Outgoing Telstra CEO Andrew Penn has revealed that a security sweep of its recently-acquired telco Digicel found “multiple instances of malware resident in its systems”.
Digicel is the largest telco in the Pacific, with 2.5 million subscribers. It runs 3G and 4G networks across PNG, Fiji, Samoa, Vanuatu and Tahiti.
Telstra completed its A$2.4 billion takeover of Digicel Pacific in June, a purchase widely seen as a political move to counter China’s creeping influence in the region.
The Australian government paid for the lion’s share of the purchase, contributing A$2 billion, with Telstra putting in A$400m in equity.
Speaking yesterday to the National Press Club, Penn revealed the malware could have caused havoc if left undetected, referring to the telco’s 2015 takeover of Pacnet.
“The day after we took over Pacnet, our cyber team went in and did a deep end to end scan and sure enough identified multiple instances of malware resident in its systems.
“We have also just completed the acquisition of Digicel in partnership with the Australian federal government … and yes, we identified multiple instances of malware resident in its systems.
“Fortunately, our cyber team is very experienced, and we are able to clean the networks and systems of any companies we acquire before we connect them into our own networks.
“However, you would be surprised how many companies do not do this and find their entire business is then infected by malware that has got into the company from a business they have acquired.”
Digicel Pacific will be operated by Telstra International as a stand-alone business, and overseen by a Telstra-controlled board, chaired by Telstra Enterprise group executive David Burns.
