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Australian Government Moves to Block China via Telco Takeover of Pacific Telecom

Australian Government Moves to Block China via Telco Takeover of Pacific Telecom The Australian government is backing telecommunications giant Telstra to potentially buy out Digicel’s mobile operations in the South Pacific, amid concerns a Chinese-backed company could swoop in and establish a foothold for Beijing to expand its influence. On July 19, Telstra confirmed discussions were underway for a buyout, but there was no certainty around a deal. “Telstra was initially approached by the Australian government to provide technical advice in relation to Digicel Pacific which is a commercially attractive asset and critical to telecommunications in the region,” according to an investor announcement (pdf).

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