Telstra Sues Optus Over Network Coverage Claims
Published on: 10th Feb 2014
Australia's Telstra is taking rival mobile network Optus to court over claims that Optus is running misleading adverts that target its services.
Optus has been running a television advertising campaign, but Telsta has filed a complaint with the Victorian Supreme Court saying that the adverts misrepresented the difference between the mobile networks of both companies.
A hearing on Friday resulted in Optus agreeing to remove the adverts from its website pending a formal hearing that will take place later this week, but secured an agreement that already paid for slots on broadcast television could carry on as planned.
The issue is the significant difference in coverage of largely rural parts of the country.
Both networks cover the bulk of the population, but as that is concentrated in the coastal regions, adding just a tiny fraction of an extra percentage to the coverage can require vast areas of the internal landmass to be covered.
According to Telstra, it covers 99.3 percent of the population, vs Optus with 98.5 percent of the population. However, in terms of landmass covered, Telstra claims 2.3 million square miles vs Optus' 1 million square miles.
Telstra argues that is a sufficient difference to need clarifying in the Optus adverts.
The court hearing is set for this Wednesday.