-
Fibre optic port - Source: ONE News / CNN -
Watch Video
-
Related
Concerns have been raised about whether the XT mobile outages could jeopardise Telecom's chances of snaffling a stake in the government's $1.5 billion broadband plan.
Telecom wants to help deliver ultra-fast broadband to New Zealanders but there is concern its chances may have been damaged because of the XT fiasco.
ONE News Deputy Political Editor Francesca Mold asked Communications Minister Steven Joyce if he has confidence in Telecom rolling out broadband and important government policy if the company can't even get its network up.
"I think it's terribly embarrassing for Telecom, no doubt about that. And if it continues for any length of time then it would be a concern from an economic point of view for the country," Joyce replied.
The plan to deliver high-speed broadband to 75% of New Zealanders in the next 10 years is vital to National's economic strategy. And with so much at stake, it will be taking a hard look at which of the bidding companies can actually deliver.
Joyce is being very careful not to comment directly on Telecom's chances, but he said: "Obviously from a timing perspective, it's not a particularly good sense of timing."
And the Opposition is not holding back.
"I think when they issue the tenders for broadband they'll be looking at things like reliability. And on its record to date Telecom hasn't scored highly on that characteristic," says Labour leader Phil Goff.
Tenders are being rated by Crown Fibre Holdings, a company set up by the government which is mulling over proposals from 18 organisations, including Telecom, for a slice of the $1.5 billion broadband pie.
Broadband aside, the government is being pressured to step in for the sake of mobile phone users.
But the minister says there's not much he can do given that Telecom is a private company.
"Obviously it's a competitive environment and I can't add any more pressure onto Telecom than their customers will already be placing on them, and they will be very, very well aware of that," says Joyce.
