“The closure of the CDMA network and the chilling reality that Telstra’s competitors have not been allowed access to the Next G network will create an environment where Telstra has a virtual monopoly on the mobile phone market in regional Australia,” according to Queensland Nationals Senator Ron Boswell.
“At 12.01 am on 29 April 2008 Telstra began the easy ride into what will potentially be a rural mobile monopoly and all because of the decision of the Rudd Labor Government to close down the CDMA network”, Senator Boswell said.
“Telco providers such as Optus and Pivotel Globalstar who were guaranteed access to the CDMA network have been shut out of the market, leaving only Telstra with the infrastructure to service these clients.”
“Telstra is also not allowing its competitors to co-locate their equipment on a number of previously accessed publicly funded mobile phone towers leaving large gaps in their coverage area.”
“It will be years before telco providers can build the infrastructure in the regional mobile phone market to fill the coverage gaps and effectively re-establish competition.”
“The closure of the CDMA network will potentially leave Telstra with a rural monopoly on mobile phone services,” Senator Boswell said.
“Mobile phone customers from metropolitan areas will be indirectly affected because they will be forced to use a Telstra mobile if they travel to the bush for work or recreational activities.”
“The Rudd Labor Government’s actions are limiting mobile phone competition in rural, regional and remote Australia and this action will be to the detriment of those who live, work and travel in these areas,” Senator Boswell said.
“Dr Bill Glasson, who is heading a government review of regional telecommunications, has already branded the Next G network as a "disgrace" and despite this, the Rudd Government has still shut down the CDMA network”.
“Deregulation of Telecommunications in Australia was meant to set up the conditions for competition to flourish, but the closure of the CDMA network will have the opposite effect.”
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