TPM 0.00% $8.93 tpg telecom limited

I think you have it backwards a bit there whartanto, my...

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    I think you have it backwards a bit there whartanto, my understanding is that TPG's margin are being squeezed because they have higher margins than others. The NBN levels the playing field, so it takes away an advantage TPG had, that others dont have, the others arent hurt because its trying to take away an advantage they dont have.

    So for example Vocus doesnt have the problem of margin squeeze, but only because the margin on their old copper connections isnt that much better than what the NBN margin is. TPM's margin was much better than most gets on NBN, so their margin is reduced to be about the same as everyone else gets.

    Its only destructive to margins if the margin is currently higher than the NBN will provide.
 
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