Media Release

CDMA network to close on 28 April 2008

The Minister for Broadband, Communications and the Digital Economy, Senator Stephen Conroy, today announced that Telstra has met the requirements to allow closure of its CDMA mobile phone network from 28 April 2008.

I am satisfied that Telstra has met the equivalence tests in its licence condition and has sufficiently rectified the problems I identified in January, including handheld handset coverage, customer information provision and the availability of equipment and services, Senator Conroy said.

Today I urge anyone who still has a CDMA phone to make the necessary arrangements to switch to another network as quickly as possible.

Telstra has committed to continue to resolve customers issues through its dedicated 1800 888 888 freecall hotline and handset replacement program for people experiencing Next G coverage difficulties until 1 July 2008.

Before these programs cease Telstra will report to me so I can assess whether the level of demand warrants an extension of the programs, Senator Conroy said.

Beyond 1 July, Telstra will continue to offer handset exchanges in genuine cases using its established mobiles customer service phone-line on 125 111.

Customers who do not believe they have had their network switchover issues resolved using Telstras hotline will still be able to contact the Department of Broadband, Communications and the Digital Economy on freecall 1800 883 488.

Following my decision in January to postpone Telstras CDMA closure, Telstra responded quickly to put a rectification process in place including establishing the 1800 888 888 hotline, Senator Conroy said.

Telstras hotline has been advertised in the regional and metropolitan media, on Telstras website and in stores. The Telstra website now provides detailed information on where Next G handsets are most effective.

The hotline was established to assist customers not receiving equivalent handheld coverage and as a result, Telstra has reported that thousands of those customers have received free handset upgrades or other equipment and assistance, Senator Conroy said.

Telstras store accreditation program, which includes training staff to better assist potential Next G customers, providing in-store information and ensuring appropriate stock is available, is nearing completion.

Telstra has also worked with customers using CDMA for remote data monitoring through telemetry systems, and with customers who have their home phone services provided by CDMA technology, so equipment is available to ensure equivalent service.

Telstra has informed me that it will now SMS remaining CDMA customers to inform them of the switch off and the need to contact Telstra to switch over. In addition to this Telstra has commitment to send two further SMSs to the customers 7 days and 24 hours before switch off, as well as personally writing to all the remaining CDMA customers, Senator Conroy said.

Once the shut-down of the CDMA network is complete, Telstra will be able to focus its resources and energy on improving and expanding the Next G network, providing high levels of customer service to Next G customers, and to help the small number of customers still holding CDMA equipment.

15 April 2008

Contact: Tim Marshall 0408 258 457

Attachment

Rectification measures implemented by Telstra since January 2008

Hotline

• Telstra established the 1800 888 888 hotline to assist customers with the transition to the Next G network. The hotline has been extensively advertised in regional and metropolitan media, on Telstras web site and in stores.

Replacement program and Coverage Advocates

• Telstra introduced its team of 50 Coverage Advocates to assist customers experiencing difficulties with the Next G network. The team has been proactively contacting customers who have experienced high levels of call drop-outs to identify and rectify any problems.
• Telstra committed to exchanging customer equipment and providing car kits and antennas in genuine cases. Telstras Coverage Advocates have contacted 35,000 CDMA customers and visited more than 1300 customers to assist them to switch over to Next G.

Retail accreditation

• Telstras accreditation program involved training staff to better assist potential Next G customers, providing in-store information and ensuring appropriate stock is available.
• Accreditation has been achieved by:
  • 89 per cent of Telstra stores
  • 90 per cent of stores operated by Telstras major post-paid mobile dealer FoneZone and
  • 30 per cent of other post-paid mobile dealers.
• Telstra has committed to completing its store accreditation in June, earlier than it had originally forecast.

Telemetry and CDMA Wireless Local Loop

• Telstra has worked with customers using CDMA for remote data monitoring through telemetry systems, and with customers who have their home phone services provided by CDMA technology, so equipment is available to ensure equivalent service.
• Telstra advised it has completed the switchover of all its 3569 retail CDMA Wireless Local Loop services.

Ongoing measures announced today

• Telstra will continue to operate and promote its dedicated 1800 888 888 freecall hotline and handset replacement program for people experiencing Next G coverage difficulties until 1 July 2008.
• Beyond this date, Telstra will continue to offer handset exchanges in genuine cases using its established mobiles customer service phone-line on 125 111.
• Telstra will continue to assist customers through the proactive call drop-out program and the Coverage Advocates program for 28 days after the CDMA network closure.
• The Australian Communications and Media Authority will collect and monitor Next G call drop-out and congestion data and report to the Minister.