The Australian Competition and Consumer Commission (ACCC) has given the go-ahead for the proposed regional network and spectrum sharing agreements between Singapore Telecommunications Z74 ' (Singtel) Australian unit Optus and TPG Telecom.
Singtel shares gained as much as 1.6%, to $3.20, when trading started today, up from yesterday's close of $3.15.
Under the proposed regional Multi Operator Core Network (MOCN) arrangement, Optus will provide TPG Telecom with access to its regional radio access network and they will share spectrum in regional Australia.
Regional customers and communities will benefit from Optus’s plans to accelerate 5G roll-out in the regions, fast-tracking the number of 5G sites in those areas to 1,500 by the end of 2028 and 2,444 by the end of 2030.
Optus' interim CEO Michael Venter says the ACCC’s decision is a great outcome for regional Australia, with the rollout of 5G infrastructure to be completed by around two years, earlier than previously planned.
“By sharing our infrastructure and technology, Optus and TPG will be able to deliver even more choice and better services for regional customers,” he adds.
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The non-exclusive MOCN agreement has an initial term of 11 years and includes an option for TPG Telecom to extend the agreement for a further five years.
Subject to remaining regulatory approvals, the MOCN is expected to be available to TPG and Optus customers in early 2025.
