobicoke Key Map Attachment No. 2 South Etobicoke Employer Cluster Capacity Study South Etobicoke Employer Cluster Capacity Study Telecommunications Audit J607

TELECOMMUNICATIONS AUDIT

Final Report

June 2001

Prepared by: Enterprise Development Services for GHK International Inc.

7 South Etobicoke Employer Cluster Capacity Study Telecommunications Audit J607 Table of Contents

1.0 Executive Summary ...... 9 2.0 Introduction and Background...... 10 3.0 Project Purpose...... 11 4.0 Project Objectives ...... 12 5.0 Telecommunications Infrastructure Review ...... 13 6.0 Comparative Analysis – Neighbouring Communities ...... 27 7.0 SWOT Analysis...... 28 8.0 Action Plan Summary ……………………………… …………………………….24

8 South Etobicoke Employer Cluster Capacity Study Telecommunications Audit J607

1.0 Executive Summary

The study team has conducted a thorough analysis of the telecommunications infrastructure in the South Etobicoke study area through an extensive information and data search from key telecommunications providers in the local marketplace.

The study team has determined the following key findings and conclusions regarding the telecommunications infrastructure in the South Etobicoke study area.

• The following companies were identified as being the major providers of telecommunications services to business customers in the South Etobicoke study area:

• AT&T Canada • • Toronto Hydro Telecom • Telus Integrated Communications • Group Telecom • 360 Networks Inc. • Sprint Canada

• The South Etobicoke study area has a robust and scalable network that provides the full complement of telecommunications services to business customers in all business and employment zones.

• The South Etobicoke study area is served by a well-developed fibre optics network in all key business and employment zones by a variety of telecommunications providers.

• The telecommunications infrastructure in the South Etobicoke study area is directly comparable to neighboring communities.

• The South Etobicoke Regeneration Project (SERP) implement a Telecommunications Action Plan as identified for the South Etobicoke study area.

9 South Etobicoke Employer Cluster Capacity Study Telecommunications Audit J607

2.0 Introduction and Background

The purpose of this study is to provide an analysis of the existing telecommunications infrastructure in the South Etobicoke study area and to make recommendations for the future to enhance the community’s overall telecommunications capabilities.

The project was divided into two phases – an examination of the current infrastructure through a series of interviews with a pre-determined number of telecommunications providers and an analysis of the data gathering process. The report of Phase One contains the outcomes of the infrastructure audit. Phase two is comprised of the preparation of a telecommunications SWOT analysis based on the information gathered in Phase One.

10 South Etobicoke Employer Cluster Capacity Study Telecommunications Audit J607

3.0 Project Purpose

Based on the request for proposals by GHK International for the South Etobicoke Regeneration Project (SERP), the purpose of this project was as follows:

"The City's recently released Economic Development Strategy recognizes the importance of information and communications technologies that link people and organizations. The Strategy highlights the need for citywide access to a high quality, high capacity telecommunications network to stimulate productivity and innovation, fostering demand for goods and services. The purpose of this initiative is to build on this recommendation by:

1. Conducting an analysis on the current telecommunications infrastructure in South Etobicoke to provide a context, scope and direction for future improvements, ensuring continued economic growth and development;

2. Providing business intelligence to guide private sector investment decisions aimed at retaining and attracting employment investment / reinvestment in South Etobicoke"

11 South Etobicoke Employer Cluster Capacity Study Telecommunications Audit J607

4.0 Project Objectives

Based on the RFP issued by GHK International for SERP, the project objectives are as follows:

• To "understand the type, scale and distribution of the telecommunications infrastructure in South Etobicoke."

• To " ensure the community is well connected to other parts of the city, the country, and the world."

• To "concentrate efforts on augmenting and increasing the telecommunications infrastructure capacity to promote a more innovative and competitive economy."

• To "build on our fiber optic, broadband and wireless networks, the competitive position of South Etobicoke."

12 South Etobicoke Employer Cluster Capacity Study Telecommunications Audit J607

5.0 Telecommunications Infrastructure Review

5.1 Methodology of Study Approach

The study team with input from the South Etobicoke Regeneration Project (SERP) identified the major telecommunications providers in the South Etobicoke study area. The South Etobicoke study area includes the area south of the Queen Elizabeth Way to Lake Ontario, west of the Humber River, and east of the Etobicoke Creek, consistent with the geographic area defined for the South Etobicoke Employer Cluster Capacity Study.

Deregulation in the telecommunications industry has occurred on two major fronts over the past five years – the deregulation of the long distance market and deregulation of local telephone service. The result has been the drastic price reduction in long distance services (six to ten cents per minute) and new entrants to the marketplace. Customers can now chose from a variety of suppliers for their long distance, cellular, internet and local access requirements.

Although the competition has been fierce in the long distance market, competition in the local telephone service market has been at a slower rate and restricted to the larger markets. Local telephone service provisioning is extremely high cost due to the amount of capital intensive equipment and infrastructure required which leads to lower rates of return over longer periods of time for telephone companies.

Consequently, new entrants to the South Etobicoke study area marketplace have only just recently begun to offer local telephone services to business customers or have plans to enter the market. The focus of this portion of the study was to examine those companies that provide telecommunications services to business customers in the South Etobicoke study area.

13 South Etobicoke Employer Cluster Capacity Study Telecommunications Audit J607

5.1.1 Information Gathering

The following companies were identified as being the major providers of telecommunications services to business customers in the South Etobicoke study area:

• AT&T Canada • Bell Canada • Toronto Hydro • Telus Integrated Communications • Group Telecom • Sprint Canada • 360 Networks Inc.

The study team contacted representatives from each of the companies seeking information on the range of services provided in the South Etobicoke study area.

Two information gathering documents were used in the course of the data collection process with the telecommunications companies.

• A one page questionnaire entitled “Telecommunications Providers Survey” (attached as Appendix “C”) was used to gather base information of the infrastructure deployed in the South Etobicoke study area. • A one page spreadsheet entitled “South Etobicoke Service Capabilities” (included in this section as Tables 1 - 4) listing the various telephone exchanges and the standard business telecommunication service offerings in the South Etobicoke study area. The area referred to as the “Seventh Street Exchange” in the spreadsheet is the geographic telephone exchange area which predominately covers the South Etobicoke study area.

Each telecommunications provider listed previously was requested to complete the information for use by the study team for compiling this report.

This section reflects the information gathered from the telecommunications providers for business services in the South Etobicoke study area.

14 South Etobicoke Employer Cluster Capacity Study Telecommunications Audit J607

Table 1: Service Capability Definitions South Etobicoke Study Area

CTX Centrex is a fully featured Digital Central Office based service. Voice and Data designed for business customers to grow from 2 lines upward without changing systems other than peripheral equipment (Sets). No common/switching equipment is on customer premises, all user software features are in the DMS-100 Switch. CMS Call Management Services is a set of services which includes Call Display (Name and Number), Call Trace and call Screen. TMS Telephone Message Service provides shared telephone answering and voice mail service to the residential or single line business customer as an alternative to an answering machine. IVMS Integrated Voice Messaging System is a Centrex Central Office based voice messaging system which provides a shared telephone answering and voice mail service for business customers. CCF Custom Calling Features include Speed Calling, Call Forwarding, 3-way Calling (Conferencing), Call Waiting, Visual Call Waiting, Ident-A-Call, and Call Return. RCF Remote Call Forwarding is an interexchange service that allows a subscriber to rent a 7-digit telephone number in another exchange. All calls to the RCF number are automatically redirected over the PSTN to the principle number at the home location. 911 This service provides access to an Emergency Service Bureau by dialing "911". Address Information System (AIMS) provides the (ERR) Emergency Reporting Bureau with an (ANI) Automatic Number and Line identification of the incoming caller. CTX CTX Data is a switched digital data service that allows the transmission of data at 56 Kbps. Data ADSL High Speed Access (RHSA) for teleworkers and ISP providers/users. Service is dedicated to the home and allows the customer to talk on their phones and send/receive data on their PC simultaneously. Asymmetric Digital Subscriber Line (ADSL) converts existing telephone lines into high speed access paths 2.2 Mbps downstream with up to 640 Kbps upstream. Micro MicroLink is a service offering using ISDN Basic Rate Access (BRA) Standards. Provides 2x64 Kbps (2B) digital information Link channels and 1x16 Kbps (D) signaling and packet information channel over a single 2-wire loop (2B+D). Mega MegaLink is a service offering using ISDN - Primary Rate Access (PRA) standards. Provides 23-64 Kbps digital information channels Link (23) B and 1x16 Kbps signaling and packet information channel (D), (23B+D). Hyper Hyperstream is a packet type data service capable of speeds of 56 Kbps to 1.536 Mbps. This service is for scalable applications or Stream bandwidth on demand.

15 South Etobicoke Employer Cluster Capacity Study Telecommunications Audit J607

5.2 AT&T Canada/Rogers AT&T Service Overview

Switching Capabilities

AT&T currently offers voice and data services to business customers in the South Etobicoke study area through the deployment of state-of-the-art Digital Multiplex System (DMS) switching technology.

Transport and Toll Capabilities

The South Etobicoke study area business long distance customers are connected to the AT&T national network by a core hub switch located in Toronto.

Local Fibre Optics Network Deployment

Locally, the South Etobicoke study area has a robust fibre optic network connecting the majority of the key business and employment zones. AT&T has an extensive local fibre network which stretches throughout the South Etobicoke study area.

Local access fibres service the key business and employment zones of the South Etobicoke study area.

Recent New Technology Deployment

AT&T has invested heavily in the deployment of fibre optic networks in the South Etobicoke study area over the past five years to serve business customers.

Local Internet Access Services

AT&T Internet (formally Netcom) is available to business and residential customers in the South Etobicoke study area.

Local Cellular and Wireless Services

Rogers AT&T Wireless offers a full slate of mobile wireless services in the South Etobicoke study area. This includes analog and digital (PCS) cellular services and paging services. Rogers AT&T Wireless through its partnership with an area company, Research in Motion (RIM) offers wireless internet and paging services through the new Blackberry device.

Source AT&T Canada, April 2001 www.attcanada.ca

16 South Etobicoke Employer Cluster Capacity Study Telecommunications Audit J607

Table 2: AT&T Canada/Rogers AT&T Service Capabilities South Etobicoke Study Area

Exchange CTX CMS TMS IVMS CCF RCF 911 CTX ADSL MicroLin MegaLink Hyperstrea Data k m Distance Sensitive Service

SeventhYYYYYYYYY Y Y Y IslingtonYYYYYYYYY Y Y Y RexdaleNNNNNNNNN N N N BellevueYYYYYYYYY Y Y Y EagleYYYYYYYYY Y Y Y BurnamthorpeYYYYYYYYYY Y Y Derry RoadYYYYYYYYY Y Y Y Dundas YYYYYYYYY Y Y Y Port CreditNNNNNNNNN N N N ActonNNNNNNNNN N N N RiddelleNNNNNNNNN N N N RogersNNNNNNNNN N N N RunnymedeNNNNNNNNN N N N

Source: AT&T Canada – April 2001

17 South Etobicoke Employer Cluster Capacity Study Telecommunications Audit J607

5.3 Bell Canada/ Service Overview

Switching Capabilities

A state-of-the-art digital switch located on Seventh Street serves the South Etobicoke study area. This switch is capable of providing the full range of services available at Bell Canada such as Centrex, Hyperstream and Bell SmartTouch features (Table #3). It provides a high degree of redundancy with a minimum interruption level in the event of a failure. This switch is connected to the CCS7 (call control) network ensuring the most rapid call connections and accessibility to enhanced services.

Transport and Toll Capabilities

The South Etobicoke study area is connected to the Bell Canada ATM (asynchronous transfer mode) Network by a core hub switch at the Seventh Street switching centre. The ATM switch is connected to the national network via a series of switching centres around the Toronto area. A Nortel ATM Edge Switch, Alcatel Call Server and a Cisco Router also support the local network.

The South Etobicoke study area long distance toll capabilities are provided on diverse Fiber Optic SONET Ring Technology between Toronto and Windsor. The South Etobicoke study area is linked to dual toll centers to provide a high degree of connectivity and survivability.

Local Fibre Optics Network Deployment

The South Etobicoke study area has a robust fiber optic network connecting the majority of its serving centers in the City of Toronto. Local access fibers have been established to serve all of the key business and employment zones of the South Etobicoke study area.

Recent New Technology Deployment

The South Etobicoke study area has ATM (asynchronous transfer mode) based services, providing high- speed connectivity (up to 155 Mbit/s) linked to several node switches throughout the City of Toronto. This provides the SERP study area the full feature set of Bell Nexxia (National) IP Services such as IP Connect, IP VPN, IP Learning and IP Hosting.

18 South Etobicoke Employer Cluster Capacity Study Telecommunications Audit J607

Local Internet Access Services

The South Etobicoke study area is designated a MicroLink (ISDN), MegaLink and ADSL serving area ensuring high speed access to broadband services not only to the large business clientele, but to small businesses as well as to residential customers through the provisioning of Sympatico High Speed Edition. These services are loop distance sensitive to a maximum of 4 kilometers of the local switching centre.

Local Cellular and Wireless Services

The full slate of wireless services offered by Bell Mobility can be obtained in the South Etobicoke study area. This includes analog and digital (PCS) cellular services and paging services

Source: Bell Canada – April 2001 www.bell.ca

19 South Etobicoke Employer Cluster Capacity Study Telecommunications Audit J607

Table 3: Bell Canada/Bell Mobility Service Capabilities South Etobicoke Study Area

Exchange CTX CMS TMS IVMS CCF RCF 911 CTX ADSL MicroLin MegaLink Hyperstrea Data k m Distance Sensitive Service

SeventhYYYYYYYYY Y Y Y IslingtonYYYYYYYYY Y Y Y RexdaleYYYYYYYYY Y Y Y BellevueYYYYYYYYY Y Y Y EagleYYYYYYYYY Y Y Y BurnamthorpeYYYYYYYYYY Y Y Derry RoadYYYYYYYNANY Y Y Dundas YYYYYYYNANY Y Y Port CreditYYYYYYYNANY N Y ActonYYYYYYYYY Y Y Y RiddelleYYYYYYYYY Y Y Y RogersYYYYYYYYY Y N Y RunnymedeYYYYYYYYY Y Y Y

Source Bell Canada April 2001

20 South Etobicoke Employer Cluster Capacity Study Telecommunications Audit J607

5.4 Toronto Hydro Telecom Service Overview

Switching Capabilities

Toronto Hydro Telecom can provide clients with a variety of products for voice, data and message communications including next generation ATM (Asynchronous Transfer Mode) switching.

Transport and Toll Capabilities

Toronto Hydro Telecom does not offer toll services. All data transfer outside of the immediate network is accomplished via direct connection to other networks.

Local Fibre Optics Network Deployment

Toronto Hydro Telecom presently does not have any existing fibre optics deployment in the South Etobicoke study area. Toronto Hydro Telecom can provide the local loop component of data and voice requirements. A single connection to the network allows multiple services to be accessed at speeds ranging from 1mbps to Optical Carrier.

Recent New Technology Deployment

Toronto Hydro Telecom can provide a variety of services including Voice over IP, Virtual Private Networks (VPN’s), LAN Extensions, Wide Area Networks (WAN’s) and Off-site Data Storage.

Local Internet Access Services

Toronto Hydro Telecom does not provide internet access as a service option to customers.

Local Cellular and Wireless Services

Toronto Hydro Telecom does not offer cellular or paging services.

Source: Toronto Hydro Telecom – April 2001

21 South Etobicoke Employer Cluster Capacity Study Telecommunications Audit J607

5.5 Telus Integrated Communications/ Service Overview

Switching Capabilities

TELUS utilizes Bell Canada facilities for access and long distance services (Table #4)

Transport and Toll Capabilities

Toll Services are currently carried on Bell Canada’s network regionally. TELUS is building a national network to allow the deployment of more advanced services.

Local Fibre Optics Network Deployment

TELUS utilizes Bell Canada facilities for local access currently and is seeking partners with which to supply advanced local access options.

Recent New Technology Deployment

No deployment currently underway by TELUS.

Local Internet Access Services

TELUS supplies Internet services for the small and medium business customer as well as internet service providers (ISP’s) on the access services supplied by Bell Canada.

Local Cellular and Wireless Services

TELUS Mobility provides analog and digital cellular service through its subsidiary company Telus Mobility.

Source: Telus Integrated Communications – April 2001 www.telus.ca

22 South Etobicoke Employer Cluster Capacity Study Telecommunications Audit J607 Table 4: Telus Integrated Communications/Telus Mobility Service Capabilities South Etobicoke Study Area

Exchange CTX CMS TMS IVMS CCF RCF 911 CTX ADSL MicroLin MegaLink Hyperstrea Data k m Distance Sensitive Service

SeventhY*Y*Y*Y*Y*Y*Y*Y*Y*Y*Y*Y* Islington Y* Y* Y* Y* Y* Y* Y* Y* Y* Y* Y* Y* RexdaleY*Y*Y*Y*Y*Y*Y*Y*Y*Y*Y*Y* Bellevue Y* Y* Y* Y* Y* Y* Y* Y* Y* Y* Y* Y* Eagle Y*Y*Y*Y*Y*Y*Y*Y*Y*Y*Y*Y* Burnamthorpe Y* Y* Y* Y* Y* Y* Y* Y* Y* Y* Y* Y* Derry Road Y* Y* Y* Y* Y* Y* Y* N N Y* Y* Y* Dundas Y* Y* Y* Y* Y* Y* Y* N N Y* Y* Y* Port Credit Y* Y* Y* Y* Y* Y* Y* N N Y* N Y* Acton Y*Y*Y*Y*Y*Y*Y*Y*Y*Y*Y*Y* Riddelle Y* Y* Y* Y* Y* Y* Y* Y* Y* Y* Y* Y* Rogers Y* Y* Y* Y* Y* Y* Y* Y* Y* Y* N Y* RunnymedeY*Y*Y*Y*Y*Y*Y*Y*Y*Y*Y*Y* Source: Telus Integrated Communications April 2001 * Bell Canada Carrier Services Agreement

23 South Etobicoke Employer Cluster Capacity Study Telecommunications Audit J607 5.6 Group Telecom Service Overview

Switching Capabilities

Group Telecom can provide business customers a variety of high speed switching options depending on the customer’s requirements.

Transport and Toll Capabilities

Toll services such as long distance and 1-800 services are currently carried on their regional and local networks. Group Telecom is building a national network to allow the deployment of more advanced services.

Local Fibre Optics Network Deployment

Group Telecom does not have local access fibre deployed in the South Etobicoke study area.

Recent New Technology Deployment

No deployment currently underway by Group Telecom.

Local Internet Access Services

Group Telecom supplies Internet services for the small and medium business customer as well as internet service providers (ISP’s) on a scalable basis depending on a customer’s requirements.

Local Cellular and Wireless Services

Group Telecom does not provide wireless services.

Source: Group Telecom – April 2001 www.gt.ca

24 South Etobicoke Employer Cluster Capacity Study Telecommunications Audit J607 5.7 360 Networks Inc. Service Overview

Switching Capabilities

360 Networks provides fibre optic networks to a variety of customers. The company does not offer traditional telecommunications services such as voice, local access or data services but is in the business of leasing fibre optic capacity on it’s network.

Transport and Toll Capabilities

360 Networks has a well established national network allowing the deployment of more advanced services to telecommunications companies, internet service providers, application service providers and data-centric enterprises.

Local Fibre Optics Network Deployment

360 Networks has an extensive deployment of local access fibre routes in the South Etobicoke study area which they have for lease for traditional telecommunications providers.

Recent New Technology Deployment

360 Networks will continue to expand local fibre access routes to meet customer demand.

Local Internet Access Services

360 Networks does not offer internet services.

Local Cellular and Wireless Services

360 Networks does not offer cellular or wireless services.

Source: 360 Networks – April 2001 www.360.net

25 South Etobicoke Employer Cluster Capacity Study Telecommunications Audit J607 5.8 Sprint Canada Service Overview

Switching Capabilities

Sprint Canada can provide business customers a variety of high speed switching options depending on the customer’s requirements. Sprint Canada operates a switching centre on Horner Avenue in the South Etobicoke study area.

Transport and Toll Capabilities

Toll services such as long distance and 1-800 services are currently carried on their regional and local networks and are available in a variety of options depending on the customer’s requirements.

Local Fibre Optics Network Deployment

Sprint Canada utilizes AT&T facilities for local access in the South Etobicoke study area.

Recent New Technology Deployment

No deployment currently underway by Sprint Canada.

Local Internet Access Services

Sprint Canada supplies Internet services for the small and medium business customer as well as internet service providers (ISP’s) in the South Etobicoke study area. High-speed access and digital subscriber line (DSL) services are available to business customers.

Local Cellular and Wireless Services

Sprint Canada does not provide wireless and cellular services.

Source Sprint Canada – April 2001 www.sprintcanada.ca

26 South Etobicoke Employer Cluster Capacity Study Telecommunications Audit J607

6.0 Comparative Analysis – Neighbouring Communities

The study team collected telecommunications infrastructure data for the neighboring communities as part of the study process.

During interviews with the telecommunications providers, the study team investigated the nature of the telecommunications infrastructure in the neighboring communities and conducted a comparative analysis of the data with that of the South Etobicoke study area.

Information collected has been summarized by telecommunications provider and listed by individual telephone exchanges for the City of Mississauga and City of Brampton serving areas. This information is presented in Tables 2, 3 & 4 of Section 5.0.

The telecommunications infrastructure in neighboring communities is directly comparable with that of the South Etobicoke study area.

Features including switching technology, transport and toll capabilities, local fibre optics network deployment, internet access services, cellular and wireless services and recent new technology deployment as described in Section 5 of this study are virtually identical to that of the South Etobicoke study area.

In conclusion, the study team has determined that the telecommunications infrastructure in the neighboring communities is directly comparable to the provisioning and network infrastructure of the South Etobicoke study area.

27 South Etobicoke Employer Cluster Capacity Study Telecommunications Audit J607

7.0 SWOT Analysis

7.1 Strengths

Upon review of the data gathered in the telecommunications audit analysis, the following strengths have been identified in the South Etobicoke study area:

• The South Etobicoke study area is well served by several national telecommunications providers allowing business customers a wide range of choice of suppliers with a variety of telecommunications service options.

• Deregulation of the telecommunications industry has provided an extremely competitive marketplace decidedly in the customer’s favour in the South Etobicoke study area compared to other jurisdictions in North America.

• Coverage of local access fibre throughout the entire South Etobicoke study area provides current and potential commercial and industrial customers fibre optics access in all areas.

• Scalable, high speed broadband services to support business customers are available throughout the South Etobicoke study area.

7.2 Weaknesses

Upon review of the data gathered in the telecommunications audit analysis, the following weaknesses have been identified in the South Etobicoke study area:

• The telecommunications access policies of the City of Toronto and in the South Etobicoke study area in particular require a significant “front end” time commitment by telecommunications providers before improvements or new services can be initiated.

• The South Etobicoke study area must compete with all areas of the City of Toronto for the deployment of new capital investment by telecommunications providers.

• The South Etobicoke study area has some low signal zones which have created “grey areas” for cellular customers.

• The South Etobicoke study area key business and employment zone make-up is of large single tenant entities which require modest telecommunications services. Large multi-tenant prestige commercial tenants are significant users of telecommunications services and are consequently coveted by telecommunications providers.

7.3 Opportunities

Upon review of the data gathered in the telecommunications audit analysis, the following opportunities have been identified in the South Etobicoke study area:

28 South Etobicoke Employer Cluster Capacity Study Telecommunications Audit J607 • Opportunities exist for new infrastructure development and service provisioning from Toronto Hydro Telecom, Telus Integrated Communications, Group Telecom, 360 Networks and Sprint Canada for business customers in the South Etobicoke study area.

• Opportunities exist for the South Etobicoke Regeneration Project (SERP) to enter into strategic alliance initiatives with the telecommunications providers in the South Etobicoke study area.

• The South Etobicoke Regeneration Project (SERP) has the opportunity to develop a “one stop shop” on telecommunications infrastructure information for the South Etobicoke study area for the business community and telecommunications providers

7.4 Threats

Upon review of the data gathered in the telecommunications audit analysis, the following threats have been identified in the South Etobicoke study area:

• As a result of an abundance of large single tenant industrial and commercial properties in the South Etobicoke study area, attraction of investment for new telecommunications services by telecommunications providers may be difficult. It is advantageous for telecommunications companies to construct infrastructure to service many customers at one location rather than single customers at multiple locations.

7.5 Conclusions

After careful consideration and analysis of the strengths, weaknesses, opportunities, and threats of the present and future telecommunications infrastructure in the South Etobicoke study area by the study team, the following indicators are prevalent:

• Overall, the study team has confirmed that the telecommunications infrastructure in the South Etobicoke study area is well developed and offers a significant range of services and choice to the business customer.

• As a result of an abundance of large single tenant industrial and commercial properties in the South Etobicoke study area, attraction of investment for new telecommunications services by telecommunications providers may be difficult. It is advantageous for telecommunications companies to construct infrastructure to service many customers at one location rather than single customers at multiple locations

• Deregulation of the telecommunications industry has provided an extremely competitive marketplace decidedly in the customer’s favour in the South Etobicoke study area compared to other jurisdictions in North America.

• Opportunities exist for the South Etobicoke Regeneration Project (SERP) to enter into strategic alliance initiatives with the telecommunications providers in the South Etobicoke study area.

• The South Etobicoke Regeneration Project (SERP) has the opportunity to develop a “one stop shop” on telecommunications infrastructure information for the South Etobicoke study area for the business community and telecommunications providers

29 South Etobicoke Employer Cluster Capacity Study Telecommunications Audit J607 • Opportunities exist for the South Etobicoke Regeneration Project (SERP) to work with wireless telecom providers to provide additional services to the South Etobicoke study area.

30 South Etobicoke Employer Cluster Capacity Study Telecommunications Audit J607

8.0 Action Plan Summary

Resource Actions Responsibility Timeline Requirements 1. Position telecommunications infrastructure, products and services as enablers of job creation and economic development in the South Etobicoke study area. • Develop an economic development telecommunications SERP/City of Toronto High 6 months strategy and marketing plan • Create and implement telecommunications SERP/City of Toronto Medium 1 year marketing initiatives • Develop in-house expertise on telecommunications SERP/City of Toronto High 3 months issues in support of economic development • Collect and maintain “community intelligence” on SERP/City of Toronto High 4 months telecommunications issues and business barriers 2. Provide proactive leadership on telecommunications issues in the South Etobicoke study area.

• Build strategic alliances with key SERP/ City of Toronto Medium 2 months telecommunications providers. • Deliver briefings to key municipal, business and community leaders on SERP/ City of Toronto Medium 4 months South Etobicoke telecommunications issues. 3. Create an increased understanding and support of telecommunications issues through the development and implementation of a community education initiative in South Etobicoke.

31 South Etobicoke Employer Cluster Capacity Study Telecommunications Audit J607 Resource Actions Responsibility Timeline Requirements • Engage key personnel in introductory SERP/City of Toronto High 2 months telecommunications training. • Develop and deliver introductory telecommunications SERP/City of Toronto/Chamber Medium 6 months training workshops of Commerce for key business and community leaders

32 South Etobicoke Employer Cluster Capacity Study Telecommunications Audit J607

Appendix A

Interview List

Telecommunications Providers & Telecommunications Service Relationships

33 South Etobicoke Employer Cluster Capacity Study Telecommunications Audit J607

Telecommunications Infrastructure Audit Interview List – Telecom Providers

Bell Canada Telus Inc. ATT Canada 483 Bay Street, 7N 148 Fullarton Street 438 University Ave, F4 Toronto, Ontario Suite 1102 Toronto, Ontario M5G 2E1 London, Ontario M5G 2K8 N6A 5P3

Toronto Hydro Telecom 360 Networks Group Telecom 777 Bay Street 5500 Explorer Drive 20 Bay Street Suite 423 Mississauga, Ontario 7th Floor Toronto, Ontario L4W 6G7 Toronto, Ontario M5G 2C8 M5J 2N8

Sprint Canada 2235 Sheppard Ave. E. Suite 600 North York, Ontario M2J 5B8

Telecommunications Providers – Service Relationships

Business Business Business Business Voice & Data Internet Cellular Fibre

Bell Canada Sympatico Bell Mobility Bell Canada/Bell Nexxia

Telus Telus/PSI Telus MobilityTelus (formerly Clearnet)

None None None Toronto Hydro Telcom

Group Telecom Group Telecom None Group Telecom

AT&T CanadaAT&T CanadaRogers AT&T AT&T Canada

None None None 360 Networks (Ledcor)

Sprint Canada Sprint Canada None Sprint Canada

34 South Etobicoke Employer Cluster Capacity Study Telecommunications Audit J607

Appendix B

Telecommunications Providers Survey

35 South Etobicoke Employer Cluster Capacity Study Telecommunications Audit J607

Telecommunications Infrastructure Study Telecom Providers Survey

1. Provide a description of the switching types, features, capabilities and location in the South Etobicoke study area.

2. Provide a description of the transport and toll capabilities and features in the South Etobicoke study area and their relationship provincially and nationally.

3. Provide a description of the extent of the deployment of fibre optics infrastructure and special features in the South Etobicoke study area.

4. Provide a description of any new technology deployment in the South Etobicoke study area (ie. wireless urbanization of exchanges etc.)

5. Provide a description of the internet local access services provided in the South Etobicoke study area.

6. Provide a description of local wireless services provided in the South Etobicoke study area (ie. cellular, paging etc.)

36 South Etobicoke Employer Cluster Capacity Study Telecommunications Audit J607

Appendix C

South Etobicoke Study Area Telecommunications Infrastructure Map

37 South Etobicoke Employer Cluster Capacity Study Telecommunications Audit J607

38 South Etobicoke Employer Cluster Capacity Study Telecommunications Audit J607

Appendix D

Company Information Enterprise Development Services South Etobicoke Employer Cluster Capacity Study Telecommunications Audit J607 Company Background

Enterprise Development Services, based in Ingersoll, Ontario, provides a complete range of professional services with particular emphasis on economic development.

G.J. (Greg) Borduas, Principal, Enterprise Development Services, has over 15 years of experience in the private and public sectors having held senior administrative positions in municipal and provincial governments as well as the private sector.

Enterprise Development Services specializes in providing professional expertise in the areas of business planning, project management, economic development strategic planning, new market development, event management, tourism marketing and telecommunications infrastructure review.

Greg Borduas has been involved extensively in the volunteer and non for profit sector as a member and director of several boards and agencies including serving as Past President of the Economic Developers Council of Ontario (EDCO) and Ontario appointee on the board of directors of the Economic Developers Association of Canada (EDAC).

Enterprise Development Services has assembled a team of highly qualified professionals who act as “specialists” on clients projects depending on the discipline required by the client. This team approach provides clients the “one stop shop” for custom professional services in all practices and disciplines in the field of economic development.

Principal Experience

G.J. (Greg) Borduas, Principal, Enterprise Development Services received his education at the University of Western Ontario and the University of Waterloo in commerce and economic development.

Greg has held a series of senior administrative positions in the private and public sectors. Greg’s background includes experience in economic development, telecommunications, human resource development and public relations.

The primary focus for Greg’s achievements has been his involvement in leading edge economic development initiatives. Greg has built solid credentials in providing leadership to projects such as:

• Creation of the first community economic development program in a Canadian based private sector utility company • Completed a telecommunications infrastructure study for a Southwestern Ontario city. • Creation and implementation of the Bell Canada Economic Development Fund – the first private sector funding program for community economic development

40 South Etobicoke Employer Cluster Capacity Study Telecommunications Audit J607 • Designing and delivering training programs for economic development professionals in cooperation with the University of Waterloo CIDA project in Ivano-Frankivsk, Ukraine • Planning and establishment of a mining training facility in a Northern Ontario community • Project manager for a $1 million dollar downtown redevelopment project in a Southwestern Ontario community • Preparation of a five year economic development strategic plan and implementation strategy for a Northern Ontario community • Creation and delivery of a training program for economic development professionals on the inter-relationship of telecommunications and economic development

Greg’s experience has provided him with a wealth of knowledge and contacts in economic development across North America.

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