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Australia - Telecoms Industry - Opposition Policy - what's in it for Telstra

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Last updated: 23 Aug 2010 Update History

Report Status: Archived

Report Pages: 8

Analyst: Paul Budde

Telecom Investment Research Note

Synopsis

Two weeks before the election the Coalition announced its broadband and telecommunications policies. At face value there could be some potential advantages for Telstra. It will not be structurally separated, the broadband market will be stimulated and some lucrative contracts could potentially come its way.

However, there are also serious questions as to whether these policies can actually be implemented – they give rise to significant regulatory and technical issues. This would take Telstra back to the era of being the dominant carrier, with all the related access issues.

BuddeComm argues that Telstra has moved on since that time and that it now has its eyes firmly fixed on the future – a future where new opportunities are surfacing, as the NBN is used for government innovation. This is bringing business from other sectors (healthcare, education, energy, transport) to the telecoms industry and the company is well-positioned to embrace that new future.

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