Telcos back coalition-style NBN, slam Labor

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A new telecommunications lobby group laden with telco chiefs has trashed the $43 billion National Broadband Network (NBN) and backed a privately-run wireless network worth some $3 billion that is reminiscent of coalition policy which it dubbed NBN 3.0.

In the lobby group's manifesto (PDF) — in parts aimed squarely at the Independent MPs who have the power to decide which party forms government — it attacked the government's ability to efficiently manage a multibillion-dollar telecommunications network and questioned the need for gigabit internet access speeds.

The criticism comes from telecommunications chief executives including AAPT's Paul Broad, Pipe Networks founder Bevan Slattery, Vocus Communications' James Spenceley, and others including BigAir's Jason Ashton, Allegro Networks' David Waldie, EFTel's John Lane and Polyfone's Paul Wallace.

Slattery said the Coalition might be closer to an ideal broadband solution.

"The area of most concern with the Coalition policy is that there is still much more detail to be delivered," Slattery told ZDNet Australia.

"However, we also believe there is a need for a fibre-based fixed line network, just that there needs to be a business plan and cost-benefit analysis to support it and should be done without trying to create a new infrastructure monopoly."

The group claimed the government should wrap conditions around its appetising 4G spectrum to force a buyer to deploy a national wireless network, and reform communications regulation to promote competition.

It also wants public-funded fibre backhaul to be deployed to rural areas identified by the NBN Co.

"The National Fibre Backhaul Network would almost replicate the majority of NBN Co's proposed backhaul routes," Slattery said, noting that the NBN Co may be sunk under a coalition government for its politicised commentary in recent weeks.

Fixed line and wireless broadband should be brought to schools and hospitals as a priority, according to the group.

Under its manifesto, metropolitan areas supplied with sufficient access technologies like hybrid-fibre coaxial would be left to market forces.

Slattery said most major global telcos are decreasing their investments in fibre in favour of 4G wireless technologies.

"As easy as it is to say that wireless is no substitute for fibre, you can simply turn that around and say that fibre is no substitute for wireless — and this is coming from a fibre guy," he said.

He said consumers could shun the government's massive broadband investment if it fails to conduct adequate planning.

The manifesto further states:

  • We believe the Federal Government's primary role is setting policy frameworks that incentivises markets to build this infrastructure. We acknowledge markets fail to deliver universal service, and where they do governments should assist or directly invest.
  • We believe in preserving existing infrastructure competition where it is assisting in the delivery of affordable fast broadband.
  • We believe the argument for a national fibre-only NBN solution has failed to convince. For the short to medium term we see, globally, no demonstrated mass requirement for the "up to 1Gbps" speeds.
  • We believe the case for "100Mbps to Gbps" connectivity to schools, hospitals and businesses is convincing.
  • NBN 3.0 could contain:

  • 4G national wholesale network coverage, to 98 per cent of Australians, at up to 100Mbps;
  • Fibre or equivalent high-speed broadband for backhaul, school, hospitals and most businesses, at speeds up to 1Gbps;
  • A fibre-based solution (whether that be fibre to the premise or FTTN or a combination of both) for areas of demonstrated need via commercial return, or where there is a demonstrated and justifiable improvement in productivity and/or social equality to justify taxpayer contribution;
  • Satellite for remote areas, at speeds up to 12Mbps;
  • We believe that a well-informed Independent member of parliament might wisely favour an NBN 3.0 public/private model on a mix of technologies, with deliverables within a term, over a more costly and more risky eight-plus year NBN 2.0 roll-out.

The group has called for telco professionals to register their interest with the group.

Talkback

Hallelujah, finally a common sense approach.

Telstra and Optus absent, but they can't be seen as favoring either of the parties.

PhillITPhillIT September 1st, 2010
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So they want the public to pay the huge cost for the fibre backhaul while they make all the profit from extending the life of their copper-wire products and protecting their wireless markets.
4G or no 4G, anyone who thinks that wireless is a useful solution for mainstream public web use is deluding themselves. Cost and functionality in cities like Sydney are, and would be, a joke.

jhampshirejhampshire September 1st, 2010
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4G? Seriously?

Whether they mean LTE or WiMax, they both suffer from a few critical issues. (a) Hills and (b) shared-access.

Getting truly solid 4G coverage is far from trivial - currently, we just accept blackspots and bad reception areas with 3 and 3.5G services, ditto the 4G WiMax services rolled out by VividWireless in Perth. If that was the only option, though, there'd need to be a LOT more investment in additional blackspot-patching infrastructure.

There's also the problem that these radio technologies aren't very well suited to high load by multiple users. They're great for the odd bit of web browsing, the occasional download, etc, but for anything streaming, remote access tools, latency-sensitive webapps, etc they're pretty shoddy.

Personally, I smell "let's make sure there's no competition for the real ADSL/Cable cash cow by pushing 4G as if it's good enough, so people still buy the fixed-line services".

Until, of course, the copper infrastructure becomes completely unserviceable under Telstra's uncaring neglect.

ringercringerc September 1st, 2010
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"questioned the need for gigabit internet access speeds."
This really annoys me. Go back to 1970 and ask the founders of the internet if there was a need for megabit internet speeds! Go back to 1900 and ask city planners if we'd ever need freeways with 4 or 5 lanes in each direction.

With the rate that technology and demand are increasing, the "there's no need" argument is completely absurd - especially when talking about infrastructure that is too expensive to upgrade frequently.

4G wireless technology is great (for telcos) because they don't need to bear the cost of running fiber down every street, but there are serious latency and bandwidth issues (as highlighted by other commenters) that arise when you have thousands of devices sharing spectrum, just look at our stressed 3G networks.

emjayemjay September 1st, 2010
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Sure fibre is expensive, but I smell a few rats running scared.
Fibre- less profit
Wireless- more profit
It is as simple as that!

odoricoodorico September 1st, 2010
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I hope that the independant's are able to see through this thiny veiled proposal. Quite simply put, "NBN 3.0" would be a boost for the businesses owned or operated by the authors. The Labor "NBN 2.0" plan would have anegative impact on their business.

This submission has nothing to do with technical merits, or what is best for Australians. It's to do with what's best for their own personal wealth.

gr1fgr1f September 1st, 2010
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either way rural dwellers are the poor cousins again.crappy wireless coverage under either plan.towns or locales with less than 1000 people will only get wireless under libs or labour.both ways guys like me who try to fix/maintain the copper network with both hands tied behind our backs ( the dollar rules), will be put out of business,causing mass sackings in the telco civil arena,there backhaul will only replace existing jobs in small business with the same jobs in big companies like the ones already contracted by NBN Co.

pete196600pete196600 September 1st, 2010
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We've had more than enough corporate and political spin applied to comms industry policy over the last 20 years (or longer). And just look what we've got to show for it - a lot of outdated tech, many people in urban and regional areas with an appaling level of service, and high cost/low bandwidth access offerings.

For crissake, just roll out the NBN just as Quigley has been doing it, and never mind the self-interested crap about either Opel 2.0 or any supposed NBN 3.0.

gnomegnome September 1st, 2010
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If its FTTH then make it so.Not just city dwellers but 100% FTTH. even in the outer of the never never.NO WIRELESS NO SATELITE JUST HARD WIRED FIBRE EVERYWHERE FOR EVERYONE.@ 100Mbs.

pete196600pete196600 September 1st, 2010
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Apart from the horrible latency, let's not forget the spectrum for all of this is reliant on the shut down of the analog tv signal wich won't be finalised for at least FOUR years! So what do they propose we do?? Would they prefer if we sat back and waited FOUR years because their option although be slower, less reliable and prone to overloading, appears to make them more money? Those with the towers in your area would have to be forced to provide full access to other providers equipment, or we end up back with the mess we have now in that you can't access the provider you want. Most of the fibre would need to be laid anyway to provide backhaul for such a poor scheme. Yes the NBN is a lot of money, but the benefits it will provide to rural Australia, small and big business will be immense.

gregsmithgregsmith September 1st, 2010
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And these ex-Telstra blokes know what "good service" means, do they??? Coming from the company with the worst PR reputation ever, I wouldn't trust their expertise!

mudpuppymudpuppy September 2nd, 2010
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So there are no 'ex-Telstra blokes' working for the NBN Co?

advocateadvocate September 3rd, 2010
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