TECH SUPPLIER Sep 2018 - Market Presentation - Doc # CA43232418

Impact of IFRS 15 Accounting Rule Change on the Canadian Communications Services Forecast, 2018–2022

By: Lawrence SurteesResearch Vice President, Communications, Meng CongManager, Market Insights and Analytics, Nikhil Anand

On-line Presentation


This IDC Presentation presents our high-level summary of the impact of a major International Financial Reporting Standard (IFRS) accounting rule change on IDC Canada's Canadian Communications Services Forecast, 2018–2022. This fall update refreshes IDC Canada's annual Communications Market Model and forecast study released in May 2018.

A major revision to our top-line and segmented markets revenue has occurred in this fall update due to the impact of a major IFRS accounting rule change, IFRS 15, that took effect for fiscal reporting periods after January 1, 2018. We estimate the impact of adopting the IFRS 15 rule change will result in a C$3.7 billion reduction of Canadian communications service provider 2018 revenue to C$55.5 billion according to our fall estimate. The bulk of that impact on Canadian communications providers' revenue will be in the wireless services market segment.

This Presentation should be reviewed in conjunction with the May 2018 study, Canadian Telecom Services Forecast, 2018–2022: Telecom Inside Out (IDC Canada #CA42532118, May 2018) for detailed market assumptions and drivers which remain largely unchanged.


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