From Wikipedia, the free encyclopedia

Telstra Corporation
Type	Public (ASX: TLS, NZX: TLS & NYSE: TLS)
Founded	As part of the PMG - 1901 As various agencies d/b/a Telecom Australia - 12 June 1975[1] As a company - 6 November 1991[2]
Headquarters	Melbourne, Victoria, Australia
Key people	Donald McGauchie, Chairman Solomon Trujillo, CEO
Industry	Telecommunications
Products	Voice Mobile Internet access Pay TV
Revenue	$23.8 billion AUD (2007, [1])
Net income	$3.28 billion AUD (2006, [2])
Employees	35,706 full time (June 2007, [3])
Slogan	Australia's connection to the future
Website	telstra.com

Telstra Corporation (ASX: TLS, NZX: TLS, NYSE: TLS) is the largest provider of both local and long distance telephone services, mobile services, dialup, wireless, DSL and cable internet access in Australia. Telstra is based in Melbourne, Victoria, Australia. Formerly Telecom Australia, the company was rebranded to Telstra in 1995 after 'Telecom' was seen too common in companies across the world. Since 1995 the company has continued to trade both domestically and internationally under the Telstra brand. Now privatised, Telstra was originally Australia's national public telecommunications provider.

Contents 1 History 2 Privatisation 3 Services 3.1 Fixed-line services 3.2 Mobile telephony (Telstra MobileNet) 3.3 Internet 3.3.1 Wholesale 3.3.2 Consumer Access 3.3.3 Dial-up 3.4 Subscription television 3.5 Directories and advertising (Sensis) 4 Market position and power 5 Fibre-to-the-node (FTTN) 6 Advocacy and Debate 7 Employment 8 International expansion 9 Sponsorship 9.1 Sporting 9.2 New Zealand 10 References 11 External links 11.1 Data

Telecommunications services were originally controlled by the Postmaster-General's Department (PMG). On July 1, 1975, separate commissions were established by statute to replace the PMG. Responsibility for postal services was transferred to the Australian Postal Commission (Australia Post). The Australian Telecommunications Commission (ATC), trading as Telecom Australia, ran domestic telecommunication services.

In 1989 the ATC was reconstituted as the Australian Telecommunications Corporation.

In 1992 the Overseas Telecommunications Commission, a separate government body established in 1946, was merged with the Australian Telecommunications Corporation into the short-lived Australian and Overseas Telecommunications Corporation (AOTC) which continued trading under the established identities of Telecom and OTC. The AOTC was renamed to Telstra Corporation Limited in 1993. The corporation then traded under the "Telstra" brand internationally, and "Telecom Australia" domestically until 1995, when uniform branding of "Telstra" was introduced throughout the entire organisation.

Telstra has faced competition since the late 1980s from Optus (Australia's 2nd largest communication company) and a host of other smaller providers. It retains ownership of the fixed-line telephone network, as well as one of two competing pay-TV and data cable networks. Other companies offering fixed-line services must therefore deal with Telstra except Optus, Transact and a few others who have installed their own infrastructure.

Telstra was privatized in 3 different stages, informally known as T1, T2 and T3 in 1997, 2002 and 2006^[3] In T1, the government sold 1/3rd of it's shares in Telstra for $14 Billion^[4] In 2002 a smaller amount of Telstra shares were released to the public and sold. In 2006, T3 was announced by the government and was the largest of the three public releases, reducing the Government's share in Telstra to 17%.^[5]

This article needs additional citations for verification. Please help improve this article by adding reliable references. Unsourced material may be challenged and removed. (February 2007)

Telstra owns and operates the majority of PSTN services in Australia. A large portion of Telstra's revenues are generated from fixed-line services, but Telstra has issued profit warnings in the past due to negative growth in the fixed line market. A shift from fixed line services is underway as local call volume falls^[6] and the uptake of mobile telephony increases.

Telstra outsources a significant portion of network installation and maintenance to private contractors and Joint Ventures, such as ABB Communications and STCJV.

Telstra also owns and maintains the majority of Australia's public telephones. It was announced^[7] that Telstra would remove many of the phones, citing unprofitability due to vandalism and the increasing takeup and use of mobile telephones.

Telstra operates the largest GSM, CDMA and 3G mobile telephony networks in Australia.

MobileNet services are available in post-paid and prepaid payment types. Telstra provides GSM, NextG and CDMA (until early 2008) Prepaid Mobile services, via Telstra Pre-Paid. This service has previously been branded under a number of different names, including "Zip", "U", "communic8", and "Telstra Pre-Paid Plus".

In late 2005, Telstra announced that it would replace its CDMA network with a new UMTS network incorporating HSDPA running at 850 MHz, later to be known as Next G. 850 MHz was chosen over the usual 3G 2100 MHz as it can cover much greater geographic distances. This network was implemented under contract by Ericsson as part of a project internally dubbed "Jersey" and launched on 6 October 2006. The CDMA network will continue to run until 28 January 2008 ^[8], however, migration onto the Next G network has already begun for customers who are pre-paid, still under contract, or have expiring contracts.

The current 3G WCDMA/UMTS network operating on the 2100 MHz band is provided by a joint venture between Telstra and Three, whereby Telstra acquired half of Three's radio network and pays half of expansion/maintenance costs. This has enabled Three customers to gain access to the GSM network where 3G coverage is non-existent via a reciprocal agreement.

Telstra was one of the only regional providers to provide i-mode services (running on GSM/GPRS and 3G 2100 MHz WCDMA on one particular handset), licensed from NTT DoCoMo. Telstra no longer sells i-mode, and this service is no longer available to existing customers as of December 10, 2007, with current customers being able to recontract with a new handset without incurring early termination charges. With the launch of the Next G network, Telstra now offers more advanced value added services such as mobile TV (branded Foxtel), and other generic internet services (BigPond Mobile, formerly Telstra Active).

Historically, Telstra attempted to break through to the value added services such as video streaming and content via its CDMA/1xRTT network with a service called Telstra MobileLoop. This offering was not commercially successful, and was abandoned in favour of a GSM i-Mode offering, and later Telstra Active 3G services which has now become Bigpond Mobile services and operates on the GSM, 3G 2100 and Next G networks. Telstra also is the only Australian mobile network provider supporting EDGE. [4]

Due to their ownership of existing copper phone lines and telephone exchanges, Telstra Wholesale is the incumbent and dominant wholesaler of ADSL related services to other Internet Service Providers. They installed the first DSLAMs in exchanges prior to 2000, and began wholesaling access in late 2000.^[9]

Telstra Internet (known as Telstra BigPond), provides broadband internet access via ADSL, HFC cable, fibre, satellite, and wireless access through its EV-DO and Next G networks. At the end of the 2007 financial year BigPond had over 2 million broadband subscribers ^[10]. The existing customer base of Bigpond Wireless is currently being migrated over to the Next G network, which offers higher speeds and greater coverage.

On November 10, 2006, Telstra made two major changes to their ADSL network. The first was an increase of the cap of wholesale ADSL speeds offered from 1.5 Mbit/s/256 kbit/s to 8 Mbit/s/384 kbit/s. Telstra also released an ADSL2+ broadband service offering speeds of up to 24 Mbit/s from exchanges where competitors are already offering ADSL2+ services. "Because of regulatory constraints, the up to 20 Mbit/s service would be limited to [telephone] exchanges where competitors are also offering those higher speeds," says Justin Milne^{[citation needed]}, Telstra's group managing director of its BigPond division. Telstra does not wholesale its ADSL2+ product.

Bigpond generally rates poorly in independant customer satisfaction surveys, with customer service and value for money being the common critisims. A recent survey found less than a third found Bigpond to be good value for money and just as few would reccommend Bigpond to a friend^[11]. In this survey, Bigpond came second last, with Dodo coming last and Westnet first^[12]. The results of this survey were mirrored in one by Choice Magazine in October 2007 in which Bigpond came last for both ADSL and Wireless internet, while Westnet again came first for ADSL for overall customer satisfaction^[13].

See also Internet in Australia.

Telstra, through its retail Internet Service Provider, BigPond, sells dialup internet access, which is also offered as a Pre-Paid service.

Telstra's Hybrid Fibre Coax (HFC) Cable network is one of the delivery systems used by the Australian Subscription Television provider Foxtel, 50% of which is owned by Telstra. Telstra also resell Foxtel's "Digital" products in Foxtel's service area (as Foxtel by Telstra) and Austar's "Digital" product, in Austar's service area (as Austar by Telstra).

Sensis: is Telstra's wholly owned advertising and directories arm. Sensis publishes Australia's White Pages and Yellow Pages telephone directories, and in 2004 purchased the Trading Post, a classified advertising periodical. In addition, they manage several websites:

• Trading Post: Classified in Print, online and mobile
• Yellow Pages Online: an additional revenue source compared to print
• Sensis.com.au: an Australian search engine
• WhereIs.com: online maps and street directories
• CitySearch: city-based lifestyle and entertainment guide
• GoStay: online accommodation booking
• LinkMe: business networking directory
• JustListed: a real estate site focused on the Sydney market
• Home at Yellow: a home improvement website
• SouFun: a China-based property website

Sensis are also responsible for all of Telstra's telephony directory assistance, from basic 1223 (National Directories), 12455 (Call Connect), 1225 (International Directories) and premium (1234.)

Telstra's market dominance extends beyond its historical PSTN voice and private data business, into newer markets such as Internet Access, Hosting, and Colocation services. In spite of competition from both foreign and domestic challengers, the former PTT is perceived to have retained a strong grip on many of the country's most profitable customers.

Optus remains the company's nearest rival for lucrative business networks. However, Telstra supplies almost twice as many customers in the ASX200 with Dedicated Internet Access services.

Telstra is advocating the development of a nationwide FTTN network which, in conjunction with VDSL2 technology, would enable up to 100 MBit/s symmetric download and upload speeds to the home. Competitors, such as the G9, have proposed similar developments, with both Telstra and G9 making progress on various fronts including political and regulatory expectations and funding.

Telstra has indicated that it will not proceed with building the network until it receives regulatory certainty that it will not be forced to wholesale FTTN access to competitors at rates it believes are unfair.

Since the arrival of CEO Sol Trujillo, Telstra has become very politically active. Managing Director of Public Policy, Phil Burgess, has publicly decried the condition of government regulation in Australia, claiming it stifles technical innovation. Burgess famously remarked that he "wouldn't recommend Telstra shares to his mother".

Burgess led the development of NowWeAreTalking, a web site where Telstra provides its own views on regulation. This in turn led a group of Telstra's competitors calling themselves T4 to set up a web site in response, known as Tell The Truth Telstra. ^[14]

In February 2007, Telstra launched the Broadband Australia Campaign. This campaign is intended to increase public awareness in broadband, and again set forth Telstra's views on regulation.

On May 17th, 2007, The Australian Treasurer, Peter Costello, said that he has never seen a company in Australia attack the independent ACCC in the way that Telstra has done. [5]

Empty cells have no data available for that year. All results at 30 June.

Year	Domestic full-time staff	Full-time staff and equivalents	Total workforce	Reference
1995	73,307	86,885		Annual Report
1996	76,522	88,995		Annual Report
1997	66,109	76,990		Annual Report
1998	57,234	66,760		Annual Report
1999	52,840			Annual Report
2000	50,761	53,055		Annual Report
2001	44,874	48,317		Annual Report
2002	40,427	44,977		Annual Report
2003	37,169	42,064		Annual Report
2004	36,159	41,941		Annual Report
2005	39,680	46,227	52,705	Annual Report
2006	37,599	44,452	49,443	Annual Report
2007	35,706	43,411	47,840	Annual Report

In April 2006, the appointment of Fiona Balfour saw Vish Padmanabhan demoted to his previous role of deputy CIO^[15]

On 6 February 2007, Chief Information Officer, Fiona Balfour left the company 10 months after she joined the company from 14 years with Qantas^[16].

Telstra's employment policies have been the subject of some criticism. On ABC's (Australian Broadcasting Corporation) documentary program Four Corners, [6] Telstra Chief Operations Officer Greg Winn was revealed to have stated ""We run an absolute dictatorship and that’s what’s going to drive this transformation and deliver results… If you can’t get the people to go there and you try once and you try twice… then you just shoot ‘em and get them out of the way… "

Telstra has expanded into international markets.

• 51% of China's SouFun, a real estate and property website. SouFun will be integrated into the Sensis business and provide Telstra with an entry point into China^[17].
• 50% of Reach, an Asian undersea cable venture, with Pacific Century Cyberworks. This partnership was created during the late 1990s telecommunications boom - it struggled and had its book value downgraded to zero by Telstra in February 2003. Reach's debt was renegotiated in 2004 and it was restructured to operate mainly as a vehicle for its owners' international requirements.
• 76.4% of New World Mobility, the largest mobile operator in Hong Kong with 34% of the market in 2006. Telstra originally acquired 60% of CSL (the former Hong Kong Telecom's mobile arm) from Pacific Century Cyberworks, then the remaining 40%, before merging it with New World Mobility ^[18].
• 100% of TelstraClear, New Zealand's second largest telecommunications provider. It has its own fibre networks in major cities, is building regional fibre backhaul, has a hybrid fibre-coax network providing phone, internet, & TV services (in Wellington, Christchurch and Kapiti), and resells Telecom New Zealand's phone & data services nationwide (including a mobile agreement). The company was formed in 2001 from the merger of subsidiary TelstraSaturn (a 50/50 joint-venture with Austar which had previously acquired ISPs paradise.net and NetLink) and the telco Clear Communications purchased from BT Group plc.
• Telstra Europe - The Telstra Group has been operating in Europe since 1992. Telstra Europe has a customer base of over 7000 customers, who buy data, voice and complex managed network and hosting services [7].

Telstra has naming rights to two national sporting arenas, the Telstra Dome in Melbourne and Telstra Stadium in Sydney and is the naming rights sponsor to the National Rugby League. Telstra is also the principal sponsor of Swimming Australia.

Telstra also has the naming rights (under TelstraClear) for the TelstraClear Pacific events centre in Manukau City, New Zealand.

• Telstra Australia
• Next G: Telstra's 3G 850 MHz network
• Telstra Global
• Telstra's "Next IP" Network
• Telstra America
• Telstra Europe
• TelstraClear (New Zealand)
• Telstra BigPond Internet
• Telstra Internet Direct
• Telstra's 3GSM product offering
• Nowwearetalking.com.au, Telstra asks for your say in Australia's telecommunications future
• Sensis corporate site
• OPTUS/TELSTRA How it all works?? (Whirlpool, forum post)
• Telstra T3 Prospectus
• Citizens Against Selling Telstra - Australian group opposed to the privatisation of Telstra
• Telstra Phonewords Business

• Yahoo! - Telstra Corporation Limited Company Profile
• Telstra Corporation stock performance chart from Gstock

v • d • e Current and former telecommunications and postal organisations of the Commonwealth Government
Postmaster-General's Department · Overseas Telecommunications Commission · Australian and Overseas Telecommunications Corporation · Telstra Telecom Australia (official names: ATC (commission) · ATC (corporation)) Australia Post (official names: APC (commission) · APC (corporation))

v • d • e Australian mobile phone companies
Telstra Mobile · Optus Mobile · Vodafone · 3 · Virgin Mobile

v • d • e S&P/ASX 50 companies of Australia

AGL Energy Limited · Alumina Limited · Amcor Limited · AMP Limited · Aristocrat Leisure Limited · Asciano Limited · ASX Limited · Australia and New Zealand Banking Group · AXA Asia Pacific Holdings Limited · BHP Billiton Limited · Bluescope Steel Limited · Brambles Industries Limited · Centro Properties Group · Commonwealth Bank of Australia · Consolidated Media Holdings · Crown Limited · CSL Limited · Fairfax Media Limited · Foster's Group Limited · Goodman Group · GPT Group · Insurance Australia Group Limited · Lend Lease Corporation Limited · Macquarie Airports · Macquarie Group Limited · Macquarie Infrastructure Group · Mirvac Group · National Australia Bank Limited · Newcrest Mining Limited · News Corporation · Orica Limited · Origin Energy Limited · Qantas Airways Limited · QBE Insurance Group Limited · Rio Tinto Limited · Santos Limited · St George Bank Limited · Stockland · Suncorp-Metway Limited · Tabcorp Holdings Limited · Telecom Corporation Of New Zealand Limited · Telstra (Installment Receipts) · Telstra Corporation Limited · Toll Holdings Limited · Transurban Group · Wesfarmers Limited · Westfield Group · Westpac Banking Corporation · Woodside Petroleum Limited · Woolworths Limited · Zinifex