[LINK] Telstra's NBN bid rejected

[David Boxall]

At 10:00 AM Bernard Robertson-Dunn wrote:
> Telstra's NBN bid rejected
> Allison Jackson
> December 15, 2008
> The Australian IT
> http://www.australianit.news.com.au/story/0,24897,24800767-15306,00.html
>
> The Federal Government has excluded Telstra from the bidding process to 
> build a national broadband network.
If true (and we only have Telstra's word for it), then justice has been 
served.

Telstra tried to bully the government by not actually bidding (they 
submitted a "proposal" instead): 
<http://www.itnews.com.au/News/89863,telstra-baits-government-with-nbn-detail-carrot.aspx>.
That was evidently an attempt to get the contract without giving too 
much information to their competitors or the government:
<http://www.itnews.com.au/News/89932,nbn-unlikely-to-deliver-promised-reach-or-speed-ibrs.aspx>.
> “Telstra wants to pretend it is engaging in the process, while 
> continuing to hide the details of its bid. It has been trying to hide 
> this information for three years, and will use any excuse to continue to 
> do so,”
To the government's credit, it hasn't caved in to Testra's tactics.

Now, the question is: How much of a problem will Telstra be for whoever 
builds the NBN?

<http://www.itnews.com.au/News/90450,inside-telstras-technical-plans-for-the-nbn.aspx>.

 > This ‘readiness’ could also translate into duplicate build plans,

> however, should Telstra not be awarded the NBN contract.
>
> “Do we have alternative network building plans in the event that we 
> don’t win? Yes,”

So Telstra plans to build a competing network.

No doubt, Telstra will only compete in the most lucrative areas.  That 
will distort the market, syphoning income from the operator of the NBN.  
Levelling the playing field is government's responsibility.  I hope 
they're up to it.

-- 
David Boxall                    |  Dogs look up to us
                                |  And cats look down on us
                                |  But pigs treat us as equals
                                                   --Winston Churchill