Full out privatization makes sense, and would bring no benefits. Private companies would only be interested in operating the most profitable lines, so either VIA is left with low profit smaller communities and requires a huge subsidy to keep those lines open, or service just fades away. Having VIA remain a crown corporation means it can use the profits from the most profitable lines offset costs from those that do not make money, but still provide important service to smaller communities. Not that private companies dont have a role, or could not have a limited partnership, but the wholesale privatization of VIA would be a terrible mistake.
As others have said, creating high speed service in the corridor is not complicated, and there are handfuls or solutions for most of the problems that would arise in terms of infrastructure, service, coordination of service with regional rail operators, etc. It just requires a critical mass of public and political support too make it happen, which is slowly happening, and should pick up momentum in the next few years.
I know everyone gets their back up when privatization is suggested, but in a case like this where service is already sub-par, what do we lose?
What do you gain though? Unless there is massive infrastructure investment in the network itself then a privatized VIA can do nothing to change the problems that limits it growth and operating potential. If the government is going to invest 10 billion dollars or more, why should it then hand over what will become a profitable corporation to private interests? So actually there is a lot too lose because once a current or upgraded HS VIA is privatized it is almost a guarantee that service to small centers will be lost or service to anywhere else they deem to be unprofitable.
I would also add that if the private sector where willing to cover most of the cost of infrastructure, then it would be different. But when the public funds the total cost of the infrastructure and then is expected to hand it over and let private industry take the profits, that is little more than a scam and a waste of public money for private interests.