Business Services Industry
Telstra's zero hour looms.
Australasian Business Intelligence, June, 2007
Jun 27, 2007 (The Australian Financial Review - ABIX via COMTEX) -- Australian telco, Telstra, is facing many challenges. It has lost the Australian Government tender to provide broadband services in rural areas. That tender has gone to Singtel Optus and Elders. The Government will appoint an independent panel of experts to judge which telco should get the tender to provide fast broadband services in city areas across Australia. Telstra is regulated in many ways, and it does not like this regulation. It does not want to pay to build a fast broadband service then see rivals access it at minimal cost. Telstra's management may have to consider a spin-off, where managers could separate different parts of the group and get the "regulatory monkey" off its back. Editorial....
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