March 31st, 2008
Many telecom Xtramail users can attest to the frustration of being trapped by Telecoms disastrous YahooXtra “Bubble” outsourcing exercise.
The Bubble, floated last August as a joint venture between Yahoo Australia and Telecom, failed to deliver the ’suite of premium services’ offerred, and instead has left both consumer and SME customers looking for answers.
Yahoo!Xtra Bubble aimed to be a “compelling differentiator”, and it certainly achieved that, but unfortunately for Telecom, it was not quite in the direction it hoped for the 600,000 Telecom internet subscribers moved from the Xtra email platform to a Yahoo hosted service.
It is always grafitfying when a large company such as Telecom is big enough to admit its mistake at aiming the new service at small business users. And even better when it comes up with a solution. That solution can be expected some time in the next two months.
With broadband and ISP services key to future growth, I rather suspect Telecom will think twice before outsourcing such a strategic service in the future. Sadly, such experiences do not bode well for the technology industry as a whole, as SaaS services are once again attempting to gain a foothold on the market. In this case, Telecom was the customer, and the vendor Yahoo let them down badly – Xtra has had no control over its email service. I can only hope that for both Telecom and its customers, the next provider has a more robust offering.
Tags: New Zealand, NZ, Telecom, telecommunications, Yahoo
Posted in New Zealand, Telco News | No Comments »
March 12th, 2008
Australian Communications minister, Stephen Conroy, has named six experts to assist in drawing up an RFP for its $4.7b next generation network and to assist in evaluating RFPs.
- Chair – Patricia Scott – Secretary of the Department Of Broadband, Communications and the Digital Economy (BCDE)
- John Wylie – Lazard Carnegie Wylie CEO
- Tony Mitchell – Allphones chairman
- Laureate Professor Rod Tucker – University of Melbourne
- Reg Coutts – Professor emeritus of communications, University of Adelaide
- Tony Shaw – former Australian Communications Authority chairman
- Dr Ken Henry – Treasury secretary.
Indications of a very aggressive timetable include:
- Panel will receive submissions from industry and the public to assist in the development of the RFP documentation by 30 March 2008.
- Production of the RFP
- Receipt of responses
- Eight weeks to prepare a report making recommendations on its preferred proposals
- Construction of the network to be started before the end of 2008
The Panel will be supported by BCDE and other key departments and specialist advisors on regulation and technical, legal and financial and commercial issues.
One key promise by the initiative is that “The government will … ensure that people who may not have access to the new fibre network will have access to the best new fixed line, wireless or satellite technology.” With an additional $95 million in funding for the Australian Broadband Guarantee program in 2008-09, to improve access to affordable broadband in these remote areas into the future.”
Tags: Australia, Broadband, NGN, telecommunications
Posted in Australia, Broadband, Telco News | No Comments »
March 8th, 2008
Telecom Wholesale has now installed ADSL2+ DSLAMs ([ISLAMs] into 102 exchanges, connecting over 300,000 end-users to Internet speeds of up to 20Mbps. Users living within 1.5km to 2.0km from these exchange can now obtain peak speeds regardless of the ISP they subscribe to.
Other factors impacting the speed to the end-user’s modem include:
- ISP allocated international capacity and backhaul
- Time of of day
- House-wiring
- Modem compatability
For those living beyond 2kms from an exchange, Telecom’s cabinetisation programme will position the ISLAM nearer to these users, acting like interim exchanges. In the meantime, depending on distance from the exchange, users may experience slight improvements.
A broadband customer who received speeds of 20Mbps is better positioned to utlise:
- VoIP
- Movies, video on demand and IPTV – some way off yet.
- Much faster download speeds – especially for application upgrades and service packs, which can be around 80MB
- Improved video streaming from sites such as YouTube
2007 Market Facts:
- Uptake of broadband in New Zealand is currently at approximately 38%.
- Online retail is at only 0.5% of total retail spend [7% in the UK and US].
Tags: ADSL2+, Broadband, DSLAM, Telecom Wholesale
Posted in Broadband, New Zealand, Telco News | No Comments »
March 7th, 2008
Ericsson has won the contract for Vodafone Australias 3G network upgrade, covering regional and rural Australia. And future upgrades to 28.8Mbps are on the roadmap.
The hardware and software upgrade will boost Vodafones 900MHz and 2100MHz networks to deliver a 14.4Mbps [maximum theoretical downlink]. The limits of handsets and mobile cards restricts the theoretical speed, however the increased network capacity will allow more efficient traffic management.
Urban 3G users can expect their theoretical maximum download speed to rise from 3.6Mbps to 7.2Mbps.
Work is expected to commence within weeks, with teams upgrading the network in all states simultaneously. The upgrade will allow new services that demand a higher speed network. Vodafone is currently conducting European HSPA+ trials for the 28.8Mbps throughput. Whilst Vodafone is striving for 7.2Mbps, rival operator Telstra has firm plans to increase its NGN speeds to 21Mbps this year and 42Mbps in 2009.
Tags: 3g, bandwidth, hsdpa, network, regional, rural, speed, telstra
Posted in Australia, NGN, Telco News | No Comments »
March 5th, 2008
The Australian government has demanded that major network provider, Telstra and other carriers provide physical details of their networks, to allow competitors to prepare submissions for the government’s proposed fibre-to-the-node network. This includes the length and location of cables.
Although under threat, Telstra has agreed to the demand, but claims the detail required could potentially be a threat to national security and law enforcement.
Compare this with the FTTN tender process currently underway in Singapore; SingTel is not being asked to divulge commercially sensitive information or law enforcement-related information to either the government or to competitors.
The Government maintains that sensitive data will not be distributed in an uncontrolled manner, and will be treated with utmost confidentiality. Small comfort in a world of commonly government leaked documents.
Optus also received a similar request. Optus is leading a rival G9 consortium also intending to tender for the FTTN network.
Tags: Australia, network providers, news, optus, telecommunications, telstra
Posted in Australia, Telco News | No Comments »
February 18th, 2008
As Theresa Gattung bailed ship just before it sunk the new captain, Dr Paul Reynolds, has taken on a heavy cargo. Profits dived about 25% just at the time Theresa left – nice timing!
The acquisition of PowerTel by AAPT looks dubious at best - seen as some as “another waste of shareholders’ funds”. The AAPT/PWT group has fallen from $A332m in the last quarter of 2006 (AAPT $282m, PWT $50m) to $A311m – a drop of 6.3% in a year – driven by a drop in consumer customers from 410,000 to 347,000[15.4%]. The move of AAPT’s customers to PowerTel’s network to reduce the costs of buying wholesale services from Telstra is not panning out too well. This seems largely due to Telstra’s more aggressive wholesale pricing strategy.
The merger of AAPT and PWT billing systems has proven a real headache, and the service management center is overwhelmed due to insufficient staff to handle the increased call load, after radical head count slashing.
AAPT’s new management [ex PowerTel] are hoping to bouy the boat by reducing operating costs to maintain EBITDA to offset reduced revenue.
And things on the New Zealand side don’t look much better, with slowing market share and resources focused on the upcoming ‘Separation Day’ 31 March when Telecom will split into 3, as well as the hefty rollout project of nationwide fibre broadband. With aggressive moves by Vodafone into the wireless and wired broadband space, the convergence advantage held by Telecom is rapidly eroding.
And of course…there are the rumors of a third network operator about to land upon the Long White Cloud.
One could expect increasing stress and tension for management teams in both NZ and Australia, and between the two.
Tags: AAPT, Telecom New Zealand
Posted in Industry Action, Telco News | No Comments »
December 19th, 2007
Co-location refers to the sharing of cellphone towers by communications companies. The NZ Minister for Communications and Information Technology David Cunliffe has accepted the recommendations of the Commerce Commission’s regarding the regulation of co-location services. Recommendations included:
- Regulatory settings for co-location will not include pricing – pricing will remain a specified service under the Telecommunications Act.
- Standard terms determination to be developed early 2008 to address the non-price issues - technical or procedural matters that are creating barriers for companies to enter the mobile industry.
- Specified service of co-location on cellular transmission sites should not be added to the designated services contained in Part 2 of Schedule 1 of the Act
- That the 2 November Vodafone undertaking should not be accepted.
Non-price terms deter entry into the market and prevent competition. The government has therefore put systems in place to assist market competition between telecommunications companies.
The Commerce Commission is also carrying out an independent analysis of mobile roaming services.
Tags: New Zealand, NZ, Telecom, telecommunications, vodafone
Posted in Industry Action, New Zealand, Telco News | No Comments »
December 14th, 2007
Optus has announced its plans to switch on HSPA across Australia by October 2008. This is around 18 months earlier than previously announced, and follows hot on the heels of Vodafones recent like announcement.
The 3G network will cover 96 percent of the Australian population, with a theoretical maximum downlink of 3.6 Mbps. Huawei and Nokia Siemens Networks have been selected to rollout the network infrastructure.
Vodafone plans to have fully deployed its HSPA network to 95 percent of Australia by Devcember 2008.
Both Optus and Vodafone will be using the 900Mhz and 2100Mhz spectrum bands for their 3G deployments. This will cut potential rollout costs by one third: a network using the two bands will cost up to $500 million, Optus said, compared to up to $800 million for one based exclusively on 2100Mhz.
Optus plans to maintain the current network sharing agreement with Vodafone, jointly using a 2100Mhz network in metropolitan Australia.
Tags: 3g, hspa, mobile, networks, nokia, optus, rollout, siemens, vodafone
Posted in Australia, NGN, Telco News | No Comments »
December 6th, 2007
A third player is due to enter the New Zealand mobile telecommunications market in 2008.
NZ Communications will offer New Zealand consumers another choice in mobile phone services, after entering into an agreement with Telecom for Telecom to sell 5 MHz of paired cellular radio spectrum to NZ Communications, suitable for a wide range of cellular technologies.
NZ Communications also has an agreement with Vodafone NZ, which allows NZ Communications to use Vodafone’s 2G network in areas where NZ Communications has no network coverage.
This entry signals the NZ Government’s regulatory settings in telecommunications are working , new players having more confidence to enter the New Zealand market.
Even better, is that the three players are working together to benefit consumers.
The New Zealand government Digital Strategy vision is to deliver better, and more cost effective communications, technology and services to all New Zealanders. This vision is being adopted by leading providers in the New Zealand market, fostering new business relationships.
Tags: Mobile Networks, New Zealand, Telecom NZ, Vodafone NZ
Posted in Mobile Services, New Zealand, Telco News, Wireless Networks | No Comments »
December 2nd, 2007
Vodafone and Optus have both announced low-cost mobile broadband with high download limits this Christmas, in an attempt to win support for their respective slow networks with poor coverage. In comparison, Telstras networks are double the speed and double the size of the Vodafone and Optus networks.
Vodafone Offer
AU$39 per month 5GB [uploads included] on a 24-month contract, claiming it is “five times more value at almost half the price [than competitors]“.
This includes either a USB modem and E800 Expresscard. These currently operate on the 3.6Mbps network standard, but are capable of operating on the 7.2 Mbps standard, meaning customers will not need to buy a new device when Vodafone upgrades its 3G network.
Vodafones existing customers are able move to the new plan from lower plans, at no cost, and retaining the contract terms of their old plan. Customers on plans of higher value will have to pay a penalty of AU$15 per forfeited month.
And beware, the deal comes with catches – linking with other services. But the users also benefit from Vodafones data optimisation service, which compresses downloaded data up to a third, enabling users to make more of the download quota.
Optus Offer
2GB limit for AU$39.99 a month, but only when linked with an Optus mobile or business phone.
The Optus USB modem, although free, is on a rental arrangement, while the Vodafone USB modem or Expresscard is owned by the user.
Tags: hsdpa, mobile broadband, optus, price plans, telstra, vodafone
Posted in Australia, Mobile Services, Telco News | No Comments »