Telstra to benefit from Abbott’s policy

Some points overlooked (NBN discussions):

• Under the liberal proposal (?), Telstra will maintain the monopoly it currently holds on the last mile (#1)
• Every other developed nation has a fibre to the household policy
• We can’t rely on a 120 year old network(#2) to deliver 21st century applications
• Rudd described the NBN as the Railroad of the 21st century – he is right
• Telstra shareholders will not benefit from the NBN – if in one hand the NBN will enhance Telstra’s profitability, on the other hand, the macro-economic damage will remove $100’s from taxpayers pockets (in inefficiencies that everybody will pay for!)

(#1) The last mile is the generic term used to describe the cabling infra-structure between the node on the network and the final premise.  The last mile is where most of the cost of the telecommunication industry is.

(#2) The copper network is being updated all the time, but the reality is that the technology for transmitting information over copper wire was created with the Telegraph.  An I am sorry to say, Wireless can’t handle high speed, as any Wireless user will tell you!

Some other Telstra trivia for you (I am not 100% sure of dates, but the facts were given to me by reliable sources from the telecommunications industry):

• Some 15-20 years ago, NEC ran a trial of ADSL in Australia, with the view to establish their equipment in the Telstra/Telecom backbone.  The deployment (after the trial) never went ahead after the trial, as according to Telstra at the time ‘nobody needs broadband’

• At about the same time, Telstra was trying to flog ISDN as an alternative to ADSL.
• The obvious suspicion is that Telstra held back on ADSL deployments so it could continue to charge exorbitant amounts for the ISDN service.

ISDN = 64 Kpbs, ADSL = 1.5 Mbs (the entry level ADSL service is 20 times faster than ISDN)

to NBN or not to NBN, that is the question!

The discussion on the NBN have been running hot.

Below I am reposting an edited and enhanced comment I made on a forum earlier today.

The forum entry was in response to a blog from an IT professional, who

• was attacking the NBN as ‘unecessary waste or tax payers money’, and
• indicanting that Liberal policy will deliver equivalent results at a much lower cost

Let me try to dispell some myths:

• We can’t afford the NBN – Yes, we can.  Over a period of 50 years, the NBN will cost 5% of what Medicare costs every year
• We don’d need the NBN – Yes, we do. Every serious developed nation is investing on similar networks to the NBN
• Liberal policy will deliver similar results – it will not, copper technology is 120 years old, and no matter how many times it has been updated, it does not compare with Optic Fibre
• We can do the same thing with newer technologies such as Wireless – No, it is impossible.  If Wireless is the solution for metropolitan delivery of fast broadband, why is it that the entire Telstra backbone is made of Optical Fibre.
• Copper will catch up – Yes it will, at both ends (copper and optical). If Telstra is so keen to demonstrate how Copper and Fibre can deliver, I would like it to start with the inter-exchange network, in Canberra or at least around Federal Parliament!
• Nobody will benefit from the NBN – this is not true.  The contrary is actually the case – liberal policy will help Telstra maintain it’s monopoly on the copper network.  I wonder how much money Telstra donated to the Liberal party recently 😦

Wonder in 2010

Election in Australia is just a few days away.

Australia faces a choice between a fresh new leader and a member of the old guard.

Tony Abbott was a loyal Minister within Howard’s inner circle.  Abbott was in favour of work choices, limiting access to abortion and has clear anti-gay marriage views.  He has been going around telling everyone he is a moderate, but I can’t be sure.  Tony Abbott took over from Malcolm Turnbull with the support of the Climate Change sceptics – his policy is climate change is likely to be standard Abbott fare:  Do Nothing!

Julia Gillard was a (?loyal) Education minister and Deputy Leader in the Rudd government.

Gillard was apparently against a pension increase (#1), and introduced reforms to make schools and teachers more accountable.  The unions hate it, which makes me wonder – if the Union hates a Labour initiative, I want to have a second look.  There is nothing wrong with accountability – reward for performance, and give the tools for parents to decide.

(#1) information from Cabinet meetings, apparently leaked by Mr Sour Grapes Rudd).

Abbott is running a negative campaign, including:

• cancellation of the NBN (without the NBN, Telstra’s position as the ‘owner’ of the backbone network will be maintained), and
• blasting at anything that labour has done (good or bad).

Abbott claims that good economic policy (Howard’s) saved Australia from the GFC – I think it was Labour’s stimulus package.  And if 10% of it was wasted, so be it.  Quick action was necessary, and you can’t make an omelet without breaking some eggs.

Gillard is running a positive campaign, however this is only made clear if you pay attention to REAL news (almost an extinct in Australia).

Look beyond the 10 second grabs on the news at night – this is not news, this is entertainment!

Are we going forward into the 21st century, or backwards to the 1950’s?