Ann: 700MHz Spectrum Acquisition and Entitlement Offer, page-99

I think there is a distinction in being the creator/selling of technology and PROVIDING the medium for that technology.

Yes, but the fact is that the technology changes (and relatively quickly, at that - within the space of the past two decades we have seen 2G replaced by 3G, which in turn has been eclipsed by 4G, and now all the talk is of 5G).

And industry operators have no choice but to expend capital in rather large amounts from time to time in order to remain current with the newest technology.

So, this telco technology is not infrastructure-like as is a toll road or a gas pipeline or a port, all of which have minimal maintenance capital requirements. If you are in the mobile telephony game, every 7 or 8 years you need to fork out some lumpy upgrade capex in order to stay in business.


"What better to own the infrastructure of an industry where there are only three players?"

This is a bit naïve view, with respect. Because this sort of "infrastructure" is not like an airport or a toll road or a gas pipeline, all of which are highly unique assets and have scarcity value.

The sort of telecommunications infrastructure that TLS, Optus and TPG own/operate is commoditised and are highly scale-able for the on-boarding of additional customers (which result in limited pricing power).

In most sectors of the economy, 3 player markets are signs of a good industry structure.

Demonstrably, not in telecommunications, however.