15 May 2007

TELECOM WILL GO THE BT WAY

Here's my Webwalk column from the Herald about the lack of interest the NZ telco industry and politicians have expressed in Telecom's alternative plan to structurally separate its business division to avoid a more complex and intrusive form of regulation.

The main sticking point with Telecom's competitors is that the telco's proposal falls outside the scope of current legislation and would therefore require a change to legislation, which could take a year or more. If Telecom had proposed a structural separation plan a couple of years ago, we could today be looking at a separate "Netco" organisation opening for business and willing to treat Telecom the same as any other customer in the market.

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