Vodafone suit an historic misfire
On the eve of the two companies’ High Court case over mobile network interference, Vodafone has achieved the impossible: making Telecom look like a hero.
It’s a PR achievement that Telecom’s squadrons of comms people and marketeers would never have been able to pull off themselves, but a majority of people are starting to feel that Telecom (yes, the big ugly monopoly) is getting the wrong end of the stick. People feel sorry for Telecom. Random citizens defend it, and criticise Vodafone (which is remaining silent while the case is before the High Court).
The MED, which polices spectrum interference, seems solidly on Telecom’s side as Vodafone alleges XT is interfering with its voice service, and losing its customers.
Ericsson, though spurned as an XT partner, also backs the telco.
Tuanz, and many others, have noted that interference is routine as a new network is fined up, and called on Vodafone to amicably sort it (as NZ Comms has already) through regular out-of-court channels.
And in voluminous comments left after NBR’s stories, public sentiment generally runs with Telecom. Customers want the national carrier to join the 3G party. Vodafone wants to stop it.
The market, too, has already picked a winner with Telecom’s shares hitting a seven-month high on the eve of XT's May 13 launch.
Of course, things could change in the Auckland High Court today, as Vodafone makes its case to have XT shutdown, and more details emerge.
But for now, its XT lawsuit looks like it will go down in history has a complete misfire.

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Comments and questions15
I think you will find that 4,300,000 New Zealanders dont give a hoot about Telecon & would love to see them get some of their own medicine back, after all their years of anti-competitive behaviour.
Very sad...using the same old, same old propaganda & paranoia about a "big ugly monopoly". Funny that the VF global HQ gave tehir NZ offshoots some money to proceed with this laughable injunction.
The only monopoly here is vodafone.
take a look at some of the other postings ... seems like there are plenty of people who do give a 'hoot'
Usually in NZ, Telecom is the monopoly in stories, but in the cellphone world, Vodafone is huge worldwide. So Telecom is actually more kiwi and indeed the under-dog.
None of the cellphone issues will matter once someone invents fixed wired phones anyway, lol.
Vodafone's so called 'monopoly' is the result of Telecom becoming irrelevant through it's own choice of American network standards instead of European standards. Telecom did this on purpose to limit competition and it backfired. Now they are doing it again with American spec UMTS 850 band instead of the 900 band Europe and VodafoneNZ are moving too. Why deify them for this? They are serving NZer's best interests just their own.
Telecom is interferring with its biggest competitor's network... just at the time competition is heating up.
Vodafone is the only company challenging Telecom's grip on the fixed line. It already destroyed Telecom in mobile... this is the fight back. It's dirty, it's underhanded and the court will hear all about it, so why don't we wait to see when Telecom knew about this, what it did to fix it and why Vodafone had to go to court, eh?
For the record, I don't think Ericsson took either side. They merely pointed out that the two networks can get along, as they do in Australia, if appropriate measures are taken. Perhaps they should have gone with the Swedes in the first place.
What a pile of ****, quite obviously this writter knows nothing about cellular communications, why Telecom went CDMA & quite obviously nothing about UMTS either!!!!
"No monopoly
Vodafone's so called 'monopoly' is the result of Telecom becoming irrelevant through it's own choice of American network standards instead of European standards. Telecom did this on purpose to limit competition and it backfired. Now they are doing it again with American spec UMTS 850 band instead of the 900 band Europe and VodafoneNZ are moving too. Why deify them for this? They are serving NZer's best interests just their own"
Are you serious! For starters 900mhz UMTS has only been in commerical use for just over a year versus 850mhz UMTS which has been in use for 3 years at least. I could go on!
I really do wish stupid people with little or no knowledge would not make stupid claims or posts here, get some facts you twit!
Moron!
I agree 100% with this story, even if the vodafone staff and fan boys who replied don't. Lets get one thing straight here - Vodafone is a fat cat multinational that has taken cash out of New Zealand for years and really doesnt give a rats about New Zealand when push comes to shove.
What amazes me is how sucessfully Vodafone have gotten away with hidding their shonky network behind slick marketing whilst operating an exceptionally clever campaign of vilifying Telecom over the years. Trouble is the game is up and the public are starting to catch on. Not a good time for an injunction.
Ask yourself this: if Vodafone really cared about New Zealand, why are they charging prepaid customers for the privalege of substandard support from Egypt?? What about the paper based billing debacle? Need I say more?
Telecom mightn't be squeaky clean but they're children compared to vodafone when it comes to doing over their customers - Just ask any Vodafone customers from outside of New Zealand.
So Voda say there is an emergency calling issue? Great emotive stuff to throw at a non tech savvy judge and the media, but hang on, Why didnt vodafone throw their toys out of their cot and seek an injunction back in November when XT was first switched on? Hmmm smelling a big red rat yet??? I am
Then there's Vodafones claims that XT is behind a some fantastic rise (something like a 154%) rise in call failures. There's two issues here - This 154% is a percentage of what? It sounds impressive but if its only a 154 percent increase on say 12 complaints then things look decidedly silly. Also how can Voda definitively know when these complaints started to be caused by XT? The various vodafone handsets I've owned plus those of friends and family have all dropped calls and behaved badly for years - way before XT was even thought of.
Having had a monopoly on GSM Vodafone has for years supplied NZ with a shonky sub-standard network that was mostly creaky 2G with isolated pockets of 3G (remember the recent complaints from iPhone owners anyone??). Now Telecom are about to launch XT ( which I understand is totally 3G) Vodafone suddenly don't look so attractive anymore and have strangely enough decided to get all legal. Not a good look for Vodafone, but great publicity for Telecom.
How about Vodafone let the engineers get on with fixing things and stop this pathetic injunction. Its only making them look like a bunch of greedy fat cats. Even if they succed in delaying the XT network, Telecom will still eventually launch it and meanwhile Vodafone have managed to alienate the market and generally confirming suspicions that they're in fact the big evil corporate who can't play fair.
Have been doing a lot of research and I would have to agree with the post against Vodafone. They have been overcharging, they have been providing bad customer service and have developed a less than satisfactory network. Couldn't have worded it better than the previous post.
To those who've watched for years, it's clear Telecom has frequently exploited the NZ marketplace and thus I've been an ardent VF fan over the years (even when it was Bellsouth). But the VF lawsuit right now is wrong. It would be smarter for VF to offer a superior product to Telecom and win the battle that way. Here's hoping VF will spend money on n/w and c/s infrastructure and defeat the enemy that way.
Vodafone has been caught out bg time. They have been treating us badly and now we gt some competition and what do you know they defend their monopoly!
Stop trying to vilify or exonerate one or the other. You can't read much into this one small incident. Both companies are greedy for the lucrative NZ market - that's it. And having only 2 of these greedy monsters is not enough to bring price reductions to mobile phone users.
Having worked for both telcos 4 things are true for both:
1.There is good demand in NZ for any mobile service
2.NZers have shown they're willing to pay way over fair market value for just basic service.
3.Both Telecom and VF want as much of that lucrative market as they can get.
4.Customers are treated like cattle and are not really valued by either company beyond the $$'s they contribute.
So just let them fight it out. Don't make such a big deal about what is hopefully not the last battle to be fought for your money. Ideally the antagonism between these 2 will drift into a price war where mobile users actually start to get some overdue financial benefits.
@Mike you've not posted any reasoning for your verbal abuse
In the UK 5 netowrks all operate around the same frequency range and phones (when unlocked) are compatible between all 5 networks - just change the SIM card.
Vodafone works the same way as does NZ Comms.
Telecom has to be different for some reason. It went CDMA 1xRTT instead of doing what other networks did and roll out UMTS2100MHz on the GSM standard. It backfired, do you dispute this? No-one else does.
Now instead of rolling out 900/2100MHz as in Europe they have decided to go 850/2100MHz (I hear the 2100MHz may not be operational ?!?). Why????
I can only guess that they want to avoid being on a level playing field with Vodafone. Perhaps you can enlighten us Mike to their thinking?
UMTS is entering it's final stages in the US. Networks there are working towards LTE or WiMax. Telecom will be left behind when the move to 4G comes. The should have released this XT network 1-2yrs ago.
WCDMA/UMTS 850/2199MHz is an evolution of GSM 900. I understand more Telco's (including Vfone International) are moving towards this. You could say that Vfone leaped bounds over Telecom when it entered the market with GSM, and now Telecom are simply doing the same to them...
4G is still a pipe dream for a lot of Teleco's, and the ability to make money from a 4G service customer base remains an unknown (it's rumoured to be very costly at present), and it's my understanding that WCDMA 850 seems to be the way most providers are going.
I think Vodafone's timing (and scaremongering) is dubious. If emergency services were to be affected, and they new about this since the start of the year, why are they only bringing it to the publics attention now?
Ok that's my own limited take on it, but there is a wealth of info available online.
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