TransACT quits Terria too

TransACT quits Terria too

Summary: TransACT has decided to pull out of Terria, the consortium bidding against Telstra for the government's $4.7 billion national broadband network, shortly after the departure of two other members AAPT and Soul.

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TOPICS: NBN, Broadband
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update TransACT has decided to pull out of Terria, the consortium bidding against Telstra for the government's $4.7 billion national broadband network, shortly after the departure of two other members AAPT and Soul.

Terria chairman Michael Egan
(Credit: Terria)

Terria chairman Michael Egan and TransACT chairman John Mackay said it had become apparent as the bid deadline drew closer that it was in both companies' interests that TransACT pull out.

"This will enable commercial negotiations between TransACT and Terria to be conducted without any conflict of interest, either real or perceived, among our respective directors," the chairmen said in a statement.

TransACT had already ceased its involvement in Terria prior to the announcement according to CEO Ivan Slavich, keeping quiet about the departure because of the gag order associated with the NBN tender. It decided to make a joint statement with Terria today to set the record straight.

The reason for leaving originally had been to focus on its ACT based proposal, according to Slavich, although he still thought that Terria's regulatory opinions, such as those on structural separation, were sound. TransACT will remain Terria's ally in making sure that a properly regulated open access network was built, with the bids to be based on common principles.

The Terria exodus was not due to anything sinister happening behind closed doors, according to Slavich, but was simply a consequence of the deadline looming.

"It's getting closer to the date of submission and that's when you need firmer commitments from companies," he said.

TransACT leaving has meant that Terria now consists of Optus, iiNet, Internode, iPrimus and Macquarie Telecom.

Topics: NBN, Broadband

Suzanne Tindal

About Suzanne Tindal

Suzanne Tindal cut her teeth at ZDNet.com.au as the site's telecommunications reporter, a role that saw her break some of the biggest stories associated with the National Broadband Network process. She then turned her attention to all matters in government and corporate ICT circles. Now she's taking on the whole gamut as news editor for the site.

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Talkback

26 comments
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  • A sign of Labor's continuing incompetence

    I think this shows that the tender process has taken wayyyyyyyyy too long. It's not half obvious that KRudd and Swan are stuffing around, probably waiting for yet another gabfest to provide some sort of report on who should be chosen. Can't these incompetent morons make a decision themselves?

    If the Liberal and National Parties were still in office we'd see a regional wireless network already fully funded and under construction and we'd most likely have an answer to the question of who'd be building the FTTN.

    All Labor does is stuff around and reneg on deals, exposing taxpayers to potential legal reprisals.

    I forget who it was but another user wrote that it is better to have no FTTN at all than allowing Telstra to build it. With all the stuffarsing around that has been going on, along with Telstra being the only bidder to claim that construction costs have risen, I am inclined to agree - scrap the FTTN project altogether and start on a clean sheet of paper with a new proposal to replace/duplicate the copper network with a fibre connection to every home and business in the country - putting aside all the bull$h1t excuses about how big the landmass is and how few people live here.

    In the 1800's we built the overland telegraph in what was the most uninhabitable terrain in the world at the time. People like Charles Todd and the then Governor of South Australia didn't sit at their desks muttering that the landmass is too big - they instead found ways to overcome the problem.
    anonymous
  • The Telstra is the Mafia

    Why do I feel like some large telco provider approaching these little guys in the terria group. Offering a special unique deals that alot cheaper they can't refuse and only requirement you need to quit terria to get them.

    IN return we give you cheaper a wholesale prices for existing customers and since were "buddies". You get access to the information reguarding are FTTN and one of the first companies to join it

    This could be Telstra doing a close door deal with these companies?

    A quote from the godfather
    "I'll make you an offer you cant refuse"
    anonymous
  • Godfather two.

    Adam you make us offers we can't understand.
    anonymous
  • @the mafia

    that's known as busines, isnt it, haha.
    anonymous
  • Well played.

    Nice strategic move. Conroy must be puking right now. Structural separation of Telstra coming up!
    anonymous
  • @a sign

    funny, not so long ago you were all saying it shouldnt be rushed. what day is it today?
    anonymous
  • @well played

    as if. the rats are simply deserting the titanic. oh look at them all.
    anonymous
  • Grateful the Liberal incompetence has been stopped

    All they were doing was to try and make it look like they cared by offering a billion dollar gift for a technology that would not have delivered anywhere near what is needed for this country. I agree the FTTN solution is not ideal but is is 10 times better then the wireless solution proposed by Opel.

    As for taking forever, if that is what it takes to weed out the amateurs from the serious players then let that be the case, it has already weeded out a number of the Terria parasites.

    As for rolling out infrastructure around the country across uninhabitable terrain that raises a major point, why don't all of the companies that currently wholesale of Telstra do exactly what you are saying today? Could it have something to do with the fact that the declared back haul fees are so low they discourage investment?
    anonymous
  • The X Files

    They stopped that show about 10 years ago didn't they?
    anonymous
  • No idea

    If you don't know what day it is then how could you remember what anyone had said?
    anonymous
  • Grateful for the status quo Brett?

    "All they were doing was to try and make it look like they cared by offering a billion dollar gift for a technology that would not have delivered anywhere near what is needed for this country."

    Independent reports by network engineers claim otherwise.
    anonymous
  • Just a Thought

    So lets say the govt of the day splits Telstra in two. Retail and infrastructure (wholesale)

    Telstra infrastructure does not bid as they have claimed they will not.

    The winner then has to buy pit and conduit space from Telstra wholesale.

    Telstra still wins.

    Or maybe Telstra buys from the winning consortium and doesnt have to invest anything - but gets to enforce sla's and service obligations.
    anonymous
  • @Just a Thought

    "So lets say the govt of the day splits Telstra in two. Retail and infrastructure (wholesale)

    Telstra infrastructure does not bid as they have claimed they will not."

    No, Telstra has said if they are forced to split as part of the NBN deal they won't bid, so presuming they stick to their word they won't split either way.

    "The winner then has to buy pit and conduit space from Telstra wholesale.

    Telstra still wins."

    No, there is no reason why the NBN winner would be forced to use Telstra pits and conduits for the fibre delivery, it would in reality end up causing more problems then it's worth.

    "Or maybe Telstra buys from the winning consortium and doesnt have to invest anything - but gets to enforce sla's and service obligations."

    Which wouldn't happen, since Telstra already has it's last mile infrastructure. They would upgrade/modify it to compete with the NBN if they didn't get the bid,
    anonymous
  • @no idea

    because i am the head of terria siddy boy. i know all. ***k all. haha
    anonymous
  • @grateful

    bs siddy boy.

    the independents said opel was a no go, without the correct frequency and coonan still went with them. thats why a year later we still had nothing but opel desperately trying to get their hands on unwireds freq.

    i love the way the opel dog has become a legend to those who have an iq less than a dung beetle.
    anonymous
  • @Grateful for the status quo Brett?

    There were enough reports stating it was too much, plenty stating it was just right and plenty stating it wasn't enough. I have my opinion you have yours, sometimes they will agree but most times they won't. In this case we definitely don't and I trust my opinion much more then I trust yours.
    anonymous
  • Sorry

    I was typing on the bus and bumpy road in the glare of the sun too

    This makes a laptop hard to read and type
    anonymous
  • Re-consider it

    if your trying to knock someone down.

    You don't go for the private parts first. Break the legs first cause there open and weaker

    Same thing can be said about trying to disassemble Terria. You look at knocking out the smaller ISP and lure them into a dark alley convince them to leave terria by offering better wholesale prices and make sure they're looked after

    Cause Telstra treats other ISP like unwanted cosins whom randomly turn up at your house
    anonymous
  • Redo the NBN if possible

    With the financial crisis, and the lack of competitive / real bids, I am also inclined to agree to scrap the FTTN project altogether and start on a clean sheet of paper with a new proposal. One possible way is to keep the $4.7 billion dollars and use the interest it generates to do broadband projects as 'parcels'. And these parcels should be competitive fibre to those of existing ones, so that real competition can bring on lower prices. Currently, there is broadband everywhere in Australia, from Telstra or from the Optus Satellite. The question is whether you can afford to pay the costs.
    anonymous
  • Whattttt

    Mel, you are joking aren't you when you say "If the Liberal and National Parties were still in office we'd see a regional wireless network already fully funded and under construction and we'd most likely have an answer to the question of who'd be building the FTTN"

    Wasn't it Ms Coonan who stood there and said all australians are happy with the speed of the internet they receive, we do not need faster speeds, or something like that. That's the main reason I changed my vote to assist anybody to klick her out of office for being sooo thick !!!!
    anonymous