“NBN network will not enter retail market” says Australian Government
In Australia NBN network is one of the giant in providing broad band services. But Australian government has planned to compete for retail customers with its background of $40 billion broadband network. “The Australian government wants to restrict the super-fast broadband network to wholesale services and keep NBN out of retail”, said NBN network company Chief Executive Mike Quigley. The leading other service providers are watching keenly the steps taken by Australian Government against NBN network.
Quigley also added that, “Any move to authorize the network to connect customers other than an Internet service provider would also be subject to a vote in parliament for approval”.
Telstra and SingTel has commented that NBN Co could go beyond its original remit to provide wholesale services on equivalent terms to all retail service companies. The key promise that led to the victory made by Prime Minister Kevin Rudd was to provide faster networks. Australian government has also put laws before Parliament forcing Telstra to split its retail its retail and cable network arms, and to provide super-fast fibre-optic cable into almost every home using its cable assets. Telstra is previously a state owned company and is currently involved in converting the traditional copper cable to fiber optic cable as a part of the government’s effort to speed up Broad Band.
As a result last week Telstra share jumped from A$3.10 to A$3.19 within half an hour. But later it was denied because Telstra has planned to sell its copper network for A$9.75 billion.
Let’s wait and see the result of Australian Government’s effort to increase the broad band speed and connectivity.