Telecom CDMA network survives

Forums › Spark New Zealand (including Skinny and BigPipe) › Telecom CDMA network survives

heavyusr

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#104012 12-Jun-2012 23:38

Read this story very slowly

http://www.nbr.co.nz/article/telecom-confirms-earnings-forecast-delists-nyse-ck-120707

The word expected is used. 300,000 customers were active this past month accounting for 11% of revenue. I think we will see the closure date pushed back by a year at least

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#639974 12-Jun-2012 23:46

The title of this thread is misleading for a start

Bet we don't and closure happens as planned 3 years notice is plenty, Telecom need the spectrum for XT

Here is a quote from the NBR article

" we are seeing continuing decline in our prepaid customer base prior to the expected shutdown of the CDMA network in July this year,"

sbiddle

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#639991 13-Jun-2012 06:19

heavyusr: Read this story very slowly

http://www.nbr.co.nz/article/telecom-confirms-earnings-forecast-delists-nyse-ck-120707

The word expected is used. 300,000 customers were active this past month accounting for 11% of revenue. I think we will see the closure date pushed back by a year at least

I think we will see the closure date occuring as scheduled.

coffeebaron

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#639994 13-Jun-2012 07:11

If there's still a lot of customers, then maybe a short reprieve of one to three months would be my guess; but definitely they won't be keeping it open another year.

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sbiddle

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#639998 13-Jun-2012 07:26

heavyusr: Read this story very slowly

http://www.nbr.co.nz/article/telecom-confirms-earnings-forecast-delists-nyse-ck-120707

The word expected is used. 300,000 customers were active this past month accounting for 11% of revenue. I think we will see the closure date pushed back by a year at least

The story also says the 639000 active in February were 11%, not the 300000 that were active in May.

If over 300000 have migrated in 2 months and there was still 2 months to go why would Telecom need to give those users another year?

If you're thinking a telco wouldn't walk away from customers you're wrong - a telco walking away from 100000 non profitable customers who would incur significant costs to upgrade (such as giving them a new handset) makes plenty of sence. In many ways it is Vodafone's model now - they probably don't care about many of the low use users they're losing to 2degrees and it's certainly not hiting their balance sheet in any way.

SteveON

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#640002 13-Jun-2012 08:11

sbiddle:
heavyusr: Read this story very slowly

http://www.nbr.co.nz/article/telecom-confirms-earnings-forecast-delists-nyse-ck-120707

The word expected is used. 300,000 customers were active this past month accounting for 11% of revenue. I think we will see the closure date pushed back by a year at least

The story also says the 639000 active in February were 11%, not the 300000 that were active in May.

If over 300000 have migrated in 2 months and there was still 2 months to go why would Telecom need to give those users another year?

If you're thinking a telco wouldn't walk away from customers you're wrong - a telco walking away from 100000 non profitable customers who would incur significant costs to upgrade (such as giving them a new handset) makes plenty of sence. In many ways it is Vodafone's model now - they probably don't care about many of the low use users they're losing to 2degrees and it's certainly not hiting their balance sheet in any way.

Exactly, if you can make a far better ROI by offering plans to those who will actually use and pay for the service, then that's a far better decision.

scuwp

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#640005 13-Jun-2012 08:34

My first guess is the de-listing is simply because Telecom is but a shadow of it's former self, it's simply not big enough anymore to be viable on overseas exchanges.

My second guess is that it is being packaged for sale.

My last guess is that CDMA will be turned off as planned, no question.

Lazy is such an ugly word, I prefer to call it selective participation

NonprayingMantis

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#640014 13-Jun-2012 09:02

If the 300,000 is based on 6 month active (which it usually is) then a large chunk of those cuswtomers won't actually be on CDMNa anymore. they will have either upgraded to XT or moved to 2D or vodafone, but they won;t show up as lost customers until CDMA actually closes down or 6 months after their last use, whichever is sooner.

what I think we will see is CDMA close down as planned, but the majority of 'customers' will be from an accounting poinjt of view only.

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#640053 13-Jun-2012 10:27

My personal view is that I would be very surprised if it doesn't get switched off as planned.

All that old CDMA infrastructure takes up a whole lot of space and a lot of power to run for a ever diminishing customer base and the frequency range currently allocated to CDMA would be far better utilised on XT.

I'd put $5 iPredict that CDMA would shutdown as planned if anyone was willing to bet against me....

quickymart

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#640405 13-Jun-2012 21:02

Oh CDMA is definitely being switched off alright, no two ways about it. Customers on the CDMA network have had plenty of warning it was going.

old3eyes

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#640514 14-Jun-2012 08:55

quickymart: Oh CDMA is definitely being switched off alright, no two ways about it. Customers on the CDMA network have had plenty of warning it was going.

They sure have. Anyone on any for of post pay will have received their two monthly letter in the mail advising them of this and people on prepay should be getting the cut off message when ever they maker a call..

Regards,

Old3eyes

richms

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#640785 14-Jun-2012 15:09

Ive not got any texts on the CDMA clunkers that I occasionally use to get intouch about things for sale. Not made a call on them in forever either.

Really should move them over sometime shortly so I get the $70 credit off telecom but really its no big loss if I lose the numbers.

Richard rich.ms

kyhwana2

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#640825 14-Jun-2012 16:14

inb4 "My Telecom CDMA phone stopped working, how do I get it going again!" posts.

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#640832 14-Jun-2012 16:20

kyhwana2: inb4 "My Telecom CDMA phone stopped working, how do I get it going again!" posts.

This...

raytaylor

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#641022 14-Jun-2012 21:55

quickymart: Oh CDMA is definitely being switched off alright, no two ways about it. Customers on the CDMA network have had plenty of warning it was going.

Wait.. So this means no more kids driving trucks and using push to talk?

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SteveON

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#641027 14-Jun-2012 22:06

What ever happened to push to talk?

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