commentary Paul Budde isn't likely to be on Telstra's Christmas card list this year. In an interview on BTalk today he describes the telco's behaviour as "arrogant" and "unique in the world". In an interview with Phil Dobbie, posted on BNET.com, Budde says that the telco's dominant position makes it feel as if it were "above the law".
According to Budde, the threat of a structural separation of Telstra is the only way to get the telco talking with the government, the regulator and industry partners about Australia's broadband future. Budde points to situations in the UK, France, the Netherlands and New Zealand where the industry has worked together to resolve issues around communications infrastructure development. Here, he says, Telstra is just too dominant to see the need to negotiate.
Although Budde says structural separation doesn't have to happen, the threat that it could be introduced has to exist. "It's the biggest stick the government has," he says.
Telstra, of course, claims there is no need for separation. Phil Burgess, Telstra's group managing director, recently referred to BT in the UK as a "basket case" since separation was forced on the company two and a half years ago. Budde retorts that's simply not true. "Telstra is telling all these stories that are bordering on the edge of lies," he says.
Budde would like to see the Rudd government delay tenders for the new broadband infrastructure while new powers are introduced enabling the ACCC to enforce structural separation on Telstra when and if it is needed. Obviously this regulatory change would need to be made before tenders are submitted so bidders would be able to understand the environment they would be operating in. "There is a significant hope that this government is prepared to make tough decisions," he said.
For the last few weeks, we have all been brainwashed by TERRiA as to how structural separation (ss) of Telstra is required and would benefit consumers, if/when Telstra win the FTTx tender. So rather than talking up their own prospects and plusses, TERRiA seemingly are admitting defeat, but simply attempting to ensue a much weaker competitor, by promoting Telstra's ss.
Anyway, some of TERRiA's paid disciples have highlighted Mr. Budde as their "independent telecoms expert" who agrees ss of Telstra beneficial for the consumer. This being in contrast to other experts like Mr. Morgan. Mr. Lynch and Mr. Kennedy, who have said ss could do quite the opposite.
So when given the opportunity what did Mr. Budde actually say (from above): - "structural separation DOESN'T HAVE TO HAPPEN" - not it must happen for the benefit of the consumer. Hmmm. Strange thing for TERRiA's, disciples, star witness to say, don't you think?
Why then all the fuss over ss? Again Mr. Budde - "the threat that it could be introduced needs to exist - it's the biggest stick the government has".
Ah, so sell it off, put $b's into the coffers to the benefit of all Aussies, then try to regain control (to continue to prop up leeching competitors) "through the back door" - well, well, well.
Whilst this isn't a farm, the cat is now out of the bag and that's from the horse's mouth!