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VIRTUALISATION Samuels silently shouts "structural split" for Telstra
VIRTUALISATION Samuels silently shouts "structural split" for Telstra | Samuels silently shouts "structural split" for Telstra |
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| by Stan Beer | |
| Sunday, 24 May 2009 | |
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"The key feature of functional separation models is that the network provider operates at arms length from the downstream service providers. "This usually requires operations and management separation and carries the potential for decisions to be made independently by the separated division and the rest of the company. "When successfully implemented, functional separation may go some way to addressing concerns regarding the promotion of equivalence in the treatment of access seekers. "However, vertical integration of any form into downstream markets,even when subject to functional separation, will not necessarily ensure equivalence." The last sentence leaves little doubt that the ACCC believes that Telecom New Zealand style functional separation is simply not going to do the trick for a truly competitive telecommunications market in Australia. CONTINUED Page 2 |
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