ACCC to test Optus-TPG agreement

A network and spectrum sharing agreement in regional Australia between Optus and TPG will now be tested by the Australian Competition and Consumer Commission (ACCC).

The two telcos agreed back in April to share spectrum and mobile network infrastructure from 2025 for 11 years, subject to various approvals.

The deal was struck after an earlier one, between TPG and Telstra, was refused due to competition concerns.

One thing working in favour of an Optus-TPG tie-up is that the ACCC suggested it, seeing it as a way to establish strong alternatives to Telstra, rather than to increase Telstra’s access to resources.

The ACCC said in a regulatory letter [pdf] that it would test two “acquisitions” described in the Optus-TPG agreements.

These relate to TPG authorising Optus to use its regional spectrum, and “the transfer to Optus by TPG of certain leases and/or licences over, and equipment attached to, a number of regional mobile network sites.”

The ACCC is accepting feedback on the proposal up to July 26. It intends to make a decision by mid-September.

Both Optus and TPG will continue to operate their own core networks as well as their own 4G and 5G mobile networks in metropolitan Australia.