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Australia's Broadband Drought……. Caused by?

Posted on February 21, 2007 by Guest Contributor

So the broadband problem in Australia is “getting worse”, according to a propaganda message by Telstra yesterday at their Back Telstra – Campaign Don’t-Hate-Us campaign. Which I definitely agree, that our broadband adoption rates are falling that behind of even emerging countries, yet alone against the developed ones.

Now We’re Talking

Some key points to note in the meeting were:

– They said: We’re not a monopoly in the market. I point out:(Telstra has 65% market share)

– They said: There are several hundred service providers in the market I say:( (Yes, and Telstra leases lines to 98% of them)

– They said: Talks regarding broadband de-monopolisation broke down because of the regulators I say:( (Well obviously because you didn’t want to let go of your market share!)

Then he went on whinging about how Australia needs to adopt broadband faster and no one’s doing anything about it. As you can clearly see, if you were the Monopoly, you have to make the first move and stop blame shifting it on everyone else.

And what’s worse! This happened: Telstra Raises Prices- AGAIN

I’m amazed at the irony where a service provider who owns the copper lines, can also compete in the market where they provide products to resellers, and then compete against them. It surely doesn’t separate Telstra’s power to, “Hey! Let’s screw everyone and raise the cost of our Leased Lines so that we can compete”. And they go ahead and compete against these resellers by selling broadband, fixed line services and mobile services.

Well then, if Telstra had a mum, she’d cane him for this nonsense.

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Jeremy Toeman is a seasoned Product leader with over 20 years experience in the convergence of digital media, mobile entertainment, social entertainment, smart TV and consumer technology. Prior ventures and projects include CNET, Viggle/Dijit/Nextguide, Sling Media, VUDU, Clicker, DivX, Rovi, Mediabolic, Boxee, and many other consumer technology companies. This blog represents his personal opinion and outlook on things.

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