Google refuses to budge from top spot in mobile handset customer satisfaction

Original article by Roy Morgan
Market Research Update – Page: Online : 6-Aug-19

Google has won the Roy Morgan Mobile Phone Handset Customer Satisfaction Award for June 2019. Google received a satisfaction rating of 94%, which is a 4% increase since June 2018. It was followed by Apple iPhone (93%), Samsung (90%), LG (90%) and Motorola (90%). Google and Apple iPhone have now held first and second position respectively for eleven months straight. Of the top five brands, LG enjoyed the largest increase to its satisfaction ratings from a year ago (up 13%). However, LG’s rating has remained at around 90% for the past five months. The only decrease in ratings went to Motorola, with a 2% drop compared to a year ago.

CORPORATES
ROY MORGAN LIMITED, GOOGLE INCORPORATED, APPLE INCORPORATED, SAMSUNG ELECTRONICS COMPANY LIMITED, LG ELECTRONICS, MOTOROLA INCORPORATED

Telstra behind high NBN prices

Original article by Supratim Adhikari
The Australian – Page: 17 & 27 : 1-Aug-19

Telstra CEO Andy Penn has used a National Press Club speech to call for NBN Co to reduce the wholesale prices that it charges for accessing the national broadband network. He argued that the current wholesale prices means it is not profitable for telcos to resell NBN services, and that reducing these charges would encourage investment in the sector. However, Andrew Sheridan of Optus argues that the high wholesale prices are at least partly due to NBN Co’s ongoing payments to Telstra. Vodafone CEO Inaki Berroeta agrees with his comments.

CORPORATES
TELSTRA CORPORATION LIMITED – ASX TLS, NBN CO LIMITED, SINGTEL OPTUS PTY LTD, VODAFONE AUSTRALIA LIMITED

Bill will scare off vendors: Telstra

Original article by Supratim Adhikari
The Australian – Page: 27 : 19-Jul-19

The federal government’s encryption laws have attracted criticism from a range of sectors, including the technology industry and civil liberties groups. In its submission to the Parliamentary Joint Committee on Intelligence & Security, Telstra claimed that the legislation will make international vendors reluctant to share new devices and technology with Australian telcos. Telstra also contends that the legislation has the potential to disrupt network services.

CORPORATES
TELSTRA CORPORATION LIMITED – ASX TLS, AUSTRALIA. PARLIAMENTARY JOINT COMMITTEE ON INTELLIGENCE AND SECURITY

Vocus has no regrets as turnaround proves too risky for EQT

Original article by James Fernyhough
The Australian Financial Review – Page: 13 & 20 : 6-Jun-19

Vocus Group CEO Kevin Russell says he is not aware of any other potential takeover approaches for the telco, after EQT Infrastructure chose not to make a binding offer for the company. EQT undertook due diligence on Vocus after approaching it with a non-binding offer of $5.25 per share. The Sweden-based private equity firm’s decision to walk away from a deal prompted a sell-down of Vocus shares on 5 June, with the stock closing almost 18 per cent lower at $3.77. Russell says Vocus is making progress in its turnaround strategy.

CORPORATES
VOCUS GROUP LIMITED – ASX VOC, EQT INFRASTRUCTURE, M2 GROUP LIMITED, AGL ENERGY LIMITED – ASX AGL, SINGTEL OPTUS PTY LTD, GREENCAPE CAPITAL PTY LTD

Telstra set to axe 10,000 contractors

Original article by James Fernyhough, Max Mason
The Australian Financial Review – Page: 13 & 16 : 5-Jun-19

Telstra CEO Andy Penn has advised that the focus of the telco’s ‘T22’ strategy cost-cutting will shift to its indirect workforce from 2019-20. Telstra boasts about 40,000 indirect workers, who include contractors, call-centre workers and customer service staff. Penn has signalled that the telco will shed about 25 per cent of these workers over the next two years. Telstra unveiled plans in mid-2018 to retrench some 8,000 direct employees over the next several years. The ACTU has accused Telstra of putting profits ahead of people, jobs and service.

CORPORATES
TELSTRA CORPORATION LIMITED – ASX TLS, ACTU, NEW STREET RESEARCH

Huawei ban rules out tilt at mobile: TPG

Original article by James Fernyhough
The Australian Financial Review – Page: 17 & 22 : 10-May-19

In the wake of the ACCC’s decision to block a proposed merger with Vodafone, TPG Telecom has indicated that it has no plans to build a mobile network. TPG terminated work on its own network in early 2019, after the federal government banned Huawei from supplying equipment for Australia’s 5G network. TPG argues that the Chinese company is the only supplier of 5G equipment that is compatible with the 4G technology that TPG has already installed.

CORPORATES
TPG TELECOM LIMITED – ASX TPM, VODAFONE HUTCHISON AUSTRALIA PTY LTD, VODAFONE AUSTRALIA LIMITED, HUAWEI TECHNOLOGIES COMPANY LIMITED, AUSTRALIAN COMPETITION AND CONSUMER COMMISSION, NOKIA AUSTRALIA PTY LTD, ERICSSON AUSTRALIA PTY LTD, AUSTRALIAN COMMUNICATIONS CONSUMER ACTION NETWORK LIMITED, IBISWORLD PTY LTD, TELSTRA CORPORATION LIMITED – ASX TLS, SINGTEL OPTUS PTY LTD, MOODY’S INVESTORS SERVICE INCORPORATED

NBN bleeds as revenue targets prove elusive

Original article by James Fernyhough
The Australian Financial Review – Page: 15 : 7-May-19

NBN Co has advised that it recorded revenue of $2 billion for the nine months to 31 March, although it posted a net loss of $3.4 billion for the period. As of March, 8.8 million Australian households were ready to connect to the NBN, with fibre-to-the-node the most common form of connection technology. NBN has set an average revenue per user target of $51 per month by 2022, but its ARPU is currently only $45 per month, up from $44 a year ago. NBN Co may need to seek a bailout from the federal government if it does not meet this target.

CORPORATES
NBN CO LIMITED, AUSTRALIAN LABOR PARTY

5G ‘overhyped’: Credit Suisse telco chief

Original article by Eric Johnston
The Australian – Page: 27 : 28-Mar-19

Optus launched 5G broadband services in February, while Telstra intends to begin selling 5G handsets within six months. However, Colin McCallum of Credit Suisse has downplayed the merits of 5G technology for consumers, arguing that existing 4G networks can cope with the demands of streaming video. He notes that deploying 5G technology will require significant capital expenditure, while the opportunities for increased revenue from consumers are quite limited at present.

CORPORATES
SINGTEL OPTUS PTY LTD, TELSTRA CORPORATION LIMITED – ASX TLS, CREDIT SUISSE AG, SAMSUNG ELECTRONICS COMPANY LIMITED, APPLE INCORPORATED

Telcos slam NBN’s marketing push

Original article by James Fernyhough
The Australian Financial Review – Page: 13 & 18 : 26-Mar-19

Telcos such as TPG Telecom have accused NBN Co of targeting their business customers. Their view is that NBN Co is meant to be a wholesaler and it should not be having direct contact with end users. The Australian Competition & Consumer Commission has observed that NBN Co is permitted to directly promote its services to end users, but that it is not permitted to recommend retail service providers to end users. The ACCC’s view has been backed up by the federal government.

CORPORATES
TPG TELECOM LIMITED – ASX TPM, NBN CO LIMITED, AUSTRALIAN COMPETITION AND CONSUMER COMMISSION, SINGTEL OPTUS PTY LTD, COLES GROUP LIMITED – ASX COL, TELSTRA CORPORATION LIMITED – ASX TLS, MACQUARIE TELECOM GROUP LIMITED – ASX MAQ

TPG calls for reduction in damaging NBN price

Original article by James Fernyhough
The Australian Financial Review – Page: 14 & 20 : 20-Mar-19

TPG Telecom has posted a 2018-19 interim net profit of $47.4m, which is 76.3 per cent lower than previously. The result was marred by a write-down associated with a decision to shelve plans for its own mobile network. TPG has advised that earnings from its core residential fixed-line broadband business fell 4.8 per cent to $243m during the half-year. CFO Craig Levy has warned that TPG will have to scrap its entry-level national broadband network plan unless NBN Co reduces its wholesale prices for budget plans.

CORPORATES
TPG TELECOM LIMITED – ASX TPM, NBN CO LIMITED, TELSTRA CORPORATION LIMITED – ASX TLS, NEW STREET RESEARCH, GOLDMAN SACHS AUSTRALIA PTY LTD, VODAFONE AUSTRALIA LIMITED, AUSTRALIAN COMPETITION AND CONSUMER COMMISSION