Coalition telco policy has been a disaster for consumers and for the sector. We now have a subpar network that was very expensive to build when we could have had a world-leading one. FTTN was a joke, they trotted in a bunch of industry experts into senate estimates and 90% of them said "Build it once, build it right use fibre".
Now, we'll have to spend another $30 billon over the next 10 years ripping out the remaining copper and replacing with FTTC or FTTP. This is a good opportunity for 5G though. It makes FTTN immediately obsolete.
Fixed line profits will continue to decline at a rapid pace because of the Coalition/NBNCO/ACCC cartel. But Telstra will have 5G dominance thanks to ACCC's absurd decision on TPG/Voda. Telstra is better placed than the other telcos, I think it will be back to $4 in the next 12 months.
But who knows what will happen with government policy -- the Coalition ran a policy-free election campaign which didn't even mention the NBN. They seem to think Internet speeds of 52nd in the world are acceptable for a new network in a first world nation.
TLS Price at posting:
$3.54 Sentiment: Hold Disclosure: Not Held
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