Friday, May 9, 2008

Telstra withdraws Next G appeal

TELSTRA has withdrawn its appeal against a Federal Court ruling that it misled consumers about the coverage of its Next G network.

The Australian Competition and Consumer Commission (ACCC) brought proceedings against Telstra in September last year, alleging the telco had engaged in misleading and deceptive marketing practices.
The illegal conduct included Telstra's claims that its Next G mobile network had "coverage everywhere you need it" and that Next G customers would get the same or better coverage than on the now-defunct CDMA network.
"Telstra's decision to discontinue its appeal proceedings brings a welcome end to this matter, and vindicates the ACCC's strong intervention to protect consumers from misleading marketing in the telecommunications industry," ACCC chairman Graeme Samuel said.
Telstra has been ordered to pay the ACCC's court costs.
Telstra spokesman Peter Taylor said the telco's position on the outcome of the case had not changed and that it stands behind its network and the advertising.
Mr Taylor said it was in the interest of Telstra shareholders that the appeal be dropped.
"As the campaign in question has not run for over 10 months and is a distant memory, the CDMA network is now closed, and the Next G network is going from strength to strength, it is in the best interest of our shareholders and taxpayers to bring the episode to a close," he said.
He said Telstra has done more than any other mobile phone provider to properly inform its customers of how to get the most from the Next G network.


Latest Posts

Latest Comments