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View Full Version : Competitors concerned over Telecom's network upkeep



Trev
28-08-2006, 09:52 AM
Click Here (http://www.nzherald.co.nz/section/story.cfm?c_id=5&ObjectID=10398319)

Trevor :)

somebody
28-08-2006, 10:28 AM
Of course Telecom is going to underinvest in the phone network. Why would they, when other competitors can make use of it without having to put forward the capital costs needed to upgrade the infrastructure?

personthingy
31-08-2006, 05:27 PM
Of course Telecom is going to underinvest in the phone network. Why would they, when other competitors can make use of it without having to put forward the capital costs needed to upgrade the infrastructure?Because others using the Telecom network in fact means others buying wholesale access, and then doing the marketing themselves. Telecom still get paid proportionately, but only have to do the network building and maintenance, and with the bran new set up being rolled out, new copper pairs will only be a few hundred meters at the most, so Telecom will be able to keep it running at a much lower cost, and higher customer base over time..... Makes good sense to me, and seems profitable.

Telecom will bleat because they have to, as the exact terms of "wholesale" pricing will be decided politically, and everyone must pretend to be hard done by to have their point of view considered :groan: .

PaulD
31-08-2006, 06:18 PM
From the Herald article "Internet service provider Orcon's chief executive, Scott Bartlett, said the number of faults on Telecom's broadband DSL lines was falling." so why is he concerned? But he's not Orcon's CEO so maybe the Herald just makes this up.