Telstra Embraces NBN

Telstra has introduced a new no-contract home phone plan with unlimited local calls. It is also offering an International Calling Pack, with unlimited calls to landlines in 32 countries and an International Value Pack, which offers reduced rates for calls to landlines in over 70 countries.

Fixed voice revenues continue to decline due to competition from VoIP and strong mobile growth so Telstra has been making efforts to revamp its fixed line offerings. The change in strategy was prompted by the rollout of the National Broadband Network (NBN) in Australia, the national wholesale-only, open-access data network. Many players—including Telstra—have introduced NBN plans that bundle basic home-phone services at no extra charge. We see the value of Telstra’s new home phone plans, especially to those customers for whom a landline is still a regular means of communication.

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