The leave behind present from Telstra CEO Sol Trujillo who is set to leave Telstra in June 2009 will create problems for both sceptical investors and the Federal Government who later this week is set to announce the winner of the contract to build a new multibillion dollar National Broadband Network in Australia.
The problem for the Government is that Australia is fast moving to wireless with Companies like Sony, Samsung, Panasonic and Cisco set to launch new wireless products such as TV's with built in wireless, wireless audio products as well as notebooks with built in wireless cards which by Xmas will be capable of 100Mbps after Telstra today announced that they will upgraded to 100Mbps their Melbourne network followed by networks in five other major Cities.
The problem for any investor in the proposed national broadband network is that Telstra already has a network and as the new comers are forced to spend billions on a new network Telstra is only spending million on the upgrading of an existing network.
They already have fibre optic in the ground in key inner city areas and for the last 3 years have been laying fibre optic into new "green field" developments on the outskirts of major cities like Melbourne and Sydney. This will allow them to deliver very fast broadband speeds.
