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<DIV><FONT face=Arial size=2></FONT></DIV><FONT face=Arial size=2></FONT>-----
Original Message ----- </DIV>
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<DIV
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<A title=mmc@internode.com.au href="mailto:mmc@internode.com.au">Matthew
Moyle-Croft</A><BR></DIV><BR>
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<DIV>On 12/08/2010, at 2:30 PM, Tim McCullagh wrote:</DIV><BR
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<DIV><SPAN class=Apple-style-span
style="FONT-SIZE: small; FONT-FAMILY: Arial">To believe otherwise is foolish
given that an adsl port provisioned costs $150 per port and a ftth port will
cost $3500 to 7500. </SPAN></DIV></DIV></SPAN></BLOCKQUOTE>
<DIV><BR></DIV>
<DIV>Apples and oranges when one include the complete cost of a local loop and
one doesn't, especially when part of the point is to fix the problem where
people can only get very slow ADSL2 and/or none or live in areas with
significantly degraded copper or RIMs ("etc") which are full.
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<DIV><FONT face=Arial size=2></FONT> </DIV>
<DIV><FONT face=Arial size=2><STRONG>This is business 101 stuff. The
local copper loop is a sunk cost and in most cases has already been paid
for and depreciated down on the books so the return does not need to paid for,
as opposed to new borrowed money with a lender that demands his or her money
back plus interest. I really can't believe that this is not
understood</STRONG></FONT></DIV>
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<DIV><BR></DIV>
<DIV>Again, you haven't answered my question regarding ensuring the regulatory
certainty that would allow you to start building in two weeks.</DIV><FONT
face=Arial size=2></FONT></DIV>
<DIV> </DIV>
<DIV><FONT face=Arial size=2><STRONG>I have a business to run and answering
posts on this list come second. </STRONG></FONT></DIV>
<DIV><FONT face=Arial size=2><STRONG></STRONG></FONT> </DIV>
<DIV><FONT face=Arial size=2><STRONG>I answered some of the issues on a
previous email a few minutes ago. If I had the confidence in the
regulatory environment then I could lodge some already completed land access
notices and start building in 2 weeks. I have enough equipment in my
maintenance stock to do so in that timeframe. The issue is why should I
invest in projects when NBN co may over build it or worse still aquire access
to it with out proper compensation. You probably need to have
a look at some of conroys statements and legistalive threats as well as the
behaviour of DBCDE in some areas. Conroy doesn't value private
capital. In fact the Labor government has made many business value
destroying decisions in such areas as communications, the insulation industry,
mineral taxation on retrospective mining assets, the cash for clunkers and
others. Australians haven't felt the ramifications yet, but they
will. This is all non technical business 101 stuff. As it
currently stands I am better off investing in other non comms assets.
Business is business and it is all about risk and return. FTTH is a 10
year project, if you can't see the environment in 6 months then it makes it
difficult to justify such investments</STRONG>.
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