Telecom said Chorus planned to impose an “artificial cap” of 250 kilobits-per-second on the average throughput of its regulated copper broadband service in order to make new “premium” products it announced in May more attractive.
Telecom said the move would significantly degrade the performance of regulated copper broadband services, the price of which is set by the Commerce Commission.
It has laid a complaint against Chorus, saying the proposals breached the Telecommunications Act and were also a “breach of good faith”.
The commission said it would investigate the complaint and revealed CallPlus had also voiced concerns about Chorus’ changes.
This shows what a good idea it was to separate Telecom and Chorus. In the old days, this may have just happened without dissent. It is a good thing to have the interests of the largest competitive provider separate to the interests of the monopoly infrastructure provider.