Telstra accused of 'exploiting market power'
CCC voices opposition to price cuts
The Competitive Carriers' Coalition (CCC) has criticized Telstra for introducing cuts on its retail prices. The CCC has voiced its opposition to Telstra's decision against reducing wholesale prices so rivals can compete. In a press release, the CCC says that "Telstra is exploiting its market power to illegally undercut competitors' pricing."
Telstra's most significant drop in its BigPond broadband pricing is the 200GB plan, which now has a price of $89.95. The package, which was previously at $179.95, significantly undercut similar plans from rivals, who maintain prices at above $100.
The CCC's press release adds that "even in the face of these complaints, Telstra announced further cuts to its retail broadband prices without announcing similar cuts to its wholesale prices."
"Telstra owns the monopoly access network that all communications carriers must use to deliver services, and has a sorry record of exploiting this market power to undermine competition," said a CCC spokesman.
"Telstra has been acting in ways that are clearly provocative."