Optus welcomes the Telstra unfaithful

Optus welcomes the Telstra unfaithful

Summary: commentary Optus is positioning itself to welcome with open arms broadband resellers tired of dealing with Telstra's increasingly hostile wholesale division. The first of what will surely be several deals was yesterday announced with emerging regional player Soul gaining access to Optus' massive new ADSL broadband network.

SHARE:
commentary Optus is positioning itself to welcome with open arms broadband resellers tired of dealing with Telstra's increasingly hostile wholesale division.

Renai LeMay, ZDNet Australia The first of what will surely be several deals was yesterday announced with emerging regional player Soul gaining access to Optus' massive new ADSL broadband network.

This news came just days after it became clear Internet service provider Westnet was dumping its existing upstream Internet bandwidth providers AAPT and Telstra in favour of Optus.

The Perth-based company's product development manager Chris Thomas' answer came swiftly after he was asked by several Whirlpool readers why Westnet was making the change.

"You obviously haven't been watching Telstra's change in attitude towards wholesale recently have you?" he replied.

Given the new upstream deal with Optus, Westnet can now be considered a prime candidate for a wholesale deal similar to Soul's.

Westnet is currently chafing under the inability to offer high-speed ADSL2+ services, as its wholesale provider Telstra currently only sells ADSL1.

"We've been very clear that we are looking at a number of options, and regardless of what Telstra does, we expect to have ADSL2+ access this year," Thomas wrote in another post several weeks ago.

Two other likely candidates for new wholesale deals with Optus are Pacific Internet and Exetel.

Both already use Optus existing business-grade network. Taking advantage of the SingTel subsidiary's rapidly expanding footprint is a logical next step.

In fact, in the coming years Optus will not have a problem finding people willing to buy its wholesale services.

Instead, the nation's number two telco might find itself not having enough capacity to supply demand.

The nation's number three ISP iiNet is already running out of ADSL2+ connections for its own customers, and iiNet doesn't even sell wholesale services.

A quick look at iiNet's ADSL2+ rollout status page reveals several metro areas have "limited port availability" for new connections.

Optus will need to manage its wholesale partners carefully over the next few years to ensure this problem doesn't become widespread as the Australian public's demand for broadband continues to grow.

And it will certainly need to differentiate itself from Telstra or risk gaining the same reputation.

What do you think? Will Optus become the new Telstra Wholesale or will it bear its new responsibilities gracefully? Send your thoughts to renai.lemay@zdnet.com.au.

Topics: Telcos, Broadband, AAPT, Optus, Telstra, NBN

Kick off your day with ZDNet's daily email newsletter. It's the freshest tech news and opinion, served hot. Get it.

Talkback

2 comments
Log in or register to join the discussion
  • optus wholesale

    Good discussion. Given that Telstra is shooting themselves in both feet (retail and wholesale), it will be interesting to seek if Optus can provide a quality alternative.
    anonymous
  • Thank heavens for Optus

    I am an Exetel customer and have read for some months in Exetel's news releases of its plans to try to become less reliant on Telstra Wholesale, and Telstra in general. This is great news.

    Telstra's attitude toward its wholesale customers is appalling. TW's customers do not have a "free ride" on Telstra's network, as Telstra's spokespeople have continued to state. They pay Telstra's not insignificant port rental and bandwidth fees.
    anonymous