Telecom’s Bogoievski on Separation

Telecom’s Marko Bogoievski is in the Dom Post talking up structural separation. He usefully confirms that the proposed network company would not just have the copper wires in it, but the kerbside cabinets, the fibre back to the exchanges, the regional exchanges and regional backhaul back to the larger exchanges. Or as Telecom explained in a meeting on Thursday, much the same asset split as proposed by the Government for operational separation.

That makes the structural separation proposal (subject to seeing actual details which are key) potentially very attractive. Telecom will have a detailed proposal done by the end of the week, so I’ll probably comment more when that is out.

It’s an incredibly exciting time for the industry, and I want to see NZ do what Netherlands are doing and have fibre to the home. A separate network company, not owned by Telecom, could be a very key player in making that happen, subject of course to the investment returns being there.