Telstra is a step closer to dilution after the competition watchdog approved its proposed break up.
The nod from the ACCC comes after the teclo submitted its revised draft of its (proposed) Structural Separation Undertaking (SSU) last week, which outlines how Telstra will separate its retail and wholesale arms during the construction of the $36bn National Broadband Network.
This separation will happen by July 1 2018, with the “progressive disconnection” of fixed voice and broadband services on Telstra’s copper and HFC networks, and migration of services and users to the NBN high speed fibre network, it confirmed in a statement.
Just yesterday, Telstra announced its NBN pricing, starting at $49 per month for 50GB of data – $10 more expensive than rival Optus but with larger data allowances.
The approval by Australian Consumer and Competition Commission (ACCC) is a “significant step” towards finalising its agreement to participate in the rollout of the National Broadband Network (NBN), it confirmed today.
The ACCC approval now also means the $11 billion payout Telstra will get for surrendering its copper network and infrastructure to the NBN Co, as the broadband company rolls out high speed fibre network, is a step closer.
But the telco has yet to finalise some other “small matters” with the Government and NBN Co so ‘Definitive Agreements can be implemented, including NBN Co shareholder approval, Telstra CEO David Thodey said.
Telstra shareholders already approved the deal at its AGM last year.
“There are a small number of matters left to finalise with the Government, including NBN Co shareholder approval and Telstra receiving Ministerial waivers from the legislative requirement to divest our HFC network and our share in FOXTEL.”
The break up proposal will come into force once these waivers are received, Thodey added.
The telco also pledged to provide transparency and equivalence in the supply of regulated services to its wholesale customers during the transition to the NBN.
Telstra said it will provide a further update to the market when the remaining conditions are satisfied and the Definitive Agreements come into full effect.
And, it appears, former government owned Telstra is changing in more ways than one. Yesterday, it emerged the telco is selling a selection of soft porn video services and other raunchy adult material to mobile customers.
Read Telstra New Porn King Here