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Telco complaints rise amid mobile service issues in Q1
A new report from the Telecommunications Industry Ombudsman has found an increase in people making compensation claims over the last quarter. The Complaints Data Report also found an increase in mobile complaints, but reported a decrease in service reliability issues from regional Australia. Between July to September, the TIO received a slight increase in complaints, to the tune of 1.1% or a total of 13,547 complaints compared to the previous quarter. The biggest increase out of the top 10 issues reported was in compensation claims, which were up more than 16% from the last quarter. Prolonged outages, confusing information and difficulties getting resolutions with their telco were key reasons that customers were seeking compensation, citing stress and inconvenience as a result. Another complaint category up this quarter was financial hardship, which increased 9.6% compared to the last quarter, and mobile service complaints climbed by 9% from the previous quarter to a total of 5,988 complaints. However, in regional Australia, services seemed to be on the up, as reliability issues were down considerably during this last quarter. Complaints about slow data speeds were down by over 25%, intermittent service or dro
Telcos
'Failure across the board' as telcos breach compliance
Financial hardship complaints to Australia's telecommunications ombudsman have surged 71.9% year-on-year, as four major telcos receive formal government warnings for breaching rules designed to protect struggling customers. Investigations by the Australian Communications and Media Authority (ACMA) found breaches of the Financial Hardship Standard by Optus Mobile, Origin Energy, Skymesh and Swoop Telecommunications. The enforcement action comes as 2.4 million Australian adults experienced financial difficulty or had concerns relating to their telco bill in the past 12 months, yet only 4,388 residential customers had financial hardship arrangements in place.Compliance failures across the boardUnder rules that came into effect in March last year, telcos must include certain information in written communications with customers. Bills, reminder notifications about overdue bills, and communications to identify if a customer is in financial hardship must include information about options for assistance and how to contact their telco for help. Each of the telcos was found to have failed to provide all the required information in at least one of these types of written communications with its customers. “Struggling to pay hou
Telcos
Verizon upgrades guidance after Q2 earnings lift
Verizon Communications has lifted its profit outlook for the 2025 financial year (FY25) after reporting an 8.9% earnings increase for the second quarter (Q2). The American telecommunications company said net income was US$5.12 billion (A$7.87 billion) in the three months ended 30 June 2025 compared with $4.70 billion in the previous corresponding period (pcp). Diluted earnings per share (EPS) rose 8.3% to $1.18 on operating revenue which grew 5.2% to $34.5 billion in Q2. In the half year ended 30 June, net income rose 7.2% to $10.10 billion and diluted EPS grew 7.2% to $2.34 on revenue which increased 3.4% to $67.99 billion. Cash flow from operations totalled $16.8 billion in the first-half, up from $16.6 billion in the pcp. "Verizon's strong second-quarter financial performance reflects our high-quality, industry-leading customer base, our multiple growth paths, the success of our disciplined, segmented approach, and the inherent strength of our company,” Chairman and CEO Hans Vestberg said in a press release.Source: VerizonVerizon introduced customer retention promotions as it faces intense competition from AT&T (NYSE: T), T-Mobile (NASDAQ: TMUS), Comcast (NASDAQ: CMCSA) and Charter (NASDAQ: CHTR). The company,
Telcos
FIRB waves through TPG Telecom asset sale to Vocus Group
TPG Telecom has cleared the final regulatory hurdle to completing the A$5.25 billion (US$3.41 billion) sale of its fixed line infrastructure to Vocus Group with the transaction receiving Australian Government approval. The telecommunications company said Vocus had informed it that the Foreign Investment Review Board (FIRB) had approved the purchase of TPG’s fibre network infrastructure assets and Enterprise, Government and Wholesale (EGW) fixed operations. The company said that the FIRB had advised Vocus that the Government had no objection to the transaction, marking the last regulatory approval needed to complete a deal that will deliver net cash proceeds to TPG of $4.650 billion to $4.750 billion. “Completion of the transaction remains subject to satisfaction of other remaining conditions precedent, including completion of an internal restructure,” TPG said in an ASX announcement. The transaction, which was announced last year, received approval from the Australian Competition and Consumer Commission (ACCC) earlier this year. TPG, whose brands include Vodafone, TPG, iiNet and AAPT, pitched it as an important part of a strategy to simplify its business and accelerate and increase the streamlining of its operating
Telcos
A positive earnings report boosts Vodafone shares
Vodafone Group Plc has unveiled its FY25 preliminary results, showcasing a 2.0% revenue increase to €37.4 billion (A$65.728 billion), despite foreign exchange headwinds. Service revenue climbed 2.8% to €30.8 billion, with organic growth hitting 5.1%. However, adjusted EBITDAaL dipped 0.8% to €10.9 billion, and a €4.5 billion impairment charge resulted in a €0.4 billion operating loss. Shareholders felt the pinch, with the basic loss per share from continuing operations at 15.86 euro cents, a sharp drop from 4.45 euro cents in FY24. Dividends were halved to 4.5 euro cents, reflecting Vodafone’s cautious financial stance.Credit: VodafoneThe telecom giant is restructuring its European footprint with the sale of Vodafone Spain and Italy. A merger with Three UK is on track for H1 2025, while digital services now contribute 10% to Group service revenue. Customer satisfaction is improving, particularly in the UK, and Vodafone expects broad-based momentum across Europe and Africa, with Germany poised for a turnaround. Earnings per share took a hit due to impairment losses and tax expenses, but adjusted basic earnings per share rose to 7.87 euro cents, up from 7.47 euro cents in FY24, thanks to lower financing costs.

Telcos
Crown Castle sells down fibre solutions ops for US$8.5bn
After assessing offers from financial and strategic buyers, pure-play tower company Crown Castle (NYSE: CCI) has agreed to sell all of its fibre segment to EQT Active Core Infrastructure Fund and Zayo Group Holdings Inc. for US$8.5 billion in total. Subject to certain conditions and regulatory approvals, the transaction is expected to close in the first half of 2026. Crown Castle expects to use the cash proceeds to repay existing debt and fund anticipated share repurchases. This is expected to position the company to maintain an investment grade credit rating while instituting a share repurchase program of around US$3.0 billion. The company expects the transaction to enhance value for shareholders and prepare the business for long-term success as a focused, pure-play U.S. tower company. Management believes its U.S. tower portfolio has some of the best geographical characteristics in the industry and expects the business to benefit from the multi-decade trend toward greater network densification. Following the close of today’s announced transactions, Crown Castle believes it will be able to grow its annualised dividend in-line with the growth in AFFO excluding the amortisation of prepaid rent per share
Telcos
TPG rallies after hitting FY24 earnings guidance
The market appears to have looked beyond TPG Telecom’s (ASX: TPG) $107 million annual loss - compared to a $49 net profit last year - with the share price of the country’s third largest telco up 4% at the open. Looking at the underlying commentary that followed today’s mixed result, the market was clearly encouraged by the expectation of ongoing service revenue growth and stable operating costs, helping to offset the financial impact of its regional network sharing deal and structural changes to a key enterprise IoT contract. Assuming there are no major shifts in operating conditions, TPG expects earnings of between $1.95 billion and $2.025 billion in FY 2025, while capital expenditure (excluding spectrum payments) is forecast to be around $900 million, down from $1,014 million in FY 2024. Management also anticipates a stronger operating free cash flow (OFCF) performance in FY25 due to reduced capital investment and improved working capital.Growth in customer numbersCommenting on today’s FY24 result, TPG’s CEO Iñaki Berroeta highlighted the group’s continued growth in mobile service revenue, which grew 5.4% due to rising average revenue per user. Berroeta told investors to expect growth in customer numbers now that the
Telcos
FAA tests Elon Musk's Starlink, plans to usurp Verizon
The United States' Federal Aviation Administration (FAA) has agreed to test SpaceX's Starlink internet tech to upgrade IT networks it uses to manage U.S. airspace. The move is seen as a precursor for Starlink to be rolled out across all FAA communications platforms. If that happens, it would usurp a US$2 billion contract awarded to Verizon in 2023. The FAA is already testing Starlink's use in Atlantic City, and at remote sites in Alaska and while no contract is yet awarded, Bloomberg reports that the agency plans to deploy the 4,000 Starlink dishes over the next 12-18 months.Credit: XMusk is not a fan of Verizon being tethered to implement its systems for the FAA. “The Verizon system is not working and so is putting air travelers at serious risk,” Musk posted on his social media site X earlier this week. The FAA’s various computer and communications systems are badly in need of an upgrade, determining that 51 of its 138 systems are unsustainable - 17 of which are “especially concerning”. That's backed up by through a December report by the Government Accountability Office entitled “Urgent FAA actions are needed to modernize aging systems". The announcement raises fresh concerns about conflicts of interest for CEO El
Telcos
Spark New Zealand struck down 18.8%; net profits tank
Spark New Zealand tumbled 18.8% on the ASX 200 during Friday's trade, down 18.9% on the NZX 50 after reporting a steep decline in net profit amid ongoing challenges in its enterprise and government divisions. Net profit after tax (NPAT) plunged 77.7% to $35 million, primarily due to lower EBITDAI (earnings before interest, tax, depreciation, ammortisation, and net interest income) and increased depreciation and amortisation costs. Excluding non-recurring operating model transformation costs of $29 million, adjusted EBITDAI fell 15.5% to $448 million, while adjusted NPAT declined 64.3% to $56 million. The company’s revenue fell 1.9% to $1.94 billion, impacted by declining IT services, mobile performance, and the continued erosion of legacy voice revenue. Growth in mobile devices, cloud, data centres, and IoT provided some offset. The decline was largely attributed to Spark’s Enterprise and Government division, which faced spending cuts, mobile fleet reductions, a shifting product mix, and intensified price competition. Spark Chair Justine Smyth acknowledged the difficult conditions, stating, “When we updated the market in October, we outlined that we were experiencing one of the longest and deepest recessionary perio