Australian Prime Minister Anthony Albanese condemned Optus for failing the country after a major network outage. Singtel, Optus’s parent company, pointed to human error as the cause. This event shook trust in one of Australia’s key telecom firms.
An early probe into the September 18, 2025, blackout wrapped up on September 30. Singtel CEO Yuen Kuan Moon explained the issue stemmed from a simple slip-up. “It looks like a step got missed by someone at Optus,” he said. He called it a process flaw tied to people, where staff skipped needed checks. This outage cut off over 600 people from emergency lines. It even linked to three deaths, raising alarms about public safety.
Albanese’s words hit hard. He labeled the blackout a deep letdown for the nation and an outright failure no one should accept. Communications Minister Anika Wells agreed. She demanded such breakdowns end for good. Wells urged Optus to bring in outside experts for advice to fix deep-rooted problems.
Experts dug deeper than just blame. They ruled out skimping on funds as the root cause. Instead, they spotlighted flaws in Optus’s work culture and routines. One university teacher pointed to clear signs of carelessness in daily tasks. “There’s strong proof of a culture that skips fine details,” she noted. Optus’s systems, she added, lack strength to catch human mistakes. These weak spots let errors snowball into crises.
This mess fits a pattern for Optus. Back in November 2023, a nationwide failure blocked 2,145 calls to emergency services. Before that, a 2022 cyber breach exposed customer data. The firm also paid an $85 million fine for shady sales tricks. Each case exposed gaps in operations and ethics.
Such repeats question how well Optus runs its networks. Telecom firms must keep lines open, especially for 999 calls that save lives. Regulators now push for tougher rules to force fixes. Customers wonder if their bills match reliable service. Singtel vows to train staff and tighten steps, but trust rebuilds slowly. This outage spotlights the need for solid habits in vital services that touch millions daily.
The September 2025 outages at Optus represent far more than technical failures—they expose systemic governance issues at one of Australia’s largest telecommunications providers and raise profound questions about Singtel’s management of its overseas assets. With three deaths linked to the September 18 outage and a pattern of failures stretching back to 2022, this crisis has evolved into a national emergency that threatens both Optus’s viability and Singtel’s reputation.
The Crisis Unfolds: A Timeline of Failures
September 18, 2025: The Fatal Outage
The most recent and devastating outage occurred during what should have been a routine network upgrade. Over 600 Australians found themselves unable to reach police, fire departments, or ambulance services. Three deaths have been directly linked to this failure—a grim reminder that telecommunications infrastructure is not merely a convenience but a lifeline.
The outage wasn’t brief. It lasted long enough to dominate national headlines and prompt the Australian Prime Minister to personally condemn Optus for letting down the nation. The fact that it occurred during a planned upgrade—when additional precautions should have been in place—makes the failure particularly inexcusable.
September 28, 2025: The Aftershock
Less than two weeks later, another limited outage struck. While smaller in scope, its timing could not have been worse. It suggested that Optus had learned nothing from the September 18 disaster and that the underlying problems remained unresolved.
November 2023: The Warning That Went Unheeded
The September outages were not aberrations. In November 2023, Optus suffered a national phone and internet outage affecting consumers, businesses, and critically, government and public health infrastructure. During that incident, 2,145 people were unable to reach emergency services. The federal regulator documented this failure, yet clearly, insufficient action was taken to prevent recurrence.
2022: The Cyber Attack
Before the outages, Optus suffered a massive cyber attack that compromised data on millions of customers. This breach exposed sensitive personal information and shattered customer trust. The pattern was already forming: Optus was failing at the most basic responsibilities of a telecommunications carrier.
2025: The Sales Misconduct Penalty
Adding to the litany of failures, Optus was hit with an A$100 million (S$85 million) penalty for sales misconduct. This suggests problems extend beyond technical competence to corporate culture and ethics.
Root Cause Analysis: Beyond the Technical
Human Error or System Failure?
Singtel CEO Yuen Kuan Moon was quick to label the September 18 outage as “due to a people issue,” stating that “a step that was missed by someone at Optus” caused the failure. He characterized it as “a process issue, a people issue” where employees “didn’t follow the proper steps.”
However, this explanation raises more questions than it answers. Dr. Rob Nicholls from Sydney University cautioned that it was “premature” to blame human error, noting “the system failed. It might be people, it might be the network.”
When human error causes catastrophic failures, the question isn’t primarily “who made the mistake?” but rather “why did the system allow this mistake to have such devastating consequences?”
The Culture Problem
Mark Stewart, a former telecommunications engineer now lecturing at Adelaide University, identified what may be the core issue: “There seems to be significant evidence of a culture of not paying enough attention to details that are required to get the network to adequate levels of reliability.”
He elaborated that Optus was not “making sure people are following processes, identifying all likely faults and taking all steps to mitigate those.” This points to a culture where corners are cut, protocols are treated as suggestions rather than requirements, and complacency has replaced vigilance.
When a single missed step can kill people, the culture must be one of zero tolerance for deviation from procedure. Optus clearly lacks this culture.
Process Inadequacy
Stewart also observed that “Optus’ processes are not robust enough to deal with human error.” This is a damning assessment. All systems must be designed with the understanding that humans will make mistakes. Critical infrastructure must have redundancies, checks, and failsafes that prevent individual errors from cascading into catastrophes.
The fact that a single missed step could cause such widespread failure suggests that Optus’s processes lack:
- Adequate redundancy
- Proper validation checkpoints
- Automated safeguards
- Real-time monitoring and alerting
- Effective rollback procedures
The Investment Question
Some commentators questioned whether Singtel had underinvested in Optus infrastructure. However, experts and Optus leadership firmly rejected this explanation.
Optus Chairman John Arthur stated emphatically: “People make mistakes. It was not a question of money—it was not a question of investment.”
Associate Professor Rob Nicholls concurred, noting he didn’t believe a major operator would underinvest because it would inevitably lead to service degradation, customer loss, and reduced revenue.
If underinvestment isn’t the problem, the situation is actually more concerning. It means Optus has adequate resources but is failing to deploy them effectively—a management and governance failure rather than a financial constraint.
The Governance Gap: Singapore’s Distant Hand
The Overseas Parent Problem
One of the most intriguing aspects of this crisis is the question of whether Singtel’s Singapore-based management can effectively oversee Australian operations.
Dr. Nicholls highlighted this concern: “Where there is an overseas carrier responsible and you manage things locally, you need to ensure the devolution of network responsibility goes to the country (where the services are).”
He emphasized that “you want the people on the ground running the network to have responsibility for the network.” This suggests that decision-making authority may be too centralized in Singapore, preventing Australian managers from responding quickly to local conditions and risks.
The fact that Singtel CEO Yuen Kuan Moon had to be summoned from Singapore to meet with Australian authorities underscores this dynamic. While Singtel maintains ultimate ownership, the day-to-day operational decisions affecting Australian lives are being made—or delayed—across international borders.
Leadership Transition Challenges
Singtel brought in Stephen Rue as Optus CEO to “really address the issues that we have had since 2022-23.” Yuen acknowledged: “It is very early days. It takes time to transform a company.”
This raises a critical question: How long do Australians have to wait for competent telecommunications service? How many more outages are acceptable during this “transformation”?
The problem is that while organizational transformation indeed takes time, basic operational competence should not require a multi-year transformation program. Preventing emergency services outages is not an advanced goal—it’s a baseline requirement.
Yuen’s comment that “it takes time to transform, and change people” suggests potential workforce changes ahead, but it also sounds like an excuse for continued poor performance during an indefinite transition period.
Political and Regulatory Response
Government Fury
Prime Minister Anthony Albanese’s condemnation was unusually direct for a political leader discussing a private company: “Optus has let down its customers and has let down the nation.” He added: “We’re not satisfied with any of Optus’ behaviour.”
This wasn’t merely political posturing. When a telecommunications failure is linked to deaths and a Prime Minister personally condemns a company while on a diplomatic visit to the United Arab Emirates, it signals that patience has been exhausted.
Communications Minister Anika Wells stated that the outage must “never happen again” and demanded that Optus employ external advisers to independently assess its network plans. She emphasized: “We have made clear that Optus is accountable for what happened.”
The Call for Regulatory Intervention
Stewart argued that “the government and regulators need to play a ‘far greater role’ in monitoring telecommunications firms and overseeing their network testing and risk-assessment processes.”
He noted pointedly: “We have ample evidence that this is an area that companies will not usually address out of the goodness of their hearts.”
This suggests the crisis may catalyze significant regulatory reform in Australia, potentially including:
- Mandatory independent audits of network reliability
- Stricter testing requirements before network upgrades
- Real-time monitoring requirements
- Substantial penalties for emergency services disruptions
- Possible government oversight of critical network change procedures
Impact on Singapore: The Ripple Effects
Singtel’s Reputation at Stake
For Singapore, the Optus crisis is not merely an overseas subsidiary’s problem—it directly impacts the reputation of one of the nation’s flagship corporations and a company in which Temasek Holdings has significant interests.
Singtel has built its brand on reliability and technical excellence. The company operates critical infrastructure in Singapore and throughout Asia. When its Australian subsidiary repeatedly fails at basic operational tasks, it raises questions about Singtel’s management capabilities and corporate governance standards.
Financial Implications
The article notes that “Singtel shares continue slide after second Optus outage,” indicating direct financial impact on shareholders, many of whom are Singaporeans through direct investment or pension funds.
The financial damage includes:
- Share price depreciation
- The A$100 million sales misconduct penalty
- Potential future penalties for the outages
- Customer compensation costs
- The expense of hiring external advisers and consultants
- Long-term revenue loss from customer defection
More concerning is the potential for massive liability claims. If families of the three people who died sue Optus and Singtel, the financial and reputational costs could be staggering.
Strategic Questions for Temasek
As a significant shareholder in Singtel, Temasek Holdings must be asking hard questions:
- Is Singtel capable of managing large overseas assets?
- Should Optus be sold or spun off?
- What does this say about Singtel’s corporate governance?
- Are there similar problems at other Singtel subsidiaries?
The crisis may force a fundamental reassessment of Singtel’s international strategy and expansion plans.
Singapore’s Telecommunications Security
While Optus’s failures occurred in Australia, they raise uncomfortable questions about resilience in Singapore’s telecommunications infrastructure. Does Singtel apply the same management practices domestically that it uses for Optus? Are similar cultural and process problems lurking in Singapore’s networks?
Singapore’s Smart Nation initiatives rely heavily on robust telecommunications infrastructure. Any suggestion that Singtel—the incumbent operator—might have the same cultural and process issues as Optus would be deeply concerning for national development plans.
Regional Reputation
Singapore positions itself as a hub of excellence in telecommunications and digital services. Singtel is meant to be a regional champion, demonstrating Singapore’s capabilities to the world. Optus’s failures undermine this narrative and may affect Singapore’s ability to win telecommunications contracts and partnerships throughout the region.
What Must Change: A Path Forward
Immediate Actions Required
1. Complete Operational Independence for Optus
Optus must have full authority over network operations, with Australian managers empowered to make immediate decisions without requiring Singapore approval. The current governance structure appears to create dangerous delays and dilutes accountability.
2. Comprehensive Process Overhaul
Every critical network procedure must be redesigned with the assumption that human error will occur. This means:
- Multiple validation checkpoints
- Automated verification systems
- Mandatory peer review for high-risk changes
- Real-time monitoring with automatic alerts
- One-click rollback capabilities for failed upgrades
3. Cultural Transformation
Optus needs to instill a culture where safety and reliability are paramount. This requires:
- Leadership that models zero tolerance for shortcuts
- Reward systems that prioritize reliability over speed
- Transparent reporting of near-misses and errors
- Blame-free learning from mistakes (while still maintaining accountability)
- Regular safety and reliability training
4. External Oversight
Given Optus’s track record, self-regulation is insufficient. The company should:
- Hire independent auditors to review all network change procedures
- Submit major upgrade plans to government regulators for pre-approval
- Provide real-time monitoring access to regulators
- Undergo quarterly reliability assessments
Medium-Term Structural Changes
1. Invest in Redundancy
While underinvestment wasn’t the cause of these outages, the solution requires investment in systems that can tolerate human error. This includes fully redundant systems for emergency services routing, automated failover mechanisms, and geographically distributed backup systems.
2. Workforce Development
If the problems are “people issues,” then Optus needs better people or better training. This might require:
- Comprehensive retraining of existing staff
- Recruiting specialized talent for critical roles
- Partnering with Australian universities for ongoing technical education
- Bringing in international experts to audit and improve practices
3. Technology Modernization
While not the root cause, aging systems may make errors more likely and harder to detect. A systematic modernization program could reduce the likelihood of failures.
Long-Term Strategic Decisions
1. Singtel Must Decide: Reform or Divest
If Singtel cannot fix Optus within a reasonable timeframe (12-18 months), it should seriously consider selling the business. Continuing to operate a telecommunications carrier that cannot prevent deaths is both unethical and unsustainable.
2. Regulatory Reform in Australia
The Australian government should implement comprehensive telecommunications reliability regulations, treating telecom infrastructure with the same seriousness as aviation, nuclear power, or other safety-critical sectors.
3. International Standards
This crisis highlights the need for international standards for telecommunications reliability, particularly for emergency services access. Singapore could lead this effort through organizations like ASEAN or the ITU.
Lessons for Singapore
Corporate Governance Matters
The Optus crisis demonstrates that technical competence alone is insufficient. Corporate culture, governance structures, and management systems are equally critical. Singapore’s companies, especially those operating critical infrastructure, must prioritize these “soft” factors.
Distance Creates Risk
Managing overseas subsidiaries is inherently challenging. Singapore companies expanding internationally must carefully consider how to maintain operational control and cultural alignment across borders. The Optus experience suggests that too much centralization can be as dangerous as too little oversight.
Reputation is Fragile
Singtel’s reputation, built over decades, has been significantly damaged by Optus’s failures in just a few years. This demonstrates how quickly reputation can erode and how problems in one part of a corporate empire can contaminate the entire brand.
Public Service Obligations
Companies operating critical infrastructure have responsibilities that transcend profit maximization. Singaporean companies must recognize that operating telecommunications networks, utilities, or transportation systems carries special obligations to the public.
Conclusion: A Defining Moment
The Optus crisis represents a defining moment for both Optus and Singtel. The next 12-18 months will determine whether Optus can transform itself into a reliable operator or whether Singtel will be forced to divest an asset that has become a liability.
For Singapore, this is an opportunity to demonstrate that its companies can acknowledge failures, implement genuine reforms, and emerge stronger. How Singtel handles this crisis will be watched carefully not just in Australia but throughout the region.
The stakes could not be higher. Three people have already died due to Optus’s failures. The question now is whether Singtel and Optus will implement the fundamental changes necessary to ensure that number doesn’t grow.
The time for excuses, explanations, and gradual transformation has passed. Australians deserve telecommunications infrastructure that doesn’t kill them. Singaporean shareholders deserve a company that can competently manage its overseas assets. And Singtel’s employees deserve leadership that will make the hard decisions necessary to restore the company’s reputation.
The clock is ticking, and the world is watching.
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