Telstra’s CDMA network closure postponed to end-April (Australia)The Australian government has decided that Telstra will not be allowed to close its CDMA network in favour of its Next G network on 28 January. Under Telstra’s carrier licence it is only allowed to switch off the network when the government finds the replacement provides equivalent coverage and equivalent retail services. On 9 January the Australian communications minister has received the report from the Australian Communications and Media Authority (ACMA) on Telstra’s HSDPA network. The report showed that the Next G network footprint is equivalent to the CDMA network, and the communications minister Stephen Conroy said he agrees with ACMA’s finding on this. ACMA also found that the Next G coverage using an external aerial was equivalent. However issues were identified with handheld coverage, which Telstra has been asked to address. The communications minister has asked Telstra to provide the government with a detailed report that identifies how the issues have been resolved so the matter can be reconsidered. Telstra has said it will provide the information by 28 April. Telstra welcomed the confirmation that the Next G Network was providing an equivalent network coverage footprint to the outgoing CDMA network. The company has also re-committed to continue to work with the customers who may be experiencing genuine issues with equipment. Telstra Chief Financial Officer, Mr John Stanhope, said the government’s decision would not change Telstra’s financial guidance issued in November 2007.
In order to access a Next G service that is equivalent to a CDMA service, it is crucial customers use an appropriate handset or equipment. In some cases, customers have purchased, or are purchasing, Next G handsets and equipment that do not provide equivalent coverage. The communications minister said that Telstra should do everything possible ensure that customers are using the correct equipment. This should include replacing handsets at no financial penalty in genuine cases. In addition to the ACMA report, the government has also been provided with material by the Department of Broadband, Communications and the Digital Economy. This includes the results of a survey which indicates that some customers have not received the most appropriate advice for their needs.
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