Issues of Optus in Australia

Issues of Optus: (doing issues identification . So find the issues faced by optus in Australia)

Leverage of advance technologies and growing demand for fastest means of communications has made the telecom industry one of the highly competitive industry across the globe. Telecom companies are continuously adopting varied strategies taking aid of modern technologies to expand their operations in urge of gaining maximum market shares. Optus Telecommunication, operating in Australia is also such company which, since its establishment in 2001 is constantly striving to improve and expand its operations throughout Australia. 

Though, Optus is the second largest telecom company in Australia, having 4G network coverage of 94% and 3G network coverage of 98.5% of the Australian population (Wood et al, 2020), its operations are still not seamless and are constantly countering with varied difficulties. Optus is the subsidiary of Singapore Telecommunication (SingTel), as one of the leading telecom company is being owned by a foreign company it is a major concern for the Australian government, owing to the security of country’s sensitive information and data. Another difficulty Optus is facing is the difference of company’s and host countries culture, being a subsidiary of Singaporean company and its main operations still controlled by SingTel, Optus culture reflects Singapore’s culture. 

Moreover, Telstra the main rival of Optus, being a local and the oldest telecom company, have more coverage than Optus, particularly in most of the remote areas Optus have no coverage. This is another significant hurdle in expansion of Optus’s business. Also, Optus having its call centers in India and individual employees trained for specific areas, the company is loaded with heaps of complaints regarding long waiting time and unavailability of concerned experts to deal with the customer’s issues.

As stated by Moutinho (2016) that SingTel still faces a hard battle against Australian incumbent Telstra Corp., even after its $7.2 billion acquisition of the country’s second largest telco from Cable & Wireless plc. The most prominent challenge of OPTUS is the growing competition among the telecommunication sector and the parent company SingTel’s influence over the company’s policies and strategies. The strategies Optus had been implementing have not been productive in the long run, somehow its policies and techniques adopted to maximize its operations superseding its main rival Telstra has affected its brand reputation and customers loyalty. Moreover, it has also raised concerns of the Australian government.