You know the tune, so let’s all sing along: Oh dear, what can the matter be?
Or, if you prefer AC/DC, “Dirty deeds, done dirt cheap”. As we approach the NBN’s nominal completion date of June this year the decision to dump 21st Century fibre and cobble something together using old copper wires and run-down Pay TV cables has left too many Australians humming a very sad tune.
The release this week of the latest financial report from NBN Co underscores what a debacle we have on our hands.
Last week submissions closed for a parliamentary inquiry into the National Broadband Network. TelSoc, of which I recently became vice-president, lodged a submission prepared by a working group of highly qualified industry experts. Unless the federal Government takes notice of two key recommendations millions of consumers are destined to continue suffering second rate broadband for years to come.
This massive infrastructure project is scheduled to be completed by mid-year, although as I have previously pointed out that’s at best a theoretical deadline given that replacing about a third of the fixed-line network will arguably need to begin almost immediately.
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.
Internet access is now the most complained about telco service in Australia according to the Telecommunications Industry Ombudsman’s latest report. The state of our trouble-plagued NBN continues to see consumers heading to the authorities in the faint hope their broadband problems can be fixed. Alas, the future remains bleak for millions of NBN Co customers until the Government abandons a flawed set of technologies simply incapable of delivering 21st Century speeds.
Back in December 2016 I attended a dinner at which then prime minister, Malcolm Turnbull, was one of the other guests. Toward the end of the evening Mr Turnbull beckoned me to join him in conversation. We’ve known each other for many years.
Not missing an opportunity I told him that his NBN was in big trouble. Actually, I used far more colourful language to describe this fetid project. However, I also said that there was a solution that should be adopted ASAP. “I need to know about this. Come and see me”, was the PM’s response.
According to PwC’s 18th annual Australian Entertainment and Media Outlook, video streaming platforms will outstrip Foxtel and other traditional Pay-TV services for market share in the next two years. More than half Australia’s adults are paying for subscription video-on-demand (SVOD) services, according to Media Partners Asia research.
As sure as the Sun will rise from the East tomorrow we’ll soon enough be rushing out buying 8K televisions, the next technology upgrade bringing even more ultra-high definition pictures to our screens. When the original high definition TV’s went on the market they were so expensive it took years before they became commonplace in Australian homes. These days more than 90 percent have HDTV’s in some form, and prices have dropped dramatically.
Increasingly, people are watching content delivered via the Internet rather than traditional terrestrial broadcasts. Yet, for many consumers of film and television content our dud NBN means upgrading to the latest HDTV is pointless.
While neither side of politics said much about our increasingly-maligned National Broadband Network during the recent election period, the fact is Australia is falling behind in the race to leverage the benefits – economic and social – of an emerging digitally-enabled future.
“It’s the economy, stupid” is the slogan attributed to James Carville, who was Bill Clinton‘s 1992 US presidential campaign strategist. It was about creating a clear message about the candidate’s plans for the country.
In 2015, newly appointed prime minister Malcolm Turnbull similarly coined the term “innovation nation” to describe what he saw as a pressing need to make Australia more innovative and agile – and an issue that would differentiate his approach to government. Turnbull’s problem was that two years earlier, under pressure from his predecessor Tony Abbott, he had laid down tracks leading in the opposite direction.
As I’ve been arguing for some time now we need a bipartisan rescue plan if we are to reap the substantial benefits flowing from a digitally-enabled global economy.
Back in January I wrote about my disappointing time at the helm of the Australian Smart Communities Association. Since then all the Annual Reports have been taken down from the ASCA website. This happened only days after I’d asked for a copy of the latest report, having noticed that it had not been posted on the website along with all the others.
When I inquired about the return of these reports I was informed that they had been removed as part of a major website upgrade. While I couldn’t quite understand the logic of the argument (no other changes have been made to the site) I nevertheless accepted it and repeated my request for a copy of the latest Annual Report. Despite numerous subsequent requests I still have not received one.
Labor’s communications spokesperson, Michelle Rowland, has outlined a very sensible approach to fixing the dud NBN. In fact, should the Coalition retain office it would be well advised to adopt Labor’s plan.
As Rowland rightly points out, six years of flawed technology choices has created a delivery disaster and it will be no simple task to return the project to its original vision – fast, reliable and affordable broadband for all Australians.
Many of my friends and colleagues have asked me “what happened at ASCA?” but until now I have not been in a position to reply.
Around the world there’s a buzz in the tech sector is about something called ‘smart cities’. This essentially involves using existing and emerging technologies, many of them communications based, in order to make our cities and communities more liveable and more sustainable. Along with a national decentralisation plan I believe we could use smart cities initiatives to dramatically improve the lives of millions of Australians.