Feeds

Kiwi Telecom to split retail and wholesale operations

Wants to promote competition

Secure remote control for conventional and virtual desktops

Telecom New Zealand (Telecom) has announced plans to create an "independent wholesale operation" in a bid to promote telecoms competition.

Today's confirmation that Telecom plans to separate its wholesale and retail operations follows growing speculation about the future of the Kiwi incumbent after the government raised concerns about its market dominance and the lack of broadband competition.

If successful, rival operators should be able to get equal access to Telecom's wholesale network, giving them greater scope to compete and invest in broadband services.

"The country expects world-class broadband services, and our decision to reorganise our business is one more step towards ensuring healthy competition exists to provide that," incoming Telecom chairman Wayne Boyd said.

"We have looked at a number of arrangements in place or under consideration around the world, including BT in Britain and Telstra in Australia. We now intend to initiate the best form of separation to suit New Zealand's conditions."

Among the proposals outlined today is the idea of creating a level playing field for all retail operators - including Telecom - with the whole separation overseen by an independent monitoring group.

Further details of Telecom's plans are due to be published early in August.

In May it emerged that the Kiwi government was planning to drive through a series of measures to force Telecom to unbundle the local loop and increase competition.

A raft of proposals - including LLU, increased regulation, and the promotion of investment by rival operators in fibre, wireless and satellite networks - were put forward as a way to drag New Zealand out of the bottom third of the OECD's league table of broadband countries.

Execs from Telecom visited BT and Ofcom to see what measures have been undertaken in the UK to improve competition. At the time industry onlookers said the visit showed that Telecom was considering the idea of splitting its wholesale and retail businesses to head off criticism from its own government. ®

Secure remote control for conventional and virtual desktops

More from The Register

next story
Mighty Blighty broadbanders beg: Let us lay cable in BT's, er, ducts
Complain to Ofcom that telco has 'effective monopoly'
Download alert: Nearly ALL top 100 Android, iOS paid apps hacked
Attack of the Clones? Yeah, but much, much scarier – report
Broadband sellers in the UK are UP TO no good, says Which?
Speedy network claims only apply to 10% of customers
Yahoo! blames! MONSTER! email! OUTAGE! on! CUT! CABLE! bungle!
Weekend woe for BT as telco struggles to restore service
Fujitsu CTO: We'll be 3D-printing tech execs in 15 years
Fleshy techie disses network neutrality, helmet-less motorcyclists
Facebook, working on Facebook at Work, works on Facebook. At Work
You don't want your cat or drunk pics at the office
Soz, web devs: Google snatches its Wallet off the table
Killing off web service in 3 months... but app-happy bonkers are fine
prev story

Whitepapers

Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
Getting started with customer-focused identity management
Learn why identity is a fundamental requirement to digital growth, and how without it there is no way to identify and engage customers in a meaningful way.
Seattle children’s accelerates Citrix login times by 500% with cross-tier insight
Seattle Children’s is a leading research hospital with a large and growing Citrix XenDesktop deployment. See how they used ExtraHop to accelerate launch times.
10 threats to successful enterprise endpoint backup
10 threats to a successful backup including issues with BYOD, slow backups and ineffective security.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?