The CRTC said the potential increase in ad revenue could positively impact Canadian programming expenditures.
The channel provides French-language programming for the province’s racialized communities.
The company responded by alleging its former CEO improperly awarded himself “excessive compensation” upon learning he could be ousted from the role.
The decision followed Videotron’s move to pull the French-language specialty channel from its TV service last week.
The telco giants told the CRTC they would drop the channels due to declining subscribers and market value.
The regulator is seeking more time to modernize its licensing framework as it implements the Online Streaming Act.
All of Canada’s major TV broadcasters currently have some form of open request to amend their licence terms.
The broadcaster said it would run two national feeds, with one dedicated to Indigenous languages, as a way to better serve its mandate in its application to the CRTC.