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Apple Apple Watch Series 8 GPS + Cellular 41mm Midnight Aluminium Case with Midnight Sport Band

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Apple Apple Watch SE GPS + Cellular 40mm Midnight Aluminium Case with Midnight Sport Band - Gen 2

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Apple Apple Watch SE GPS + Cellular 44mm Starlight Aluminium Case with Starlight Sport Band - Gen 2

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Apple Apple Watch Series 8 GPS + Cellular 41mm Starlight Aluminium Case with Starlight Sport Band

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Telstra2022: Key takeaways from Telstra's new strategy

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Telstra has announced its four-pillar strategy for the next three years, with CEO Andy Penn saying the telco has six goals: To improve customer experiences; simplify its products, business, and operating model; extend its "network superiority and 5G leadership"; achieve global high performance in employee engagement; achieve a net cost productivity of AU$2.5 billion by FY22; and attain a post-National Broadband Network (NBN) return on invested capital of 10 percent.

Here are the biggest takeaways from Telstra's three-and-a-half-hour strategy session on Wednesday morning.

Telstra InfraCo: The new wholesale infrastructure company

Telstra announced that it will be establishing an infrastructure business to report financially as a separate segment. According to Penn, it will create "optionality" for a demerger or entry of a strategic investor for post-NBN deployment.

"We are announcing today that we will be establishing a wholly owned standalone infrastructure business unit with its own CEO reporting to me," Penn said.

"The business will comprise Telstra's high-quality fixed network infrastructure assets, including datacentres, domestic fibre, international subsea cables, exchanges, poles, ducts, and pipes. It will provide access to these assets to Telstra through commercial arrangements to drive efficiency and transparency. It will comprise Telstra's commercial activities and existing Telstra wholesale business. It will also continue to provide services to NBN Co."

Speaking on Telstra InfraCo, group executive of Telstra Wholesale Will Irving said it will also include the management of more than 5,000 exchanges and datacentres, along with the access equipment and hybrid fibre-coaxial (HFC) network.

There will be three segments of InfraCo: Telstra wholesale, NBN Co, and Internal Telstra.

Penn said InfraCo will have an initial workforce of around 3,000 employees, with assets worth AU$11 billion; annual revenue of AU$5.5 billion, including from Telstra wholesale customers, Telstra internal access, commercial works for NBN, and recurring proceeds from NBN; and earnings before interest, tax, depreciation, and amortisation (EBITDA) of AU$3 billion.

"The business will not include the mobile network assets including spectrum, radio access equipment, towers, and some elements of fibre backhaul, because these will remain integrated to Telstra's core customer-focused segments to enable us to effectively manage our strategic differentiation in the market," Penn added.

"This will also be very critical in our strategy for 5G, where we intend to lead. The initial steps for the establishment of this business have already been undertaken ... will be in operation by the end of June 2019."

InfraCo will begin financially reporting in February next year as part of the telco's first-half FY19 results.

9,500 job losses + 1,500 new roles = 8,000 net job cuts

Announced on Monday morning, the 8,000 net jobs being cut will include 25 percent of executive and middle management roles being removed.

According to Penn, the jobs are being removed due to the need for more simplified and digitised processes.

"Telstra's strategy is premised on benefits to customers of market-leading, simplified, and digitised products and services for all Australians. This in turn will facilitate a significant simplification in the business, and therefore further cost reductions. This simplification is crucial to Telstra's competitiveness, and we expect it to lead to a 30 percent reduction in our labour costs," Penn said.

"It will have an impact on jobs with Telstra, and whilst we do expect to create up to 1,500 new roles within the company, overall we expect a net reduction of 8,000 jobs over the next three years, including Telstra employees and contractors.

"I'm acutely conscious of the impact that the jobs reduction has on our people, and on the broader society. I'm also acutely conscious of the uncertainty that this announcement creates for our people, but I need to be upfront and I need to be transparent about the scale of change that is needed at Telstra."

According to group executive of Human Resources Alex Badenoch, the 1,500 roles being created will largely be across software engineering and cybersecurity.

To deal with the restructure, the telco will be investing AU$50 million on two programs: The first to provide "enhanced outplacement support" for those leaving; and the second for a reskilling program for those employees moving into new roles.

The job cuts are also part of the third pillar of Telstra's strategy, which is an effort to implement "new ways of working that embed agile , DevOps, lean, and customer-centred design".

Australia's politicians weighed in on the job losses, with Prime Minister Malcolm Turnbull calling the news "heartbreaking".

"I've spoken with the chief executive about this last night. Telstra is putting in place a fund, as you know, to support the transition of the employees that leave Telstra onto new occupations and new opportunities," Turnbull said.

"But it's a reminder of why it's so important to have a strong economy. A strong economy where new jobs are being created all the time so that while one company reduces its workforce there are other businesses, new businesses and including in that telco sector which is a very dynamic one, that are creating new opportunities."

A joint statement from Shadow Communications Minister Michelle Rowland, Shadow Minister for Employment and Workplace Relations Brendan O'Connor, and Shadow Minister for Employment Services and Workforce Participation Ed Husic made a noble effort to blame the Coalition for Telstra's job cuts.

"Labor is concerned that we are seeing yet another example, under Turnbull's government, of thousands of Australians losing secure, decent jobs, without a plan to transition into new jobs," the shadow ministers said.

"The Turnbull government must actively be involved to ensure that affected workers get the intensive and tailored support they need to transition to new employment and, where required, provide training and case management services. It's simply not good enough to sit back and leave it to Telstra."

Opposition leader Bill Shorten added that Labor will "make sure that Telstra pays people's entitlements".

Telstra Global Business Services

Large-scale back-of-house processes and functions will all be combined into Telstra Global Business Services, the telco also announced, which will launch on July 1 with 2,500 employees initially.

"Global Business Services will bring together our shared services functions, as well as other, high-volume repeatable activities to ensure that we take a one-company approach to simplifying, automating, and innovating in these areas," Badenoch said.

"The group will be a point of consolidation for all large-scale back-of-house and operational process and functions using the technology to reduce costs.

"As we incorporate more functions and activities into this model, it will grow over the next two years. Our Global Business Services team will provide services to all Telstra business units and Telstra InfraCo."

Telstra's 5G rollout

Penn told ZDNet that Telstra would deploy its 5G network fast and extensively, adding that there will be a three-phase process to the rollout.

"Phase 1 is the period that we're in right now, which is characterised by pre-5G technical standards and early launch. Mainstream compatible 5G devices are unlikely to be available until late 2019 and into 2020; in the meantime, however, there will be early use cases for 5G, the most significant of which will be fixed-wireless," Penn said.

"Phase 2 of the 5G rollout will address the mainstream market as handsets become available. 5G is critically important, as it will enable us to drive down the cost per gigabyte of data, and this technology innovation improves speeds and capacity. In this regard, therefore, we will roll out 5G fast and extensively as it becomes available.

"Phase 3 of 5G will comprise the longer-term opportunities for growth, many of which have not even been identified yet. We have already laid substantial foundations in the Internet of Things and connected solutions, which are the early use cases that we've already deployed on 3G and 4G. These are the precursor for the long-term growth opportunities."

Telstra has already launched 5G , he added to ZDNet, in the form of its Gold Coast deployment earlier this year including the 5G-enabled Wi-Fi offering. Otherwise, the telco is just waiting for 3GPP to settle on standards.

"Once the standards are actually set, then all of the various different players of the global ecosystem, so the equipment manufacturers, radio access equipment, chipset manufacturers, they can all then sort of start to build compatible cases," Penn told ZDNet.

"We're basically the first and only 5G-enabled Wi-Fi network in the world four or five months ago ... the main game will obviously be when the standards are set, when the equipment manufacturers are building network core equipment at scale, and we're very much front and centre of that."

According to Penn, Telstra's big partnerships for mobile networking have traditionally been with Ericsson and Cisco, but he said the telco has "enormous respect" for Huawei and will monitor the federal government's decision on whether to allow the Chinese tech giant to take part in 5G rollouts across the nation.

COO Robyn Denholm added that Telstra will have a 5G-ready network in the first half of FY19, and a commercial launch across major cities and regional centres in FY20.

Simplifying products

Under Pillar 1 of Telstra2022, the telco said it would "radically simplify" its products, reduce "customer pain points", and move to a fully digital set of solutions, to which it will migrate all customers.

Discussing Pillar 1 from a consumer and SMB perspective, group executive of Consumer and Small Business Vicki Brady said there will be "far fewer" plans, moving from more than 1,800 currently down to less than 20.

In addition, the telco will expand its range of included services, such as "the best digital entertainment", with Brady mentioning sport and Foxtel.

Across SMBs, business-grade solutions will be offered, including productivity and security services, with more "companion plans" to incentivise customers to have all of their telco services with Telstra.

The roadmap will include five key products and experiences by mid-2019, Brady said, adding that she could not be more specific yet.

"Today, I am very pleased to announce four significant changes that we will bring to our customers in July," Brady said.

"The first is peace-of-mind data across a wide range of our post-paid plans, taking away the fear of excess data charges. Second is our first companion plans, providing really simple and compelling reasons for our customers to add more services with us.

"And then finally there are two components of our 'effortless digital experience' that our customers will enjoy in July. The first of these is a really effortless express checkout, particularly for our new range of companion plans. And finally, the redesigned experience for our 24/7 app."

Discussing Pillar 1 from an enterprise perspective, group executive of Telstra Enterprise Brendon Riley said Telstra has already commenced the process by curating and acquiring IP for a "new digital stack and technology base".

Riley additionally announced the "connected workplace", which will become available before Christmas this year, aimed at mid-market customers rather than large enterprises.

"So we're delighted to announce today connected workplace," Riley said. "We have connected workplace in minimum viable product, we will announce connected workplace in the months ahead and as Andy mentioned, this will have general availability before Christmas this year."

"It is the ability to provide fixed, voice, UC, messaging, with add-ons for mobile and applications ... it will be all-digital, it will be ordered in minutes, provisioned in minutes to hours, and everything will be built electronically, with the ability for the customer to flex up and down in volume in real time."

According to Telstra's fourth pillar, it will now be able to absorb the costs of migrating customers to the NBN.

"The first three pillars of the strategy will enable us to increase our target for productivity by a further AU$1 billion to AU$2.5 billion in core non-DVC [Directly Variable Costs] cost reduction by 2022," Penn said.

"This equates to a reduction of almost 50 percent in fixed costs after you take into account the impacts of inflation and growth. Through this work, we also expect total costs to remain flat or declining, and critically what this means is that we will absorb the full weight of the NBN DVC AVC charges that we incur in the migration to the NBN."

How Telstra will deal with TPG as a mobile player

Telstra also addressed how it will handle TPG entering the Australian mobile market as the fourth provider later this year, pointing towards its low-end Belong brand .

"We had anticipated that TPG will be attractive down in the more price sensitive end of the market, as we talked about last investor update, we took Belong into the mobile sector and it's continued to perform well for us," Brady said.

"Looking at how Belong is performing, it's doing the job it needs to do for us for those customers, and keeping the Telstra brand at the premium end of the market is working."

Penn added that he takes all competitors seriously.

"TPG and David [Teoh, CEO] and his team have built a phenomenal business over the last 20 years and should never be underestimated," Penn said.

"We've got a very clear strategy in terms of how we'll respond ... we're very well positioned in investments we've been making, particularly some of the changes we're making now."

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Telstra business NBN plans review

Telstra NBN business plans come at a premium price but include some great features and a full suite of support options.

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​Anyone familiar with Telstra plans—business or residential, mobile or internet—likely knows that they tend to attract a premium monthly price. Telstra business NBN is no exception to this rule with the most expensive comparable plans in our database. Still, that extra monthly cost comes with great perks, including a static IP address and a modem-router with 4G backup . It’ll take a couple of years of connection to avoid the modem-router repayment fee, though, and some of the other features cost extra, too.

Opt for a Telstra business NBN plan if you don’t mind paying more for perks and a wide range of support options, but there are better value alternatives out there if your main concern is price and speed.

Telstra business NBN plans value for money

​ Telstra has made a name for itself by offering speedy residential NBN plans with unlimited data , albeit at a premium price, and that trend is no different for the provider’s NBN business plans. Interestingly, the cheapest Telstra business internet plan isn’t an NBN offering; instead, it’s a rare ADSL2+ plan.

Graphic of a woman comparing NBN plans

Whether you want more speed, better customer service, or just a better deal on your home internet , you can find everything you need to know about NBN plans by following the link below. 

In terms of our database, the Telstra Unlimited Business Internet plan was the only business ADSL2+ offering at the time of writing, and one of only two in our comparison engine across business and residential plans.

For not a whole lot more per month, you can get the Telstra Business NBN Unlimited Data plan, though, which is typically priced at $110 per month and comes with 50Mbps typical download speeds during business hours.

While those download speeds are great, the pricing is less desirable and beaten by every other business NBN provider in our database for typical monthly pricing. The only proviso there is that Aussie Broadband offers ever-so-slightly slower download speeds (49Mbps), while iiNet and TPG offer some data-capped plans (although they also have cheaper unlimited offerings, too). You’re better off looking at the Optus Internet Everyday – NBN plan, the iiNet Business NBN 50 Value plan or the TPG NBN 50 L Business Bundle if you’re after a cheaper plan with the same speeds and similar inclusions.

For comparison, below is a daily updating list of popular business NBN 50 plans with unlimited data from our comparison engine.

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Want to know which NBN providers scored top marks in our analysis? Follow the link below to find the best providers for value, speed and support in Australia. 

The only other business NBN alternative Telstra currently offers is the Business NBN Unlimited Data + Premium Speed plan, which typically costs $140 per month for 100Mbps typical business-hours speeds.

It’s an identical story for Telstra’s business NBN 100 plan as it is for its NBN 50 plan above: you’ll have to scroll to the bottom of our comparison engine to find this plan with typical monthly pricing. Optus and Exetel offer the same 100Mbps business-hours download speeds for a noticeably cheaper monthly fee, with Aussie Broadband also cheaper and just behind at 99Mbps. Taking the full package into account, we’d advise going with the Optus Internet Everyday Fast – NBN plan over Telstra’s NBN 100 alternative.

For comparison, check out the daily list of popular business 100 plans below from our comparison engine (all of which have unlimited data).

Telstra business NBN features and perks

If you’re a business that’s purely concerned with dollars-to-data value, there are more cost-effective alternatives to a Telstra business NBN plan. That said, if you fancy a business NBN plan with some great inclusions, Telstra puts big ticks in the core boxes on the perks front. All of Telstra’s business internet plans come with included phone line rental as well as local and national calls but, strangely, you have to pay extra for the actual landline phone.

As is the trend with business NBN plans, all of Telstra’s business NBN plans come with a static IP address, which makes it easier to configure remote access, more reliable communication, server hosting and virtual private network (VPN) connections .

Additionally, Telstra also bundles a preconfigured, self-installed Telstra Business Smart Modem with 4G mobile backup. While this modem-router has a $0 upfront cost, you’ll have to pay a $216 fee if you cancel after the first month. This device fee diminishes the longer you stay connected. Stick around for 24 months, and you don’t have to pay anything extra for the Telstra Business Smart Modem.

One of the other things we like about the Telstra business NBN plans is transparency around speeds. This starts with expected download and upload speeds (the latter is rare), but you’ll also be offered maximum speed estimates based on the NBN technology servicing your business address, too.

Telstra business NBN customer support

After you’ve first signed up, Telstra also offers a dedicated connection manager to assist with any questions or issues while you get connected. Once you’re up and running, there are self-guided support steps on the Telstra website for troubleshooting issues. There’s also a 30-day money-back guarantee.

Telstra offers a full range of support options, so you can pick your preference. Get in touch digitally via Twitter, Facebook or online chat service. Alternatively, visit a Telstra store for in-person support (you can also book an appointment) or call 132 000 for phone support 9:00am to 7:00pm AEST Monday to Friday.

If you have connection issues, you can contact Telstra for basic tech support or pay extra for Telstra Business Tech Services. Telstra describes this optional support service as a tailored concierge experience, and while it includes 24/7 support for Telstra and non-Telstra tech, it does cost an additional $60 per month.

How to sign up for Telstra business NBN plans

Click ‘Go’ next to the Telstra business NBN plan you like the look of below to be taken to the Telstra website. Enter your address to confirm eligibility and check out the maximum speeds available to your business address. Click ‘Buy now’ on the plan to confirm your selection, then follow the sign-up steps.

Telstra business NBN plans

Below is a list of Telstra’s business NBN plans.

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Bob Iger reveals Disney's new plan for Marvel: quality over quantity

  • Disney CEO Bob Iger plans to cut back on the number of Marvel films and TV shows released each year.
  • The decision comes after a number of Marvel films underperformed at the box office.
  • The only MCU film that will be released this year is " Deadpool & Wolverine."

Insider Today

Disney CEO Bob Iger's turn-around tour continues, and he let us in on the plan for what is arguably the House of Mouse's most successful IP: Marvel.

In Disney's first earnings call since successfully fending off a proxy battle from Nelson Peltz and its former Marvel Entertainment chairman Ike Perlmutter, Iger spoke about the future of the Marvel Cinematic Universe. The studio is now looking to release about two or three Marvel films and two Marvel television series a year rather than around four of each.

"I've been working hard with the studio to reduce output and focus more on quality," Iger said on the call.

Related stories

As it undergoes a sort of reset, the only MCU movie that's slated for release this year is "Deadpool & Wolverine" in July. "Echo," "X-Men '97," and "Agatha" will be this year's television releases. The next Avengers film, "Avengers 5," is scheduled for 2026.

The CEO has not been shy about his thoughts on the diminishing quality of Marvel films and television shows — something he has blamed mostly on his short-lived successor, Bob Chapek, even though Iger was in charge when several recent projects were developed.

"Some of what is coming up is a vestige of basically a desire in the past to increase volume," he said on the call.

Between 2021 and 2023, Marvel released 10 feature films and 13 TV series, including two specials, which appears to have left superhero fans fatigued .

MCU movies , which were once fail-safe productions, have struggled recently. Last year's "Ant-Man and the Wasp: Quantumania" grossed less than $500 million globally on a combined production and marketing budget of over $300 million — meaning it failed to break even at the box office. ( Typically, a movie must make back double its budget for the studio to reap a profit.) "The Marvels" fared even worse, grossing only $206 million worldwide on a budget exceeding $270 million. Both films received poor reviews .

"I'm mindful of the fact that our performance, from a quality perspective, wasn't up to the standards we set for ourselves," Iger said on an earnings call last year.

Disney's stock is down about 10% today.

Watch: What 12 movies from 2022 looked like behind the scenes

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Telstra one number and Apple Watch family set up

My mother in law, who is disabled, recently got an Apple Watch SE for the purpose of being able to answer and make calls when she is away from her mobile and also for voice activation incase she has a fall.

She doesn’t have a smart phone and has no photo ID so I have set up another post paid service on my Telstra account for her and plan to manage the Watch through my iPhone 12. At the time of doing this I was told in the Telstra shop that I would be able to set up the Apple Watch through family set up and assign her new phone number to the watch.

I have tried so many times to make this work and went into a different Telstra shop today for assistance and was told that it won’t work with family set up.

Does anyone know how I can assign Telstra one number to this phone number so I can use it with the Apple Watch?

thanks in advance.

Posted on Jul 3, 2022 10:43 PM

Posted on Jul 17, 2022 6:39 PM

Thanks for the replay.

unfortunately my set up doesn’t seem to follow the same process. It doesn’t bring up step 6 “Ask to buy”. It’s just not an option for me.

After it pairs and signs into the family members Apple ID it asks if I want to do location share and then the attached photo is what comes next.

telstra watch business plan

Similar questions

  • set up for an elder family member isn’t discussed in this article. I want to set up the Apple Watch SE for my 96 yr old mother. Fall detection, calling for help, and being able to use the watch to call me if needed is important! I want the watch to replace her Life Alert (that only works when she’s home), and possibly her flip phone that she can’t remember how to use anymore. I’ve been on the phone with Apple and Verizon tech support for 3 days (6 hours total) and still get an error message when I try to set up cellular (see pics). Waiting for a call back from someone else now (24-48 hrs). 246 1
  • Apple Watch I want to purchase an Apple Watch for my granddaughter. Her parents and I feel she is too young for an iPhone) but I would like her to be able to contact her parents or family when she needs to. I know there is a device called the Gizmo that allows a limited number of preset numbers, however since she will start middle school next year, I have been advised by other parents that the Gizmo is considered "uncool" in MS and she prob won't wear it. I was told that there is an Apple Watch that works independent of a cell phone. If I understand right, it comes with its on number and does not need a phone to pair with Is this true and if so, what watch series is this? 325 4
  • can I port a number to a family member's cell-enabled watch paired using family setup to my iphone? I'm considering getting a cell enabled Apple Watch for my dad, which would be linked with Family Setup to my iPhone (I also have a non-cell enabled series 4 Apple Watch). Wondering if it would work for a watch, say a series 4 or newer, to be his primary call device (vs. an actual phone, which he runs into trouble setting up, managing, adjusting ring volume, etc) since that's basically all he wants from a phone anyway, possibly with the exception of some fitness tracking and an occasional map. Wish it could be linked to his iPad, which he DOES use successfully, but until that's possible, considering the potential pitfalls with linking to my iPhone,. We live across the country from each other, so I won't be around for everyday troubleshooting. 660 3

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Jul 17, 2022 6:39 PM in response to Community User

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Set up an Apple Watch for a family member

Federal judge temporarily halts Biden plan to lower credit card late fees to $8

Several VISA and MASTER credit cards in Buffalo Grove, Ill., on Feb. 8.

LOS ANGELES (AP) — A federal judge in Texas temporarily halted a plan by the Biden administration to lower late fees on credit cards to $8 that was slated to go into effect next week.

The temporary nationwide injunction imposed by Judge Mark Pittman in the Northern District of Texas is a win for the big banks and major credit card companies, which collect billions in revenue each year in late fees and were looking to stop the proposal from going into effect. It is also a win for the U.S. Chamber of Commerce, which led the lawsuit on behalf of the banks.

The new regulations that were proposed by Consumer Financial Protection Bureau would have set a ceiling of $8 for most credit card late fees or require banks to show why they should charge more than $8 for such a fee.

The rule would bring the average credit card late fee down from $32. The bureau estimates banks bring in roughly $14 billion in credit card late fees a year.

White House spokesperson Jeremy Edwards said in a statement Friday night, “We are disappointed that a court sided with House Republicans, big banks and special interests to hit pause on a critical measure to save American families billions in junk fees.”

Banks had sued to stop the lawsuit earlier this year, but they had run into a roadblock when Pittman ordered the case moved to Washington, D.C., because of the fact that few banks operate in northern Texas. However, an appeals court reversed most of Pittman’s decision and ordered him to rule on the bank’s request for an injunction.

While Pittman did impose the injunction, he used a significant portion of his order to chastise the Fifth Circuit Court of Appeals for sending this case back to him after he had already ruled that the case should be handled out of Washington. Critics of the lawsuit have called the case the latest example of judicial “forum shopping,” where a company files a lawsuit in a friendly district in order to have a greater likelihood of getting a favorable ruling.

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As part of his reelection campaign, President Biden has tried to highlight his administration’s push to clamp down on what he calls “junk fees,” which are bank-related fees like late fees, ATM fees and overdraft fees.

“Every month that the credit card late fee rule is blocked will cost Americans over $800 million,” the White House said Friday.

Banks have seen the campaign as a political battle against their business model, while consumer advocates have seen these bank fees as excessive based on the amount of risk that banks and credit card companies are taking on.

“In their latest in a stack of lawsuits designed to pad record corporate profits at the expense of everyone else, the U.S. Chamber got its way for now -- ensuring families get price-gouged a little longer with credit card late fees as high as $41,” said Liz Zelnick with Accountable.US.

Consumers furious over telco price hikes that are set to continue due to inflation and rising operating costs

A woman who holds a stack of papers in an office.

When Suzie Ray received an email notification from her telecommunication provider about a recent price increase, she was furious.

"I was floored. I couldn't believe it. I was angry," the Vodafone customer told The Business.

"You told me the total price right at the beginning and I committed to that total price.

"I've kept up my end of the bargain and you need to keep up yours."

A stack of phone bills

In 2021, Mrs Ray signed up for a device and mobile service plan for 36 months with Vodafone.

She is currently paying $61.47 a month for her phone bills, including a $21.08 monthly fee for the mobile device.

In March last year, she was notified of an increase of $5 a month with additional data allowance which she rejected.

About the same time this year, she was notified of another price increase of $4 a month with additional data allowance. She rejected it again.

"Each time it was about one hour on the phone, and each time it took so much emotional energy just to refuse to be pushed aside, to say 'no, I do want to speak to a manager'," Mrs Ray recalled.

"Having to just keep arguing my case, it was really exhausting.

"If I hadn't protested, if I hadn't dug my heels in, I'd now be paying $9 a month more than what I agreed to when I signed up.

"It's too much … people don't have $4 or $5 a month to spare … if [telecommunication] is an essential service, it needs to be affordable."

Can a telco increase prices mid-contract?

Vodafone's recent price hike means customers could be forced to pay up to $48 more a year for their mobile phone plan.

A woman looking down on a stack of phone bills

But questions were raised by Vodafone customers, such as Mrs Ray, about whether a telco can increase phone bills in the middle of a fixed-term contract.

Gareth Downing from the Australian Communications Consumer Action Network (ACCAN) said it comes down to the terms and conditions of that contract.

"What we've seen in the past is where there have been price increases that are unilateral, but individuals haven't had the opportunity to exit that contract that has been found to be an unfair contracting term," the acting CEO told The Business.

"A lot of the contracts that are in the market are now month-to-month rolling contracts … as a consequence of that, they often do allow for these unilateral price increases, if adequate notice is given.

"While there are certainly cost pressures in industry, any price increase is really unwelcome from a consumer perspective."

Mr Downing advised that if a consumer has a complaint or dispute with their provider, they should talk to that company directly first.

If not resolved, they should go to the Telecommunications Industry Ombudsman , which is the external dispute resolution body for the telco sector.

A man sits on a couch in a meeting room.

Extremely weak retail sales in March indicate households are still under pressure and continue to cut back on spending.

It is not uncommon to have provisions in a rolling contract around price changes, but it's less common in fixed-term contracts.

Vodafone clarified Mrs Ray's overall payment plan consists of "two separate charges".

"One is a fixed-term to cover the mobile handset repayments over a set period, and the other is for their postpaid mobile plan," a spokesperson told The Business.

"The postpaid mobile plan is month-to-month, which gives customers flexibility to change if they feel it doesn't fit their needs.

"If a customer cancels their plan or switches to another provider, they are required to pay out the remaining balance of their mobile handset on their next bill."

Vodafone argued that the recent changes in pricing were made "in response to the continuing high costs of doing business and to support ongoing investments in our networks, technology and security".

More price hikes on the way

Australia's biggest telcos, Telstra, Optus and TPG Telecom (Vodafone), have already hiked their prices substantially over the past two years.

In May 2023, Telstra announced an approximate 7 per cent increase in its prices that was to align with inflation during the period, according to an annual communications market report from the consumer watchdog ACCC.

The report said Optus increased its postpaid prices between 5 and 9 per cent in August 2022. It also increased the price of its postpaid mobile plans for existing customers by shifting them off legacy plans in June 2023.

Vodafone increased its postpaid prices by between 6 and 13 per cent in January 2023 for new customers and in April 2023 for existing customers.

Vodafone's $4 a month price change this year, which analysts said can be translated into about a 9 per cent increase for postpaid customers, is much higher than the Consumer Price Index (3.6 per cent for the year to March).

A woman looking at her laptop in a room.

Telecoms analyst Lucy Huang from UBS said although Vodafone's price hikes were more aggressive than its peers, it started off at a lower base.

"Vodafone hadn't raised prices for the last 10 years," Ms Huang told The Business.

"And a lot of our proprietary surveys have shown that over the last year or two that consumer perceptions of Vodafone network had been improving in terms of network resilience, quality and coverage.

"So, for now, that is helping them justify these higher-than-CPI-linked price increases. But moving forward, our base case is that they also start to move in line with CPI."

Ms Huang said there are more price hikes on the horizon in the coming year as big telcos try to recoup some of the money invested in 5G infrastructure.

"If you look at the amount of investment that the telcos — particularly Telstra, Optus and Vodafone — have invested in 5G networks over the last few years, they haven't been able to raise prices for quite some time and industry returns have really halved over the last 10 years," she said.

"At this point in time, we do think that a few more price increases over the next couple of years will be sustainable.

"But the telco industry needs to go through this period because, if you look globally, Australian mobile pricing is actually pretty low from a gigabyte perspective."

UBS expects Telstra to announce a price increase of around 3 per cent in postpaid plans over the coming weeks, which is likely to impact 65 per cent of its customers.

Telstra told The Business that "no final decisions on future price changes have been made at this stage".

Optus said it is moving prepaid customers on Optus Flex and Optus Flex 5G plans to its latest Flex Plus plans, meaning some customers may see a price increase.

A shift to cheaper mobile resellers

Major telcos say they offer a range of payment assistance options to support customers who struggle to pay their phone bills.

And additional data allowances are usually offered along with price increases. 

But Mr Downing said that extra data is often not used by consumers.

"Consumers are not necessarily matching the product in the plan neatly to what they actually need. And so often, they're paying more for data that they're not actually using," he said.

"They can make considerable savings by moving to other plans."

Both Mr Downing and Ms Huang have observed an emerging trend that some consumers are shifting away from big telcos to cheaper small resellers, or mobile virtual network operators (MNVOs), which don't own network infrastructure but resell access to major telcos networks.

According to UBS, small resellers, such as Amaysim and Boost, currently account for around 13 per cent market share, gaining 2 per cent from two years ago.

"This is something that we are watching quite carefully, particularly through this cost of living crisis," Ms Huang said.

"So far [major] telcos are managing that risk and balance quite well. 

"We remain fairly comfortable that this isn't going to be too disruptive in the medium to longer term."

Mrs Ray said once her contract ended, she would switch to one of the small resellers to save money.

Watch the story on The Business tonight at 8:45pm AEST on ABC News Channel, or stream on  ABC iview .

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Samsung Galaxy Watch4

Getting started, basic functions, calls & contacts, messaging & email, data & wireless, set up mobile data on your smartwatch.

You can set up mobile data on your smartwatch allowing you to make and receive calls and use apps without being connected to your phone.

Slide your finger upwards starting from the bottom of the screen.

  • Slide your finger upwards starting from the bottom of the screen.
  • Press the settings icon .
  • Press Connections .
  • Press Mobile networks .
  • Press the confirm icon .
  • Press the required setting for mobile data usage.
  • Press Mobile plans .
  • On your phone: Press Next and follow the instructions on the screen to set up mobile data.

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