[AusNOG] Screw the NBN, says TPG: We'll do our own FTTB

[Paul Brooks]

On 17/09/2013 8:57 PM, Robert Hudson wrote:
>
> Take a look at the inequality of access to decent telecommunications infrastructure
> provided by an organisation who are legally obligated to provide fair access for all
> (and still fail miserably to do so).
>

This is probably taking it a bit too far Rob - they are legally obligated to provide a
working voice telephone service to almost everywhere. And we are all legally obligated
to subsidise them for the costs to service uneconomic areas through the USO - they get
paid to do the uneconomic bits, they are not a charity.
Fairness has never been a criteria, or a goal.

> And again - the NBN does *not* cost us (the nation) $37b. Or even $90b if you choose
> to believe Turnbull's build costs. It costs us the interest on those amounts, but
> only until the loans are paid back/bonds mature (and the rates are stupidly low)-
> and then the country owns a modern, high tech infrastructure that will drive the
> nation forward.
>

This is one argument for "why now", whether or not you believe government or private
interests should do something. If you're ever going to do something big and bold (like
a national NBN, or a major subsea cable), the right time is when interest rates are
stupidly low and debt is cheap to service - and not expected to raise significantly
until you can pay it back. You certainly wouldn't take on that much debt when global
interest rates were 10-15% like they were in the 1980s. (see
http://www.ritholtz.com/blog/2012/01/222-years-of-long-term-interest-rates/).

P.