A report released by communications minister Paul Fletcher has confirmed that so-called ‘Internet piracy’ declined dramatically following the arrival of Netflix and other online streaming services – debunking the need for ‘site-blocking’ laws controversially introduced following a well-funded lobbying effort by local representatives of the Hollywood studios. In the same week NBN Co announced it is cutting in half its pricing for new connections to encourage reluctant consumers to sign up to its troubled broadband service.
What these two incidents suggest is we need politicians to engage more with industry experts when making technology-related policy decisions. We also need IT / telecommunications groups to do more to ensure the government of the day is well advised. And we need more mainstream media focus on keeping everyone better informed.
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.