[LINK] NBN layer 3 services

[stephen at melbpc.org.au]

Any Linker opinions?

NBN Co down the wrong path: Cisco 

Andrew Colley From: Australian IT December 11, 2009 8:50AM 
http://www.theaustralian.com.au/australian-it/nbn-co-down-the-wrong-path-
cisco/story-e6frgakx-1225809283038


NETWORKING experts have discussed concerns that the national broadband 
network will put the nation on a $43 billion path "back to the future" by 
returning incumbent telcos to dominant market positions. 

Cisco Australia chief technology officer Kevin Bloch said that the NBN 
Co's minimalist approach to building the network would place an 
additional investment burden on access seekers that only dominant market 
players could bear.

Mr Bloch's criticism centred on the NBN Co's choice, revealed early 
yesterday, to build the network around a standard G-PON (Gigabit-capable 
Passive Optical Network), which lack technical smarts for routing data 
called "layer 3" services.

He argued that traditionally the cost of building layer 3 services into 
telecommunications networks for consumers were subsidised by business and 
government. 

He said that there was, "not a network in the world for business and 
government built on G-PON" which would leave telcos footing the bill for 
the NBN service gap.

"Who is going to fund the continual function of the NBN in the future if 
we don't have some sort of layer 3 service?

"There is a fantastic opportunity, right now, which we're going to blow.

"There's only one or two players that are going to bear that cost, and 
guess who that is," Mr Bloch said.

"So we are absolutely going back to the future and making a deeper 
incumbency than we've ever seen before if we don't open this up and 
really look at what happens in the points of interconnect that's where 
it's going to hurt. Everybody seems to be skirting over the issue."

While Cisco stood to gain more by selling additional networking equipment 
to access seekers, Mr Bloch said it was not in the national interest to 
choose the path NBN Co had chosen.

The concerns were flushed out during a panel session on smart grids at 
the federal government's Realising Our Broadband Future conference in 
Sydney shortly after NBN Co chief Mike Quigley revealed detailed plans 
for the high-speed network for the first time.

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Cheers,
Stephen