A legal dispute between Telstra and its reseller ispONE has intensified so much that the customers of Kogan Mobile and Aldi Mobile might see a shutdown in their services.
IspOne is the biggest and the only communication company that provides network to both the customers of Kogan mobile and Aldi mobile. All the customers of Kogan Mobile received an email from the company that they will soon shut down their services due to the legal dispute between Telstra reseller, ispONE and Telstra.
The email is as follows (via Herald Sun): “We have tried our best to win the endless negotiations for our Australian consumers; also we in order solve these negotiations visit a number of times to the Supreme Court so that our consumers can continue to get the best deals our company offers. However, there are some forces at play in the telecommunication market of Australia that are not in our control, and are very powerful and also are impossible to ignore.”
Kogan Mobiles procure its mobile services through one and the only approved distributor Telstra – ispONE. ispONE is the biggest and the only company in Australia that provides Telstra’s prepaid 3G services t wholesale rate and is essential to continue our operations. Telstra’s prepaid 3G services are unable to provide a wholesale platform without ispONE.
The email also stated that “if Telstra terminates its contract with ispONE this is very likely to impact Kogan Mobile’s own customers’ services (through no fault of Kogan Mobile) …”
ispONE filed an urgent application under the Federal Court in which they sued Telstra as it threatened ispONE to terminate the contract of supplying prepaid mobile services. There are about 280k consumers using prepaid mobile services, Internet services and fixed line services. Telstra is doing this as ispONE has failed to pay its invoices by the due date. However, according to ispONE they have paid all the dues and no amount is outstanding at present.
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