Home > Latest News > Telstra-TPG Deal Will Increase Competition, Argues Telcos

Telstra-TPG Deal Will Increase Competition, Argues Telcos

Telstra and TPG have argued against claims from competitor Optus that their proposed network sharing partnership will create a 5G monopoly in large swathes of regional Australia, claiming that the opposite is true.

The proposed deal, which is currently being scrutinised by the ACCC, means that Telstra will gain access to TPG’s 4G and 5G spectrum, and 169 mobile sites.

TPG will, in turn, access 3,700 Telstra cellular towers, bumping its 4G coverage to 98.8 per cent of Australians. It will also decommission 725 of its TPG mobile sites, allowing for better access for customers of both telcos.

“This additional spectrum will mean that all Telstra customers will continue to experience Australia’s best and fastest network across the country, in combined 4G and 5G speeds,” said Telstra then-CEO Andy Penn in April, when the deal was struck, arguing the spectrum agreement will “ensure that regional and rural customers will now. experience faster speeds in more locations on their mobiles.”

Optus argued that the partnership “overturns 30 years of competition policy by eliminating one of Telstra’s competitors and seriously placing Telstra’s main competitor, Optus, at a disadvantage.

“We believe the Australian Competition and Consumer Commission should consider consumers’ best interests in their decision and block this arrangement for the benefit of regional Australians.”

The ACCC may make Telstra and TPG’s submission the ACCC public as soon as today.

Optus says the eliminate of an alternative network provider removes back-up options for regional communities if one provider’s network “succumbs to extreme weather, disaster or power failure.”

“Thankfully, today we have those back-up options. But all of this is being put at risk by the partnership proposed by Telstra and TPG.

“The proposed partnership should be of major concern to government, our regulators, and regional communities. There is no other industry where a combination of the first and third largest players would be considered.”

 



You may also like
ACCC Questions Meta Impact On Media Companies As Issues Raised Over Media Content
Telstra, Optus and TPG Lose Market Share to Smaller NBN Providers
Optus Not For Sale Claims Singtel Statement Hints At Price Issue
Optus Owner Moves To Beef Up Security After Hack Attack & Network Failure
EXCLUSIVE:Optus Tipped To Be Looking At Major Store Supply Restructure