Chime blows the whistle on Telstra

Perth-based wholesale telecommunications provider Chime Communications has lodged an access dispute with the competition watchdog, against Telstra's alleged anti-competitive behaviour.

Chime has taken its allegation that Telstra is restricting the national rollout of its service to Internet Service Providers to the Australian Competition and Consumer Commission.

Chime currently provides wholesale telephony and data services to customers in Western Australian, however the telco has been refused the same terms and agreements for interconnectivity for its expansion throughout Australia by Telstra.

Around 60,000 customers in Western Australia access the Internet via Chime-powered ISPs.

-They've refused to interconnect with us to move telephone calls between networks on reasonable and equitable terms," Chime's managing director Andrew Milner said.

According to Milner, the telco's 'virtual dial service' is another method for ISPs to connect to Telstra's Public Switch Telephone Network (PSTN). Telstra has an equivalent product called 'megapop'.

-The only option for connectivity is to buy a product from Telstra, we're trying to provide an alternative for ISPs, however Telstra doesn't seem to like it," he said.

Chime claims because its service is 30 percent cheaper than Telstra's and has better functionality it has won a lot of business from ISPs in Western Australia.

-The problem is Telstra won't let us roll out that service nationally so we're stuck in Western Australia at the moment," he said.

Chime set up an agreement with Telstra in August 2000 to roll out its service in Western Australia.

-Chime maintains that Telstra's anti-competitive behaviour -- on one hand blocking our expansion, while on the other attempting to build their own market share -- is directly against the long-term best interests of ISPs and the Australian telecommunications industry," Milner said.

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Talkback 2 comments

    Its normal behavour for Telstr ...Keith Styles -- 06/07/01

    Its normal behavour for Telstra. Nothing has changed in 30 years. It is a preditory monopoly and Senator Alston couldn't care less. Good luck with the ACCC. They & the TIO aren't much better.

    Why doesnt somone in the gover ...Anonymous -- 11/07/01

    Why doesnt somone in the government do something about TELSTRA!! IM SICK TO DEATH of them holding australia back just so they can make some more cash! as if they dont make enough as it is!!
    WHATS THE GO!!?!?!?!?
    Everyone knows that Telstra is a fecking money pit that doesnt spit any back at the community.
    Its about time something was done about this ugly monster.

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