And I think it’s as true or more true today than what it was 23 years ago. And how well do you position yourself for that digital revolution and leveraging everything from legacy AI opportunities, the generative AI opportunities. And I believe that they are truly profound within both our telecom business and our emerging business. And they are profound because they can help us on the customer service front, better service for less money spent. They can help us on product development, new sources of revenue. They can help us on what we need to do to materially reduce our cost base. So, our story of our margins growing 35% faster than our revenues isn’t a story that’s isolated the Q3 2023, but a story that’s indicative of what happens over the next 5 years.
And we got to be an organization through TELUS and TI that’s out they are helping our B2B customers with their digital and AI transformation journey along the way. I also think people look at the sectoral place that we have made on agriculture, consumer goods and health. Those are really just data plays. There are digital thesis in action to drive value creation to leverage the advent of these capabilities and what they are going to mean in terms of driving better health outcomes, better food outcomes along the way. As it relates to the regulatory environment, and God forgive me for saying this, but I see over the longer term, the environment moderating. I think a lot of the goals that the Federal Government has had on the regulatory front have effectively been answered.
And I think this is an era to allow free market forces to determine competitive outcomes, not regulatory or government intervention. I am not saying that it’s going to go away. I believe strongly that it’s always going to be there. But I believe that on the whole, the regulatory environment of the future will be more moderate or benign versus what we have seen in the past. And if you look at whether it’s the competitive landscape, the number of offerings that are out there in the competitive landscape, the number of competitors, or if you just want to go down to the key metrics like has the affordability objective been achieved, well, there is one hell of a dichotomy right now within the Canadian landscape, where if you look at the magnitude of general inflation on the CPI front, it’s a nontrivial number.
And you can see what Federal governments around the world are doing as it relates to quantitative tightening. On the flip side, prices on telecom have come down appreciably to the tune of like 17% to 20% within the wireless industry alone. So, it is quite a deflationary, inflationary dichotomy as it relates to telecoms versus general goods and services along the way. And then lastly, I think the organization that best executes the technology play does it with the best culture of execution and the best customer centricity, manages its cost base really well and finds the type of sustainable sources of growth that you see within the complexion of the TELUS portfolio and bundles those solutions in a way that’s very elegant and meaningful to clients.
I think that they are going to win. And so that’s the best I can give you on a concise basis for the purposes of this call. Thanks.
Drew McReynolds: Thanks Darren.
Robert Mitchell: Thank you, Drew. Mihai, next question, please.
Operator: The next question comes from Stephanie Price from CIBC World Markets. Please go ahead.
Stephanie Price: Good morning. You posted solid Internet net adds in the quarter. And I am just curious about what you are seeing in the West in terms of competition? But also what sort of contribution your non-Western footprint played in Internet adds in the quarter?
Darren Entwistle: Okay. Maybe after my last answer, I will hand it over to Zainul to do this one, Stephanie. Zainul, go ahead.
Zainul Mawji: Thanks Darren. So Stephanie, I think it’s important to highlight that what we are seeing in the West is pretty consistent. Our value propositions are resonating. We are continuing to drive bundled economics and bundled households, as we have talked about. And as Jim reinforced as well, that’s giving us some retention momentum that serves us well on the net adds front. And there are areas that we are continuing to build new fiber capability even though our CapEx is declining, there is still fiber new footprint as well as tenured footprint that we are growing into. And we are seeing a lower sort of rate of – or a higher rate of occupancy across footprint. So, that’s continuing to add to growth as well. I would say that the Eastern side is humble at this point.
We are really looking at that in terms of we have been providing home security and automation nationally for several years now. In some areas, having a solid Wi-Fi, and high-speed service is the backbone of that. And we are also seeing bundling economics helping us with wireless base management in those areas as well. So, we will continue to look at that and again, really focus on profitable net growth based on the rate at which we are able to access facilities as well as the bundling economics of the base.
Stephanie Price: Thanks. And then maybe just one other one for me, just on TELUS Health and its trajectory now that the rebranding has been completed. It looks like revenue growth was solid in the quarter and there was obviously very strong EBITDA growth. How should we think about the changes you are implementing in the business to drive growth and the trajectory here?
