Telstra knocked out in court battle

Telstra knocked out in court battle

Incumbent telco loses case over misusing Optus confidential information to gain market share


In a lengthy court battle, the Federal Court has ruled Telstra breached its wholesale agreement with Optus by misusing the company’s confidential information.

Optus alleged that between 1993 to 2000, Telstra wholesale passed on the company’s confidential long distance traffic information to Telstra Retail, which was then used in marketing campaigns to poach Optus customers back to the Telstra network and gain market share.

With established legal liability, Optus will appraise the extent of this breach of contract and will be seeking damages from Telstra.

In April, Telstra also lost its final appeal to impose a $30 charge for competitors to access the unconditional local loop service (ULLS). In March, the ACCC also took legal action against Telstra over claims of anti-competitive behaviour.

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