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Home / Business / Companies / Telecommunications

<EM>Peter Nowak:</EM> Santa techs time to check list twice

12 Dec, 2005 07:40 PM5 mins to read

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Opinion by

As the festive season is upon us, we are probably thinking about spending time with the family and worrying about what to get who.

But here in the Connect section, we never take a holiday (except for the next few weeks, when most of the Herald's special sections shut down).


After all, Christmas doesn't bypass our tech firms just because most people aren't thinking about them.

In fact, we have it on good authority that Santa sets aside a little time each year to check his list of New Zealand technology companies, to see who's been naughty or nice.

We've managed to acquire that list and now present to you, gentle reader, an exclusive look at what our top tech newsmakers of 2005 will be getting for Christmas.

Trade Me

Nice. By most measures, the auction site has become the country's most popular website and has cemented itself as a beloved Kiwi institution. It's going to be nigh impossible for anyone, whether it's Telecom or global rival eBay, to knock Trade Me from its perch for precisely that reason. Santa is giving Trade Me a solid monopoly in the online auction business - hopefully the company won't abuse it and end up in the naughty books next year.

CallPlus

Nice. Along with a handful of other telcos and internet service providers, CallPlus has somehow managed to build up a decent business despite functioning under a regulatory nightmare. Santa is giving the company a successful WiMax trial so that it can circumvent Telecom's network and offer customers fast and cheap broadband internet.

TelstraClear

Naughty. Nobody can blame TelstraClear for its new focus on profitability, and thus abandoning some customers, but it can be blamed for a serious identity crisis. The company has sent mixed signals this year - new chief executive Allan Freeth said it won't be a competitive "stalking horse", but has continued to make the loudest noises on regulatory issues.

Saint Nick is bringing the company a clarified focus for the new year.

Commerce Commission

Too nice. It hasn't been a good year for Douglas Webb and company. Their big attempt at lowering mobile phone costs through cutting termination rates was shot down by the Communications Minister, and Telecom recently thumbed its nose at the commission by going ahead with its purchase of WiMax spectrum without permission. Add in some renewed furore over the local loop unbundling fiasco and the commission is looking like a lame duck. On the way from Santa is a fresh set of teeth so the commission can finally bite as hard as it barks.

Neuren Pharmaceuticals

Nice. New Zealand's biotech industry is set for a breakthrough, with Neuren leading the way. The company's success could have a Lord of the Rings effect, attracting much international attention to the industry as a whole. Santa is bringing Neuren successful tests for its brain injury drug Glypromate.

Communications Minister

Nice, with shades of naughty. If the commission needs teeth, David Cunliffe is going to need fangs to implement its recommendations and pass his own proposed changes. So far, Cunliffe has made the right noises and created the sense that change is finally imminent, but some recent comments have fostered worries that we may be in for more of the same old, same old. Under the tree for young David this year will be an unimpeachable resolve and heaps of transparency to go with it.

Woosh Wireless

Nice and naughty. In launching its voice service a few months ago, Woosh has emerged as perhaps the only real, honest-to-goodness phone and internet alternative to Telecom. But if the Commerce Commission opens up Telecom's network and thus allows rivals to offer significantly faster internet access, Woosh will be in trouble if it can't match those speeds. Woosh is probably hoping it gets further delayed regulations for Christmas, although the big guy in the red suit still isn't sure if he's going to cough this one up.

Vodafone

Naughty. Vodafone has continued to lose mobile market share to Telecom for four consecutive quarters. How can the world's biggest mobile company, with huge resources to back it up, stand for this? It's a matter open for debate, but with both providers sitting near 50 per cent market share, it sure looks like there's competition in the market place, doesn't it? Santa would like to bring Vodafone a real desire to compete, but he can't seem to find it in his warehouse and will likely give the company nothing instead.

Telecom

Naughty. Santa Claus, like much of New Zealand - not to mention OECD officials watching from abroad - is well aware of Telecom's misdeeds and has told me in confidence that the company can expect a big lump of coal in its stocking. However, it wouldn't be a surprise if he changes his mind, given that chief executive Theresa Gattung is right now writing him a secret letter laced with threats.

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