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Thread: Telecom loses its grip

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    MotherBear's Avatar
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    Default Telecom loses its grip

    Now some good news for a change. Looks like Telecom have lost its monopoly on telecom services. Could mean better and cheaper services and Internet. Yay! Got to be good.
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    Default Telecom loses its grip

    Yeow, I didn't know there was a monopoly in the NZ internet biz. Good to know it won't last much longer.
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    Default Telecom loses its grip

    :icon_mrgreen: Better prices + Better quality = happier customers

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    Default Telecom loses its grip

    Broadband providers ready to reduce prices
    05 May 2006
    By ADRIAN BATHGATE

    High-speed internet for $10 a month complete with internet-based TV and video services are on the cards within two years, according to internet service providers. The Government's decision to regulate Telecom may have taken the industry by surprise, but many providers spent yesterday coming up with plans as to how they could attract more customers. Once they had unrestricted access to Telecom's network, they would immediately reduce prices for broadband and offer faster access speeds, some said.

    Allan Freeth, who heads Telecom's main rival, TelstraClear, said, 'we're beginning to look at the next steps'. But he did not reveal specific plans, indicating only that things would be much better for consumers, with more services for less cost. However, many providers said they needed to see terms and conditions before they could say what prices for internet, phone or TV services might be.

    The Telecommunications Commissioner will be responsible for setting the price for which providers can access services from Telecom. For consumers, an entry-level broadband plan costs $29.95 if the customer has a phone line and tolls with the same company, and it has a connection speed of 256 kilobits a second.

    In a couple of years, a similar sort of plan could be 10 times faster at two to three megabits a second, as much as half the price, and not have the requirement to have all the phone services with the same company. Providers could also use their own equipment to provide even faster speeds, up to 24 megabits a second. With those speeds, internet-based voice services, digital TV over the internet and online video stores are all possible.

    Telecom would not comment about the Government's decision yesterday. Australia went down this road in 1999 with unbundling. The network operator there, Telstra, now has about 40 per cent share of the market, about half what Telecom has in New Zealand.
    Mother Bear

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