[AusNOG] NBNco: "Let's start competing with our customers!"

[Mark Smith]

On 16 Sep 2015 21:51, "Skeeve Stevens" <skeeve+ausnog at theispguy.com> wrote:
>
> Why do that NBNCo?... just go back to the original PoI design and make it
easier/cheaper rather than 7000 poi's... THAT is why it is expensive for
the smaller guys.... shebus.
>

So you think NBNco's CVC and AVC charges are cheap?

How is carrying data on their network to one of 14 POIs going to be cheaper
that hot potatoing it out one of 121 POIs where *you* then get to choose
the POI interconnect/wholesale provider, who may also provide a cheaper POI
aggregation service so you don't have to literally connect to 121 POIs if
you don't want to.

Again, why *must* you directly connect to a POI, making you think that 14
POIs is better than 121?

In other words, you want to be a wholesale lever customer, but want the
government/NBNco to wear the wholesale capital costs? They're not going to
do that unless they get a commercial return for doing so. In other words,
you're going to pay, one way or another, because TINSTAAFL.

So if cost of POI connection is the only important criteria, then clearly
14 is also way, way too many. Who wants to have 14 routers/switches when
you could have one? Isn't the ideal number of POIs, cost wise, 1 POI for
the whole of Australia?

Actually cost wise, theoretically it would be better for the government to
do everything - they can theoretically get scales of economy that no
private company can get and they can borrow at better rates than any
private company can because they're borrowing against the country.

So perhaps the ideal number of POIs is 0.

> C'mon... who is advising these guys... do we have a new decent Comms
Minister we can appear for sanity to?
>
>
> ...Skeeve
>
>
> --
>
> Skeeve Stevens - The ISP Guy - Internet Provider SME
>
> Email: skeeve at theispguy.com ; Cell: +61(0)414 753 383
>
> Skype: skeeve; Blog: TheISPGuy.com ; Facebook: TheISPGuy
>
> Linkedin: /in/skeeve ; Expert360: Profile
>
>
> On Wed, Sep 16, 2015 at 7:20 PM, <ausftth at mail.com> wrote:
>>
>> Not content with their monopoly position and the mess they made so far,
the NBNco now wants to compete for POI backhaul with it's own customers too.
>>
>> "In a speech to the National Press Club today, Morrow said around 40 of
the NBN's national 121 points of interconnect (PoI) are currently too
expensive for smaller ISPs to reach.
>>
>> Morrow has accepted the NBN could have to play a role in forcing the
hand of the market, or stepping up if it turns out no one else is willing
to go to some locations."
>>
>> Now, I'm all for lower backhaul costs, but surely there would have been
better ways to go about this than this sudden change of heart. It's like
some bloke at the NBNco found an Econ 101 textbook, happened upon the
definition of regulatory uncertainty and came up with the brilliant idea of
field testing the concept.
>>
>> Source:
http://www.itnews.com.au/news/nbn-wants-to-cut-access-costs-for-smaller-isps-409244
>>
>> Jared
>>
>>
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