Telecom is getting it\’s day…and losing

Telecom lost it\’s second commerce commission ruling today onthe back of it\’s last one a wek ago. Suddenly Telecom is being told by those with the power that they are indeed a monopoly and that they are indeed hurting competition in New Zealand

This weeks battle was about the maximum speed provided to resellers of Telecoms service. (UBS) Now Telecom need to provide the service at it\’s technological maximum rather than the self imposed maximum by Telecom.

Now, it may be me, but isnt this common sense? Telecom already provide faster speeds to it\’s own customers, so why can\’t the rest of the industry follow on.

And predictably, Telecom looks like appealing the decision, spinning the process out a whole lot longer.

However, it is looking like they are starting to lose the battle.

One of their crutches is the \”Kiwi Share\”, this is, for those of you not from NZ, where Telecom provides free local calls to us.

They say that they cant run as a proper business and offer all of these concessions unless the Kiwi Share is abolished. This coming from a company that has made around $800m in profits over the last few years!

Maybe, in the future, the Kiwi Share will come to an end, but in my opinion, $800m is too much to be complaining about.

Till Next Time