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The biggest issue with the whole project wasn't the abandoning of FTTP and move to MTM but the locking in of 2010 prices for the foreseeable future via a ridicu
by stirlo 9y ago
The biggest issue with the whole project wasn't the abandoning of FTTP and move to MTM but the locking in of 2010 prices for the foreseeable future via a ridiculous CVC charge that only existed to turn a profit.
The founder of one of Australia's largest independent ISP's Internode (and later NBNco board member) Simon Hackett put it very well in 2011 where he showed locking in a arbitrary $20 charge per megabit hobbled the network.The whole profitability revolved around charging more for faster speeds/more data in the future.
Every other technological advance gave users faster for cheaper whereas this network would only work if people paid more. Cut to the future and now you've got competition from 4G cellular data at the low end and private companies providing private fibre/wireless networks at the top end. The whole pyramid is coming crashing down so much that the government has had to introduce a new broadband tax ($7.10 per month) to subsidize it.
And even the tax won't solve the problems because the CVC usage charge still exists and the business case still resolves around charging more in the future. In about 5 years when they realize what a stuff up it's been we can only help they write it all off and we can go back having affordable fast internet like the rest of the world.
https://simonhackett.files.wordpress.com/2013/07/commsday-w-and-dc-hackett-2013.pdf https://simonhackett.files.wordpress.com/2013/07/commsday-w-...
https://blog.internode.on.net/2011/07/21/nbn-retail-pricing-pressure-points/ https://blog.internode.on.net/2011/07/21/nbn-retail-pricing-...
- spangry 9y agoYep Hackett called it right. He put his money where his mouth was too: he sold his ISP to iiNet/iiBorg (who were subsequently consumed by TPG) and got the fuck outta dodge. It's a pity; Internode was possibly the best ISP in the country.
- voltagex_ 9y agoInternode's sort of okay still. TPG routes are slower though. I have unlimited FTTP NBN, static IPv4 and a v6 /56 for $110 a month.
- spangry 9y agoMan, that's pretty nice. Looking at the TPG plan page I'm guessing that's at 100/40? What's bandwidth contention like? I know TPG cop a bit of flak on whirlpool, but for the 2 or so years I had ADSL with them I never had a problem... When you say v6 /56, does that mean you can have 4,722,366,482,869,645,213,696 addressable hosts? [I don't CIDR gud...]
- girvo 9y agoIve got TPG FTTB, 100/50 that actually runs at 100/100, which is awesome. I had their ADSL2, that ran at 23 down. Of course I live in the middle of Brisanes tech hub (ish), so I'm lucky. "Whingepool" have their nickname for a reason ;)