Fergie's Tech Blog

Telstra sale given go-ahead

Here's a developing story that I've pointed out here on the the blog a few times in the past couple of weeks.

Tim Richardson writes in The Register:

The Australian Government has moved a step closer to flogging its 51.8 per cent state in incumbent telco Telstra after winning a key vote earlier today.

The Australian Senate backed plans to flog the Government's stake in the business despite a concerted campaign by opposition MPs and trade unions.

The Government is set to raise around A$30bn (£14bn) from the sale of its share in the firm, which is expected to go ahead next year.

In a bid to ease concerns about the future the Government has agreed to set aside more than A$3bn to help protect and improve services in rural areas.

As part of the sell-off, the Government also plans to separate Telstra's retail, wholesale and network business to ensure that the telco "treats its wholesale customers fairly".

posted by Fergie @ 9/14/2005 07:07:00 AM