Telco could lose 1 million sq km under new ACMA rules
Telstra is on track to lose nearly 1 million square kilometers of claimed mobile coverage – an area larger than NSW – under a proposed regulatory standard that would force carriers to only show areas where a regular smartphone can reliably make calls.
The Australian Communications and Media Authority’s (ACMA) proposed Mobile Network Coverage Maps Standard 2026 would impose uniform signal strength thresholds across the industry, replacing a system where each telco is effectively allowed to define “coverage area” on its own terms.
TPG Telecom, Optus and the Australian Communications Consumer Action Network backed the regulator’s baseline, leaving Telstra alone in the fight for a weaker threshold that would protect wider coverage.
“ACMA says coverage should mean your phone is working,” a TPG Telecom spokesperson said. “Telstra wants coverage which means your phone may sometimes show a bar but probably not be able to make calls.
“Only Telstra opposes this proposal for accurate maps because it reveals how much of the advertised coverage people can’t actually use. People trust coverage maps because they assume they can call for help, so accuracy is important.”
TPG Telecom’s submission to the ACMA included results from independent driving tests at more than 20 regional Queensland locations where Telstra maps showed “full coverage”. Using modern smartphones outdoors, engineers were unable to make a simple phone call at nearly all test locations. In some places, phones registered the Telstra signal but could not connect to a voice call. In others, no signal was detected.
TPG’s analysis of data Telstra submits to the Australian Competition and Consumer Commission (ACCC) each year found that Telstra’s actual outdoor handheld coverage (that which a regular smartphone can reach) was about 2.17 million square kilometres, around 1 million square kilometers less than the figure Telstra has long used in marketing. In December 2025, Telstra rebranded coverage labeled as “external antenna” coverage on its consumer-facing maps as “full coverage”.
Carol Bennett, chief executive of the Australian Communications Consumer Action Network, described the driving test findings as a “consumer protection failure” that shows why coverage maps need reform.
“Scope maps should not be marketing tools,” Bennett said. “Consumers can plan around areas with poorer coverage, but not around over-promises. For people traveling or living in regional areas, accurate information is particularly important for safety and emergency planning.”
He added that Telstra’s claim to cover 99.6 per cent of the population played a significant role in consumer choice, despite the experience of many regional Australians being “completely different to the advertised figures”.
In Optus’ presentation, consumers were told that maps based on weaker signal levels would “inadvertently over-represent reliable, usable coverage.”
Telstra acknowledged in its presentation that the proposed 115 decibel-milliwatt baseline (the unit used to measure the strength of a wireless signal) would carve out an area of around 1 million square kilometers from its map. This would tell customers they were “out of coverage” in areas where phones were still working, he argued, citing data showing 1.5 million customers connected monthly and 57,000 emergency calls made annually in affected areas.
A Telstra spokesman rejected suggestions that the company’s coverage was dependent on external antennas. “Our customers do not need an external antenna or any other special equipment to access our full 3 million square kilometers of coverage,” the spokesperson said. “This has been confirmed by third-party driving tests across the country.”
The company warned that the standard could deter future investment, noting that $12.4 billion had been spent on its mobile network by the end of FY25, and $4.7 billion in regional areas.
“We have less incentive to continue investing in regional areas, including at the edge of the network, where the comparable map does not represent it,” the spokesman said.
“We know that some of our competitors are demanding the standard to mislead customers by minimizing the large gap they know exists between their networks and ours.”
Telstra said it preferred a single comparable map but warned that if the standard remained unchanged “we may have to find a different way to help our customers understand that this coverage is available, because we know it works.”
ACMA said it was assessing all applications to finalize the standard, which is expected to come into force on June 30.
The ACCC is also pursuing a separate investigation into Telstra’s coverage maps and claims. Telstra’s presentation stated that the ACCC investigation was ongoing, but did not directly address the issue.
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David Swan is the technology editor of The Age and The Sydney Morning Herald. He was previously technology editor of The Australian newspaper.Connect with: X or email.
