IInet's growth story is VOIP and using their own DSLAM...

IInet's growth story is VOIP and using their own DSLAM equipement.
This is all very uncertain with Telstra the 800lb gorilla trying to maximize profits by minimizing competition.
Further, the whole telecoms industry is in shake-up with the traditional revenue streams being washed away by VOIP. There are a lot of changes on the horizon and it is unclear who the winners will be.
IInet have a good track record but they have grown big fast and are now in untested territory.

The stakes/risks are high and this is reflected in their share price.

IMHO