I'm buying VOC because, page-387

That is interesting, and we might get some detail on where they stand tomorrow when ACCC NBN numbers are due for June quarter (its usually a Wednesday depending on public holidays)

I suspect they are playing games with TPG.

No doubt it makes sense for them to have an NBN product, but its hard for them to compete with other majors as they are weak with fixed line infrastructure, but they have an advantage over other smaller RSP due to scale from mobile data.

Voda released their figures a week ago or so, and they are losing money on mobile with ARPU of $38 and 5.8m customers. TPG announcing their product pricing is what started a price war on mobiles, and Vodafone are looking like they are the most fragile.

TPG get a greater % of their EBITDA from NBN than the other majors, by a significant amount, so the best way to hurt TPG is to hurt NBN margins, and take their customers.

So basically, TPG threatened to hurt Vodafone (really HTA) with mobiles, so now Vodafone is threatening to hurt TPG with fixed line.

Its good that Voda have a strategy, they lose nothing by pushing their NBN and talking tough, but its not going to phase Teoh, he will see right through it (and im not even a Teoh fan, cult of personality is dangerous).

TPG is going to be a loss-leader on mobile, they have to because they had to pay for spectrum already, i doubt Voda will play that hard with NBN prices. (that have already seen a price war)

It does get interesting when considering the relationship between Vodafone and TPG, Vodafone is paying TPG to build backhaul for Vodafone towers. That was done before TPG announce their mobile intentions, so now Vodafone will be paying TPG to build the backhaul that will be used to establish a loss-leader competitor that will lower Vodafone's ARPU and take their customers, and increase their losses.

In theory the deal could have been a good one if TPG used Vodafone for roaming, the fees from roaming could pay for backhaul (or some portion), but now that TPG is a competitor, not so much...

Imagine now TPG comes out and does a deal with Optus for mobile roaming, then Vodafone is strengthening TPG by paying them fees for backhaul, and TPG is weakening with Vodafone by eroding their margins or taking their customers.

I suspect Vodafone might be starting to feel like they have been taken advantage of, it could very well be a plan by Teoh to take Vodafone to the wall.

If it happens, i hope we are in a position to make a counter-offer of some kind.