[LINK] Libs won't cancel NBN - Turnbull

Glen Turner gdt at gdt.id.au
Sun Jul 1 18:15:24 AEST 2012

On 01/07/12 09:34, Ross Kelso wrote:
>  For example, what exactly was the mistake in privatising Telstra - what lesson do we 
> have to learn?

We learnt that the suburban customer access network is a natural monopoly.

We learnt that the CAN is capital intensive, with long lead times, and
thus underinvestment can be used to inflate returns for a time.

We learnt that mobile is a complement of, not substitute for, the CAN.

We learnt that a small policy error can cost billions to recover from.

> And once you have answered that, please tell me how 
> people are going to learn what ever lesson that is with regard to 
> regulating the grandest natural monopoly of them all, the NBN?

We learnt that we shouldn't privatise the NBN once it has completed its
network build, as the current NBN plans assume.

My objection the the NBN is the high number of POIs. This is simple
protectionism for telco and ISPs as it stops their highest-spending
customers from providing their own CAN access.

- glen

Glen Turner   www.gdt.id.au/~gdt

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