Tuesday, February 15, 2011

Telstra tries to hold on to network lead with LTE launch

MELBOURNE, AUSTRALIA: Telstra’s plans to launch Australia’s first commercial LTE service by year-end is clearly intended to maintain its mobile network advantage over its rivals.

“Telstra will launch its LTE network six to 12 months earlier than expected, based on their earlier indications,” said Ovum senior analyst Nicole McCormick.

“While Telstra’s Next G network advantage has been gradually eroded over the past couple of years, its first-to-market LTE launch provides the carrier with another point of differentiation against its competitors.”

McCormick believes the move will pressure second-ranked Optus to respond. The LTE risk for Optus is that Telstra will not only retains its high-end corporate mobile broadband customers, but will also poach some of Optus’ high-end users as well.

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