ACCC okays 3G network sharing

10 Dec 2004

The Australian Competition and Comsumer Commission (ACCC) has given the thumbs up to a request to allow 3G network sharing arrangements. In a statement by ACCC Chairman Graeme Samuel, the commission found that although such agreements could ultimately reduce the extent of infrastructure-based competition between 3G operators, this was outweighed by the fact that they offered the potential to save cellcos significant costs and avoid uneccessary duplication of network infrastructure. The announcement gives Telstra and Hutchison the green light to form a 50/50 joint venture company which will be wholly responsible for the rollout of a shared 3G network.