Earlier in the week Telstra chair, John Mullen, conceded the company must accept some of the blame for our flawed National Broadband Network due to its ‘recalcitrance’ back in 2007/2008 when it submitted a petulant bid that didn’t meet the requirements of the government tender to build a nationwide network. However, he then went on to attack the project, in particular drawing attention to NBN Co’s decision to compete more activley in the so-called ‘enterprise’ market – the provision of wholesale rather than retail products.
It’s all very well, if not ironic, for Mr Mullen to complain about a company offering a competitive service but let’s not forget that one of the biggest impediments to NBN Co’s financial performance, and thus its overall success, is the extremely generous terms of the deal the Coalition did with Telstra when Malcolm Turnbull followed Tony Abbott’s instruction to ‘destroy’ the NBN and opted to buy access to Telstra’s old copper wire network and its ageing Pay-TV cables.
In my view, NBN Co ought to consider renegotiating the deal with Telstra over access to their ‘pits and pipes’ and in return agree not to compete in the enterprise market. And Telstra should repair the damage it caused by negotiating in good faith – for Australia’s sake.
In my opinion, the National Broadband Network will not be completed until everyone has access to fast, reliable and affordable broadband. On that basis the rollout will take us well beyond the current official deadline of 2020. It looks like a lot of NBN Co customers are in for a long hard ride unless the Government instructs the board to abandon FTTN (the trouble-plagued technology using Telstra’s ageing copper wires) sooner rather than later.
The other day I was talking to a friend who recently retired from the public service. After a career lifetime of studied discretion he now wears as a badge of honour his entitlement to express independent views. Many of these are critical of the processes that played a pivotal part in his rise to a very senior posting.