Commpete is an alliance representing non-dominant providers of digital communications for retail and wholesale customers with combined numbers of 1,575 staff, $1b in annual turnover, and over $250m combined investments in FY20/21. The alliance advocates for pro-competition policies and regulations in telecommunications markets with a vision of an open-access regime. They strive to see independent challengers occupy 30% market share and believe a diversity of both smaller and larger industry participants will deliver the best flexibility, value and choice for consumers and businesses in Australia.

While the ACCC is reviewing the proposed Telstra/TRG plans, Commpete chair Michelle Lim (pictured) says the merger will be a step backwards for competition if it is approved.

“Current policy design is predicated on Australia having sufficient competition in our mobile sector. This couldn’t be further from the truth, and this deal would just further entrench Telstra’s dominance,” Lim said.

“Mobile communications have never been more important, with mobile devices dominating our personal and business life in a way that was barely imagined when the current regulatory arrangements were put in place around 25 years ago. This proposed merger begs the question about whether we’re heading straight back to a monopoly arrangement for mobile infrastructure in an environment where mobile regulation – or lack thereof – already unduly favours scale and incumbency."

“We need to ensure competition is not stymied by and there is a healthy diversity in the retail and wholesale service providers serving regional Australia.”

“We must look beyond claimed short term incentives which may be promoted by the deal parties, and instead take a strategic view for all Australians and where market competition will help fuel digital growth,” Lim said.

“This means all steps should be taken to encourage a market structure which supports the best competition outcomes, one that provides the best flexibility, choice and value for regional Australia in the future. Commpete urges the ACCC to apply utmost scrutiny in this inquiry. Concentrated control over national spectrum resources risks foreclosing mobile market opportunities for other competitors, so this merger cannot simply be ushered through.”