[AusNOG] "Sewer broadband provider dumped" - Brisbane fibre plan scrapped

[Grahame Lynch]

Bottom line is that we can argue about numbers but if NBN Co is positing a
base scenario of 100:1 contention well that seems very much at odds with the
"uncontended, unshared" meme we keep hearing in defence of FTTH
(specifically the large investment cost involved). Ditto for the example
used against wireless: the tower in front of every house so everyone can get
100Mbps streams at the same time. Wireless is being dissed with a
hypothetical that simply is not plausible in the current proposed FTTH
pricing model - there will be no affordable scenario where every household
in a street is streaming 100Mbps simultaneously.

The whole idea behind the NBN is that it will somehow be revolutionary but
the pricing creates disincentives for pervasive use of it.

Again we can argue about RSP margins too but at the end of the day, the
winners in the NBN world will be those who can do the best bundles with
mobiles and content - and who have cheap access to transit and capacity. One
of the drivers of the NBN was the much mooted level playing field and the
promise of a transfer of profits across the sector - but what if the profits
simply evaporate as those few carriers with scale use the NBN as a loss
leader to attract customers to their bundles?

Law of unintended consequences et al...
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