Telstra Velocity fibre network remains closed shop

A proposal to open Telstra Velocity fibre networks up to other internet service providers appears to have ground to a halt, with customers remaining locked in to Telstra internet services in Smart Community housing estates.

Telstra put the option of wholesale open access on the table in August last year after being criticised for the closed shop deals negotiated with the developers of new housing estates.

Speculation was rife that Telstra was in discussions to open up the Velocity infrastructure, which was closed to service providers other than Telstra.

Questioned by iTnews at the half-yearly results last week on whether anything had happened since, Telstra chief David Thodey said: "Nothing."

The admission is a blow to customers who had complained that they were unaware of the service lock-in to Telstra when they purchased homes in housing estates cabled with Telstra's Velocity fibre.

It remains unclear what relief customers could get from the eventual rollout of the National Broadband Network. It is unknown whether Velocity fibre is being included in backroom negotiations for the sale of Telstra assets to NBN Co.

Last week, Thodey remained tightlipped on what was in and out of the negotiating process.

He was more open about the Federal Government's proposed greenfields legislation released to the public just before Christmas, indicating that Telstra thought "greenfields sites were important".

"We would support it [the legislation]," he said.