Friday, July 13th, 2012 - OVUM
The market will become more rational following the sale of TelstraClear.

David Kennedy, Research Director, Ovum comments:

“Telstra’s withdrawal from the New Zealand market shows that scale and integration are needed to justify foreign network investments, according to Ovum. Telstra has exited a difficult position in New Zealand, while Vodafone is now a worthy rival to Telecom New Zealand in both mobile and fixed.”

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To arrange an interview or for further details regarding this release please contact Jennifer Duraisingam on + 61 3 9601 6723 or email [email protected]

OVUM COMMENT

David Kennedy, Research Director, Ovum

Sale of TelstraClear keeps competition alive and well


Telstra’s withdrawal from the New Zealand market shows that scale and integration are needed to justify foreign network investments, according to Ovum. Telstra has exited a difficult position in New Zealand, while Vodafone is now a worthy rival to Telecom New Zealand in both mobile and fixed.

For Vodafone, its acquisition of TelstraClear is part of its ongoing global strategy to use fixed assets to support an integrated operation, especially in the enterprise segment.

“The market will become more rational following the sale of TelstraClear, with two large integrated and scaled operators, alongside smaller value-seeking players to keep competition alive and well,” said David Kennedy, Research Director at Ovum.

---ENDS---

NOTE TO EDITORS

To arrange an interview or for further details regarding this comment, please contact: Jennifer Duraisingam on + 61 3 9601 6723, or email [email protected]

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Ovum provides clients with independent and objective analysis that enables them to make better business and technology decisions. Our research draws upon over 400,000 interviews a year with business and technology, telecoms and sourcing decision-makers, giving Ovum and our clients unparalleled insight not only into business requirements but also the technology that organisations must support. Ovum is an Informa business.
Jennifer Duraisingam
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