The Australian Competition and Consumer Commission (ACCC) said it will not oppose the proposed regional mobile network and spectrum-sharing agreements between Optus Mobile and TPG Telecom. The ACCC noted that the agreements, which involve the provision of mobile services in certain regional coverage areas, are unlikely to substantially lessen competition.
Also Read: TPG Telecom and Optus Sign Network Sharing Agreement to Expand Coverage in Regional Australia
Optus-TPG Telecom Network Sharing Deal
Optus and TPG have entered into three interrelated agreements as part of a Multi-Operator Core Network (MOCN) arrangement: the MOCN Services Agreement, the Spectrum Authorisation Agreement, and the Site Transfer Agreement.
Under the agreements, Optus will use certain TPG spectrum to supply mobile services, and in turn, Optus will provide TPG with network services. TPG will decommission most of its sites in the coverage areas, with some being transferred to Optus. Both companies will continue to operate their own mobile networks in metropolitan areas where 81.6 per cent of Australia's population live.
In the proposed regional MOCN arrangement, Optus will provide TPG Telecom with access to its regional radio access network, and they will share spectrum in regional areas, home to approximately 17 percent of the population.
Faster 5G Rollout for Regional Communities
Optus said regional customers and communities will benefit from its plans to accelerate the roll-out of 5G in these areas, with the number of 5G sites expected to reach 1,500 by the end of 2028 and 2,444 by the end of 2030.
Also Read: TPG Telecom Migrates Data Services to Cloud-Native 5G Core Network
Benefits for Regional Australia
"Today's ACCC decision is a great outcome for regional Australia, with the roll-out of 5G infrastructure to be completed about two years earlier than previously planned," said Optus Interim CEO.
"This arrangement will allow Optus to fast-track the 5G infrastructure roll-out to more regional communities. It will also give Optus access to more spectrum, so regional customers can experience 5G's fast speeds, low latency, and increased capacity."
The non-exclusive MOCN agreement has an initial term of 11 years and includes an option for TPG Telecom to extend the agreement for an additional five years, the official release said.
