Vodafone moves into fixed broadband

Mobile phone operator Vodafone will expand its services to include fixed broadband, saying it's time to jump on board the NBN as the network gains momentum.

A Vodafone store is seen in Sydney

Mobile phone operator Vodafone will expand its services to include fixed broadband. (AAP)

Australia's third largest mobile phone operator Vodafone will expand its business to include fixed broadband, saying the time is right to jump on the national broadband network.

The company plans to launch fixed broadband before the end of 2017.

Chief executive Inaki Berroeta told a Sydney telecommunications sector conference on Wednesday that the NBN rollout was gaining momentum.

He said there was strong consumer demand for continuous connectivity with four million Australian homes expected to be NBN-ready by the end of next year.

"The project is reaching a scale where it provides the platform to deliver a service that complements our mobile network," he said.

"The time is right for Vodafone to expand our consumer and enterprise offerings to include fixed broadband."

He said increasingly, customers were using smartphones interchangeably across mobile and fixed broadband.

"They expect connectivity whenever they want it, where ever they are so they can stream music, video, send messages, make purchases or grow their business," he said.

Mr Berroeta's announcement ends recent speculation that Vodafone was preparing to make a move into the fixed market.

The move is expected to help Vodafone retain and attract customers through home and office broadband packages on top of its mobile service.

"The NBN will allow us to complement our mobile network by seamlessly connecting our customers at home, work and in between," Mr Berroeta said.

He declined to give more details about precisely when and how the company will move into fixed broadband.

Vodafone's 4G mobile network had a 4.5 per cent rise in customer numbers to 5.5 million for the six months to June 30 compared to a year earlier.

Major telcos Telstra, Optus, TPG and Vocus already provide fixed broadband.

Government-owned NBN Co has said it is on track to connect eight million premises by 2020, up from about three million in 2016.

Mr Berroeta said Vodafone drove the mobile market's shift towards unlimited calls and texts, flat $10 per gigabyte data coverage and affordable international roaming.

He said it now wants to bring a similar approach to fixed broadband.


Share
Published 21 October 2016 1:06pm
Source: AAP


Share this with family and friends


Get SBS News daily and direct to your Inbox

Sign up now for the latest news from Australia and around the world direct to your inbox.

By subscribing, you agree to SBS’s terms of service and privacy policy including receiving email updates from SBS.

Download our apps
SBS News
SBS Audio
SBS On Demand

Listen to our podcasts
An overview of the day's top stories from SBS News
Interviews and feature reports from SBS News
Your daily ten minute finance and business news wrap with SBS Finance Editor Ricardo Gonçalves.
A daily five minute news wrap for English learners and people with disability
Get the latest with our News podcasts on your favourite podcast apps.

Watch on SBS
SBS World News

SBS World News

Take a global view with Australia's most comprehensive world news service
Watch the latest news videos from Australia and across the world