Telstra flays corporate customer group

Telstra has delivered a stinging attack on the Australian Telecommunications Users Group (ATUG), an organisation which claims some of the largest corporate users of telecommunications services Down Under as members.

ATUG is a non-profit association formed in 1981 that lobbies for better telecommunications services on behalf of customers -- for example, active members include Alcoa, American Express, Coles Myer, Ford, Gibson Quai - AAS, the NSW Department of Commerce, Phillips Fox and Thiess.

But in a statement issued yesterday through Telstra's Now We Are Talking public relations Web site, Telstra claimed ATUG had lost its way.

"If ever you needed to find a reason why Australia's investment in telecommunications infrastructure is shamefully inadequate, then you need look no further than the organisation that purports to be the peak lobby group representing telecommunications users," Telstra wrote.

The Web site -- edited by Telstra public relations spokesperson Rod Bruem -- claimed ATUG had "drifted off course" since the group had achieved its initial aim of deregulation of Australia's telco sector.

"Proving the old saying that 'idle hands are the devil's tools,' ATUG has gradually morphed into a mouthpiece for SingTel Optus and other operators who rely on leaching on Telstra shareholders' investments and only care about creaming as much profits as they can in the big city markets."

Telstra particularly objected to what it saw as a conflict of interest between ATUG's role as a telco-customer broker and its role as "a player" in the media debate over telecommunications services.

"Despite the broker role of the ATUG and the broker disciplines that must be practiced by the leader of ATUG, its managing director [Rosemary Sinclair] continues to be highly visible in the media where she insists on being a player -- taking shots and sides," the telco said.

Telstra's statement came after ATUG issued a statement to the media last week saying in its view the government had the correct policy settings, funding program and regulatory approach to benefit Australia in the near term.

Telstra has consistently over the past 18 months been a critic of regulation in Australia's telecommunications sector.

ATUG has declined to comment on Telstra's allegations.

What do you think about Telstra's allegations? Fair enough or just fear, uncertainty and doubt (FUD)? Drop me a line directly at renai.lemay@zdnet.com.au or post your comments below this article.

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Talkback 4 comments

    Telstra Anonymous -- 08/12/06

    Sol Trujillo's typically American, hyperaggressive, hypercapitalist, hypercompetitive approach to managing Telstra is a depressing example of the current rampaging Americanisation of our country. There are other, more humane business philosophies that can be considered. Send him packing.

    A bridge to far for Sol Keith Styles -- 08/12/06

    ATUG was set up back in '81 to fight the monster of all monopolies, our telecommunications companies, OTC and...Telecom, now Telstra.
    ATUG doesn't have to answer to these organisations & Sol hates it. He has absolutely no control and his vitriol is like water off a ducks back.
    ATUG is a constant reminder to Sol & his ilk that they will never have a monopoly and ATUG is in the box seat to launch an attack on Sol and his 3 amigos in the same way they did back in '81, when the monopoly over both International and domestic telecommunications was finally broken.
    If Sol continues to attack ATUG, he might find he is fighting a new battle, which he would no doubt lose. The battle will come when the convenient relationship between TW & TR steps over the line and the ACCC finally recognizes the government no longer has an interest, financially and does it's job of protecting the Australian people.

    I know. I was a founding member of ATUG. We won the battle back then & ATUG management can do it again.

    Dreaming Sydney Lawrence -- 13/12/06 (in reply to #320072062)

    You are dreaming my friend if you think you can stick your head in the sand and relive your glories of past ages. Sol intends, and will, drag Telecommunications in Australia into the present, and future, while the likes of you, a pro idealistic dreamer drift about in your cocoon of false happiness. ATUG indeed, the name speaks for itself.

    Reality Check Tim Milt -- 13/12/06 (in reply to #320072062)

    Telstra are many things good and bad....But seriousley are we that xenophobic that we think they are worse now we have an american in charge......
    Think about this ATUG why not lobby Vodaphone (one of the biggest Telco's in the world) to spend a few billion in Australia.........will never happen. So go and lobby Telstra as much as you like and see how much that will increase Telco Investment in Australia....

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