Australians lose trust as outages cost AUD $5.3b yearly
New research from PagerDuty has indicated significant dissatisfaction among Australians with the reliability of telecommunication services, as widespread outages continue to affect users across the country.
According to PagerDuty's State of Service Reliability in Australia 2025 report, 68% of Australians reported a decline in trust in telecommunication organisations, with 41% stating they had experienced an outage with a telecommunications provider in the previous year.
The impacts of these outages are not merely inconveniences. The report estimates that service interruptions have cost Australians a total of 73 million hours and resulted in financial losses amounting to AUD $5.3 billion over the past 12 months. These figures include disruptions across telecommunications, financial services, retail, and travel providers.
Changing habits
The frequency and impact of service failures are prompting Australians to adapt their behaviour. Over half of respondents (54%) reported taking independent steps to remain connected during service interruptions, which may include utilising secondary providers or alternate forms of connectivity.
The telecommunications sector was singled out in the research, with 29% of respondents suggesting that telcos handle outages worse than any other industry. Additionally, one in three Australians indicated that they place the least trust in telecommunications providers to maintain system functionality during widespread outages.
PagerDuty's Vice President for Asia Pacific, Callum Eade, commented on the consumer experience during such incidents.
"Australians expect swift resolution and proactive measures to prevent issues before they escalate. Thankfully PagerDuty helps businesses stay ahead by enabling smarter, faster responses that minimise downtime and maintain consumer trust."
Eade also referenced the effect that advances in technology could have in responding to such incidents:
"Fortunately, advancements in technology, particularly AI and AI agents are reshaping how organisations manage service reliability. These tools are helping teams become more proactive, resilient and efficient in preventing and addressing disruptions across complex digital environments."
Declining trust in key sectors
The PagerDuty report did not limit its findings to telecommunications. The financial services sector also featured prominently, with 38% of Australians noting they had experienced an outage preventing access to their money. This has contributed to a reduction in trust, as 25% reported diminished confidence in these providers, while 61% now carry cash more frequently as a contingency measure.
These concerns span a number of essential service sectors. Retail faced outages for 29% of Australians, while 77% of respondents reported concern over being 'stranded' or 'locked out' when critical online services in banking, retail, telecommunications, or airlines experience failures.
Looking to the future, many Australians are bracing for further service interruptions, with 34% expecting more frequent failures in telecommunications, 31% in airlines, 30% in banking, and 29% in retail in the next year.
Rising consumer demands
Australians are not only adjusting their habits but also raising their expectations for how companies manage outages. The research shows that 97% of consumers expect some form of action when a service failure occurs. Among them, 68% want a rapid resolution, 64% require consistent updates, and 63% look for a clear explanation of the cause behind the outage.
Eade noted the significance of these evolving expectations and opportunities for businesses to restore trust through technology and improved incident response:
"The message from consumers is very clear. Australians are no longer just frustrated by incidents and outages; they are actively preparing for them. This shift presents a powerful opportunity for businesses to step up, rebuild trust, and lead with resilience. By investing in automation, and rapid response, companies can turn moments of disruption into moments of connection.
In today's digital world, reliability isn't just expected, it's an opportunity to stand out. PagerDuty enables businesses to detect and resolve issues faster, communicate clearly, and protect the customer experience," Eade concludes.
