Technology news and Jobs arrow Our Blogs arrow The BeerFiles arrow Samuels silently shouts "structural split" for Telstra
Samuels silently shouts "structural split" for Telstra E-mail
by Stan Beer   
Sunday, 24 May 2009
One could argue that the monopoly Telstra has enjoyed for decades has little room left to move in a market the size of Australia.

Analysts harp on about the danger to Telstra’s margins if regulatory reforms impose functional or even structural separation.

However, it could also legitimately be argued that there is just as great a —perhaps greater— danger for Telstra in trying to maintain the status quo.

Many believe that Telstra’s special position in the Australian telecommunications market space has made the company lazy and lacking in vision and innovation.

Instead of looking ahead and transitioning to new technologies and services, Telstra has been focused on protecting existing legacy businesses at all costs.

As a result, the widespread perception is that Telstra has held back development of the Australian (and its own) broadband infrastructure.

Telstra has hurt itself with government confrontations under Trujillo’s reign. Under Thodey, many would like to see a fresh approach.

The author holds Telstra shares
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