The system they refer to, the CDMA 1x EVDO upgrade, does not have the capacity to compete with Unwired's service. Unwired is not trying to compete with CDMA 1X or EVDO or Voda GPRS or Hutch 3g mobile data, they are trying to compete with home broadband.
Voda GPRS can serve about 5 users per sector on 40kbps
Hutch 3 mobile data sectors pretty much fall over with one user running 380kbps. The EVDO system will be similar, as they must employ equipment and spectrum that has a primary task of servicing phone calls. The Unwired service even in it's current form can serve 10's to 100's more customers. This is the bottom line here
It makes a great headline for Telstra though, and for those who want to sell the rest of the dinosaur, to show that they are taking on the competition. Some shareholders will sell most likely, when they see this sort of story however. Will the lurking buyers that I have seen, come out of the woodwork again and hold it up near 80?
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