On the first of July 2002 the industry ‘celebrated’ the fifth anniversary of the deregulation of the Australian telecommunications market. Many new service providers operate in the market in 2002, and many call prices have fallen since 1997. Usage has also increased considerable, suggesting that the market forces of demand and supply have met satisfactorily. However, this report takes a more critical review of the industry, including the regulatory environment and the market operators, suggesting that much can still be done. A range of converging sub-sectors are also addressed, including the local loop, broadband, cable TV, digital TV, investments, and of course competition.
1. Synopsis
2. Telcos: bottleneck in customer services
2.1 Deregulation celebrations
2.2 Remove the blinkers
2.3 Telstra initiatives
2.4 Vodafone initiatives
3. Analysis on the state of competition – Mid 2002
3.1 Introduction
3.2 Ongoing monopolies
3.3 Complex and over-regulated
3.4 No comprehensive regulatory regime
3.5 Regulations preventing competition
4. ACCC assessment of competition – mid 2002
4.1 Regulator remains cautious on Telco competition
4.2 Telecommunications competitive safeguards
4.3 Changes in prices of telecommunications services
4.4 Telstra's price control compliance
5. In-depth analysis of the various issues
5.1 Wholesale contracting
5.2 No national infrastructure competition
5.3 Failed business models from new telcos
5.4 The broadband drip-feed
5.5 MNP did not stimulate competition
5.6 Ongoing disputes and delaying tactics
5.7 Local loop and ADSL
5.8 Investment black hole
5.8.1 Telstra crying wolf
5.8.2 Niche investments
5.8.3 Telstra’s $4 billion profits
5.8.4 Searching for solutions
5.8.5 Change or else…….
6. IT&T policies to replace telecom policies
6.1 Introduction
6.2 Digital TV – information highway for those who don’t have a PC
6.3 Broadband infrastructure – key to knowledge-based society
6.4 Cable TV – open up opportunities for regional Australia
6.5 Local loop – providing choice to consumers
6.6 Telecommunications a $90 billion industry by 2010
6.7 Mobile communications – the voice network by customer choice
As you know, I have resigned from the Labor Ministry and have decided not to re-contest the seat of Charlton at the next election – both for personal reasons.
Before leaving Parliament, I particularly wish to record my thanks to you for your generous and constructive participation in the deliberations that generated significant economic policy reforms for the Australian community. Continuous economic transformation is a key challenge that faces all Governments.
The development of sound public policy should always be contestable. Ultimately, good and equitable outcomes are not concessions to any particular interest group, but the careful balancing of interests to create the greatest possible benefit for the nation. You have contributed to that, and I sincerely thank you for it.
Greg Combet, Former Minister for Climate Change, Industry and Innovation
Research Methodology
BuddeComm's strategic business reports contain a combination of both primary and secondary research statistics, analyses written by our senior analysts supported by a network of experts, industry contacts and researchers from around the world as well as our own scenario forecasts.