New Zealand, Auckland – Tuesday 26th September, 2006 - CallPlus, New Zealand’s largest 100% kiwi owned full service telecommunications company, has requested Telecom make available full speed broadband for New Zealanders for a number of years, culminating in it going to the Commerce Commission, along with ihug, for a decision. In June this year the Commission gave a determination in favour of CallPlus and ihug, forcing Telecom to make a full speed broadband product available in October at a price inclusive of GST of $31.55 ($28.04 exclusive of GST).

“Telecom has resisted for over a year against offering a full speed broadband plan and finally been forced by the Commerce Commission to do so, “said Martin Wylie, CEO of CallPlus and Slingshot. “It was a slap in the face when it became clear Telecom intended to use this as a means to apply a blatant price squeeze on its competitors.

CallPlus is faced with a situation whereby a consumer can buy a full speed plan for $29.95 direct from Telecom when it will have to pay Telecom $31.55 for a wholesale product.

According to Wylie, CallPlus will offer Slingshot customers a similar price because it is committed to ensuring they get the best deal. “The situation is absurd. It’s an absolutely blatant case of abuse of Telecoms dominant market power. We have gone to the Commerce Commission and we hope that something can be done quickly.”

Wylie concluded, “It is incredible that at a time when Telecom is trying to convince the government and the industry that they are serious about creating a competitive environment they abuse their market dominance. This makes a mockery of the Telecom’s wholesale charter. There have been no discussions or negotiations with us, as one of Telecom’s customers, and I can safely conclude that Theresa clearly does not get it!”