The new Skype for iPhone application is very popular around the world as it has established itself as the top free iPhone application in most countries – but not in Canada.
Why not in Canada you ask? Well it seems we have a uniquely Canadian problem.
The explanation so far is kind of vague but it has something to do with Skype patent license restrictions that only apply in Canada.
It is difficult for Canadian’s wanting Skype for iPhone to know what to do when it isn’t clear what the specific issue is and who is responsible.
This isn’t the first time that Canada is a special case regarding Skype features. Canadians are also not able to get a Skype phone number to make use of the SkypeIn feature that allows regular phone users to call Skype users. This is because CRTC regulations require phone service operators to offer enhanced 911, which allows the operator to find the location of a caller. Can someone explain to me why every service on a multi-service device must have 911 capabilities? These special Canadian rules being out of sync with the rest of the world are a competitive disadvantage in not being able to use equivalent or better VoIP services.
iPhone users aren’t the only ones affected. Skype is also planning software for Blackberry phones which will be available in Canada in a few months but it’s technical capabilities will be restricted to only supporting instant messaging and receiving calls from Skype users. Apparently this is also due to regulatory and legal issues that are only in Canada. Blackberry users in Canada won’t be able to use skypeOut or skype to skype capabilities.
Canada seems to be the worst case but we are not completely alone in resistance to change to how VoIP can be provided.
Deutsche Telekom in Germany is also fighting Skype VoIP services:
“What amazes me is that Skype is the number one download on the App Store in Germany, and yet the country’s dominant telecom operator Deutsche Telekom has already made it known that it would block the use of Skype on iPhone (and on Blackberry), both for its mobile network customers, and at its Wifi hotspots. (as reported in the German online press and today in the American media)”.
While Canada is not completely alone in dealing with these issues it is clear that changes are needed to allow Canadian business to progress and compete with the rest of the world. These examples can be added to the broader list of issues that Michael Geist identified in his recent article on Internet/Telecom issues (Storm Clouds Ahead for Canadian Wireless World) that are holding back Canadian business. With the trends in smartphone computer platforms (like iphone, blackberry, and android) there will be undoubtably many more cases of valuable innovation being stifled if regulatory and legal solutions aren’t found.
For more about Skype check out the Glen Sharp technology blog.
2009-06-10 Update: Voice on the web has further background on the patent license restrictions stopping skype on the iPhone from being offered in Canada.