Vodafone tries to block Telecom NZ launch


Vodafone New Zealand has gone to court to block Telecom NZ from launching its new HSPA mobile network.

Telecom's XT network, which is scheduled to go live on May 13, is causing widespread interference to Vodafone's 3G services, Vodafone has claimed in court.

Voadafone said it had filed the case after seeing a substantial increase in the number of consumer complaints about network quality.

But Telecom CEO Paul Reynolds called  the legal challenge an “sign of desperation” on Vodafone's behalf, and questioned the timing of the move.

“This is a piece of aggressive behavior that betrays Vodafone’s insecurities about competition from Telecom’s new XT mobile network, just 13 days away from launch,” he said.

Telecom will “vigorously resist” the request for an injunction, Reynolds said. He said New Zealand's Ministry for Economic Development had recently concluded an investigation into interference issues, finding that Telecom met the emission limits spelled out in its telecom license.

Vodafone's interference issues were instead problems of their own making, he said. “They are now reaping the cost of... poor technical decisions, and attempting to lay them at the feet of Telecom.”

Meanwhile, Telstra has gone to court to block the merger between Vodafone Australia and Hutchison, smh.com.au has reported.

Telstra paid A$450 million ($329 million) for half of Hutchison’s 3G network in 2005 in a 12-year agreement.