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  1. #1
    Alan Parkington
    Guest
    From
    http://business.smh.com.au/telstra-f...0625-2wqf.html

    An uneasy truce in relations between Telstra and the Government has existed
    since the election, but now there are signs a return to the nasty days of
    political brawling could be about to erupt.

    Communications Minister Stephen Conroy has endured a relatively soft ride so
    far in the portfolio compared to the combative feuds that were commonplace
    between his predecessor Helen Coonan and Telstra's management.

    However, Telstra has now fired the first shot across the Government's bows
    with threats that if structural separation was ever ordered, the telco would
    pursue "endless litigation'' through the courts.

    The tender process for submissions addressing the regulatory aspects of the
    new planned high-speed fibre network closed today and the majority of
    Telstra's rivals want the separation to occur.

    The stance of the Government, particularly Conroy, has been opposed to the
    structural separation because it has been of the view that the network would
    provide the equitable access to the infrastructure by Telstra's rivals.

    An order to structurally separate would be a blow to Telstra. It would
    essentially mean the telco's current wholesale and retail divisions would
    remain in tact, but the network shifted to separate ownership.

    Telstra, at the moment, concurs with a minimal level of operational
    separation but the true model would see Telstra's retail, wholesale and
    network units vertically divided but remain under the telco's ownership
    umbrella.

    There is resistance to structural separation in the financial markets, with
    the opinion that the move would open the floodgates for "substitution
    threats'' for technological intellectual property.

    "We believe the long-term substitution threats from new potential access
    technologies would make it unpalatable to third party investors or capital
    markets,'' JPMorgan's Laurent Horrut said.

    "An integrated incumbent telco can precisely hedge future substitution
    threats by investing in virtually all access technologies.''

    Even though there has been no evidence from the government that it seeks
    structural separation, Telstra this week appointed chairman Donald McGauchie
    as the chief chest-beater to warn the government that the telco is ready to
    fight dirty if there is ever any action ordered.

    McGauchie told a briefing in Melbourne that there were mixed messages
    eminating from Canberra that the separation - which was initially floated by
    Coonan in her final months in the ministry - could be back on the drawing
    board.

    McGauchie has always had strong ties to the corridors of power in Canberra,
    particularly under the former government.

    The former boss of the National Farmers Federation and the key player in the
    waterfront waters dispute was handpicked by John Howard to become chairman
    of the telco after it ousted Bob Mansfield.

    There was even talk at one stage that McGauchie was groomed for a seat in
    parliament on the coalition's side, but the right electorate could not be
    found.

    Most industry observers have been surprised that, until now, the new
    government and Telstra have been relatively friendly.

    It's a turnaround from this time last year when Telstra effectively
    campaigned electorally against the former government after three years of
    savage brawling.

    The McGauchie position this week was a surprise - but again shows the telco
    has not lost its sharp edge and maintaining diplomatic relations with the
    government is not at the top of its priorities list.

    Telstra's rivals have actively pushed for structural separation given most
    now believe the prices they are charged to access the incumbent's network
    infrastructure is inflated.

    A report commissioned by Optus by British academic Chris Doyle found that
    for fair access to infrastructure, structural separation was an equitable
    solution.

    "Current arrangements for dealing with discrimination in the Australian
    regulatory environment are weak,'' Doyle said.

    "At the very least regulatory policy with regard to the national broadband
    network should adopt a more robust functional separation model as the case
    of New Zealand. If policy makers wish to avoid the additional regulatory
    intrusion and complexity of functional separation, then structural
    separation would be the obvious alternative remedy to apply.''

    The rollout of the broadband network to deliver high speeds to 98% of the
    population is the only game on the table for Conroy at the moment.

    He has been unusually quiet of late and there are reports that Kevin Rudd is
    not happy at the pace at which the broadband projects is occurring.

    The Prime Minister is obviously keen to avoid the sluggish rate of both
    internet speeds and technology development that mired the previous
    government.

    Conroy missed parliament last week to attend an OECD forum in Korea.

    Are there strong similarities between Korea and Australia's telco
    environment? Hardly. It was an odd move for a cabinet minister to be abroad
    and miss a week of the last parliamentary fortnight before the seven-week
    winter recess.

    The bidders to build the network have been pared back to just two, Telstra
    and Terria, the former G8 consortium, after Macquarie slipped out of
    contention.

    There has no been no date set by Conroy by which he will announce a bid
    winner.

    From a policy point of view, an even more important aspect for the
    government is how the new network will developed. There are currently two
    options - a "roll out'' or a "roll in''.

    The first encompasses the network being rolled out from the cities, which is
    seen as an easier option as it builds on current infrastructure, and Telstra
    argues this approach is cheaper.

    In comparison, though, the Government stands to make significant ground with
    a roll-in, as regional areas that currently don't have highspeed broadband
    will be the first to receive it.

    There could even be an emphasis on the indigenous communities, think
    broadband in Wadeye. There are social policy gains that Labor can make.

    Either way, the emphasis is now on Conroy to avoid the political spats with
    Telstra that have held broadband back.

    Instead, Labor has to ensure the election promise to deliver highspeed
    access quickly and efficiently is maintained.




    See More: Telstra fires first shot at Canberra




  2. #2
    Rod Speed
    Guest

    Re: Telstra fires first shot at Canberra

    Alan Poxington <[email protected]> wrote

    > From
    > http://business.smh.com.au/telstra-f...0625-2wqf.html


    > An uneasy truce in relations between Telstra and the Government has existed since the election,


    Only in your pathetic little pig ignorant fantasyland.

    > but now there are signs a return to the nasty days of political brawling could be about to erupt.


    Thats been obvious ever since the election, ****wit.

    > Communications Minister Stephen Conroy has endured a relatively soft ride so far in the portfolio compared to the
    > combative feuds that were commonplace between his predecessor Helen Coonan and Telstra's management.


    And now Telstra s about to below ALL its feet off yet again.

    Wota surprise.

    > However, Telstra has now fired the first shot across the Government's bows


    Only in your pathetic little pig ignorant fantasyland.

    > with threats that if structural separation was ever ordered, the telco would pursue "endless litigation'' through the
    > courts.


    Its welcome, and welcome to lose in the courts endlessly too, just like it always has.

    > The tender process for submissions addressing the regulatory aspects of the new planned high-speed fibre network
    > closed today


    Thats utterly mangling what that is actually about.

    > and the majority of Telstra's rivals want the separation to occur.


    And Telstra doesnt, wota surprise.

    > The stance of the Government, particularly Conroy, has been opposed to the structural separation


    Bare faced pig ignorant lie.

    > because it has been of the view that the network would provide the equitable access to the infrastructure by Telstra's
    > rivals.


    Bare faced pig ignorant lie.

    > An order to structurally separate would be a blow to Telstra.


    You quite sure you aint one of those rocket scientist ****wit children ?

    > It would essentially mean the telco's current wholesale and retail divisions
    > would remain in tact, but the network shifted to separate ownership.


    Wrong, as always.

    > Telstra, at the moment, concurs with a minimal level of operational separation


    Wrong, as always.

    > but the true model


    No such animal.

    > would see Telstra's retail, wholesale and network units vertically divided but remain under the telco's ownership
    > umbrella.


    Which is nothing like what you said just above, ****wit.

    > There is resistance to structural separation in the financial markets,


    There is plenty of support for that too, ****wit.

    > with the opinion that the move would open the floodgates for
    > "substitution threats'' for technological intellectual property.


    Only in your pathetic little pig ignorant fantasyland.

    > "We believe the long-term substitution threats from new potential
    > access technologies would make it unpalatable to third party
    > investors or capital markets,'' JPMorgan's Laurent Horrut said.


    Who gives a flying red **** what that fool claims ?

    > "An integrated incumbent telco can precisely hedge future substitution threats by investing in virtually all access
    > technologies.''


    Whatever that meaningless **** actually means.

    > Even though there has been no evidence from the government that it seeks structural separation,


    Only in your pathetic little pig ignorant fantasyland.

    > Telstra this week appointed chairman Donald McGauchie as the chief chest-beater to warn the government that the telco
    > is ready to fight dirty if there is ever any action ordered.


    Only in your pathetic little pig ignorant fantasyland.

    > McGauchie told a briefing in Melbourne that there were mixed messages eminating from Canberra that the separation


    Like it or lump it, ****wit.

    > - which was initially floated by Coonan in her final months in the ministry - could be back on the drawing board.


    Like it or lump it, ****wit.

    > McGauchie has always had strong ties to the corridors of power in Canberra, particularly under the former government.


    And doesnt anymore, ****wit.

    > The former boss of the National Farmers Federation and the key player in the waterfront waters dispute was handpicked
    > by John Howard to become chairman of the telco after it ousted Bob Mansfield.


    And even someone as stupid as you should have noticed what happened to little Johnny.

    > There was even talk at one stage that McGauchie was groomed for a seat in parliament on the coalition's side,


    Only in your pathetic little drug crazed pig ignorant fantasyland.

    > but the right electorate could not be found.


    Only in your pathetic little drug crazed pig ignorant fantasyland.

    > Most industry observers


    Translation: ****wit pig ignorant journos.

    > have been surprised that, until now, the new
    > government and Telstra have been relatively friendly.


    Only in your pathetic little drug crazed pig ignorant fantasyland.

    > It's a turnaround from this time last year when Telstra effectively campaigned electorally against the former
    > government after three years of savage brawling.


    And the Senate will have noted that, you watch.

    > The McGauchie position this week was a surprise


    Only in your pathetic little drug crazed pig ignorant fantasyland.

    > - but again shows the telco has not lost its sharp edge


    Or its capacity to blow all its feet right off.

    > and maintaining diplomatic relations with the government is not at the top of its priorities list.


    Because even Telstra realises that its about to get raped with a telephone pole, yet again.

    > Telstra's rivals have actively pushed for structural separation given most now believe the prices they are charged to
    > access the incumbent's network infrastructure is inflated.


    And so does everyone else.

    > A report commissioned by Optus by British academic Chris Doyle found that for fair access to infrastructure,
    > structural separation was an equitable solution.


    > "Current arrangements for dealing with discrimination in the
    > Australian regulatory environment are weak,'' Doyle said.


    Wota terminal ****wit.

    > "At the very least regulatory policy with regard to the national broadband network should adopt a more robust
    > functional separation model as the case of New Zealand. If policy makers wish to avoid the additional regulatory
    > intrusion and complexity of functional separation,


    They dont.

    > then structural separation would be the obvious alternative remedy to apply.''


    > The rollout of the broadband network to deliver high speeds to 98% of
    > the population is the only game on the table for Conroy at the moment.


    Only in your pathetic little drug crazed pig ignorant fantasyland.

    > He has been unusually quiet of late


    Only in your pathetic little drug crazed pig ignorant fantasyland.

    > and there are reports that Kevin Rudd is not happy at the pace at which the broadband projects is occurring.


    Only in your pathetic little drug crazed pig ignorant fantasyland.

    > The Prime Minister is obviously keen to avoid the sluggish rate of both internet speeds


    Only in your pathetic little drug crazed pig ignorant fantasyland.

    > and technology development that mired the previous government.


    Only in your pathetic little drug crazed pig ignorant fantasyland.

    > Conroy missed parliament last week to attend an OECD forum in Korea.


    > Are there strong similarities between Korea and Australia's telco environment? Hardly.


    That aint what its about, ****wit.

    > It was an odd move for a cabinet minister to be abroad and miss a week of the last parliamentary fortnight before the
    > seven-week winter recess.


    Only in your pathetic little drug crazed pig ignorant fantasyland.

    > The bidders to build the network have been pared back to just two, Telstra and Terria, the former G8 consortium, after
    > Macquarie slipped out of contention.



    You quite sure you aint one of those rocket scientist ****wit children ?

    > There has no been no date set by Conroy by which he will announce a bid winner.


    Like it or lump it, ****wit.

    > From a policy point of view, an even more important aspect for the government is how the new network will developed.
    > There are currently two options - a "roll out'' or a "roll in''.


    Only in your pathetic little drug crazed pig ignorant fantasyland.

    > The first encompasses the network being rolled out from the cities,


    Thats the only thing thats feasible, ****wit.

    > which is seen as an easier option as it builds on current
    > infrastructure, and Telstra argues this approach is cheaper.


    > In comparison, though, the Government stands to make significant ground with a roll-in, as regional areas that
    > currently don't have highspeed broadband will be the first to receive it.


    Only in your pathetic little drug crazed pig ignorant fantasyland.

    > There could even be an emphasis on the indigenous communities, think broadband in Wadeye.


    Wota terminal ****wit...

    Those fools spend all their welfare on grog and drugs, ****wit.

    > There are social policy gains that Labor can make.


    Wota terminal ****wit...

    > Either way, the emphasis is now on Conroy to avoid the political spats with Telstra that have held broadband back.


    Only in your pathetic little drug crazed pig ignorant fantasyland.

    > Instead, Labor has to ensure the election promise to deliver highspeed access quickly and efficiently is maintained.


    Wota terminal ****wit...





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