Turnbull to appoint more expertise to NBN Co

Communications Minister Malcolm Turnbull has visited the directors of some of Australia’s biggest construction and telecommunications companies in order to appoint more experience and expertise to the NBN Co’s boardroom.

According to the Sydney Morning Herald, former Telstra (ASX: TLS) chief executive, Ziggy Switkowski, is rumoured to be one of the new faces appointed to the board. “It is remarkable that there is nobody on that board who has either run or built or been responsible for building or managing large telecommunications networks,” Mr Turnbull told ABC News.

It is the NBN’s “singular deficiency” and the entire progress of the company will be reviewed by the Abbott government when it commences its 60-day review of the rollout.

The Abbott government’s NBN will cost around $20.4 billion compared to the former Labor government’s $37 billion but, on average, will deliver much slower speeds. Dr Switkowski, a qualified nuclear physicist, has a rich history of leading Telstra through its privatisation years.

However his appointment could raise further concerns for rival ISPs, including iiNet (ASX: IIN) and M2 Telecommunications (ASX: MTU), who have become concerned about Telstra’s role during the rollout of the network.

Just before midday, Telstra shares were up 0.83%.

Every Aussie investor knows Telstra, but only the smart money is on the move now… Discover whether you should buy, sell or hold Telstra shares in our brand-new report, written by a top Motley Fool analyst. It’s free, click here for your instant download!

More reading

Motley Fool contributor Owen Raszkiewicz does not have a financial interest in any of the mentioned companies.

The 5 mining stocks we’re recommending in 2019…

For decades, Australian mining companies have minted money for individual investors like you and me. But if you believe the pundits and talking heads on TV, those days are long gone. Finito! Behind us forever…

We say nothing could be further from the truth. To earn the really massive returns, you’ve got to fish where others aren’t fishing—and the mining sector could be primed for a resurgence. That’s why top Motley Fool analysts just revealed their exciting new research on 5 ASX miners they believe could help you profit in 2019 and beyond…


The best way we see to play the global zinc shortage… Our #1 favourite large-cap miner (hint: it’s not BHP)… one early-stage gold miner we think could hit the motherlode… Plus two more surprising companies you probably haven’t heard of yet!

For free access to our brand-new research, simply click here or the link below. But be warned, this research is available free for a limited time only, and we reserve the right to withdraw it at any time.

Click here for your FREE report!