@NTA said in Google wifi:
@antipodean said in Google wifi:
@RoninWC said in Google wifi:
@NTA First time I've seen that and damn, it made my blood boil.
That smug sanctimonious condescending prick!
Christ I'm angry at that and at least Mark has the last laugh as most Aussies are now crying over the Abbott and Turnbull mess they made of the NBN.
Christ I'm pissed!!!
The best bit is yet to come. It has to be sold. Won't recoup the money "invested" in the construction and a sizeable part of it has to be redone. Not just the technology mix either, but kilometres of fibre which wasn't laid correctly so is degrading.
The whole thing is a bipartisan cockup of magnificent proportions.
And a failure by both parties to identify internet as a utility, not a service.
Really you have to look at the history of privatisation in this country and wonder why the fuck we haven't learned anything about mitigating the worst of it.
$50B for a FTTP network is looking like a bargain.
It was never going to be only $50 billion and it was unnecessary given the market was already investing in building out infrastructure.
It was so obvious and this isn't even the benefit of hindsight:
Don't merge Telecom.
Don't sell the wholesale side of Telstra.
Don't let the ACCC force Telstra to provide preferential access to competing ISPs.
Don't think as a politician you know better how to build infrastructure.
Don't try to keep it off the books by selling bonds, mandating a market return and legislating that it had to be sold.
Don't come up with a hamfisted technology mix to attempt to redress the business case shortcomings.
A massive white elephant that will have to be redone at the end of it.
From a SMH article almost two years ago:
A strategic review commissioned by Turnbull revised the peak funding requirement of the FTTP model to $72.6 billion (which was probably still conservative) and estimated the MTM approach would require peak funding of $41 billion and deliver an IRR of between 3.1 per cent and 5.3 per cent.
As the roll-out has continued, the peak funding requirement has been pushed up to $49 billion and the estimated IRR range down to between 3.2 per cent and 3.7 per cent. Even at the original 7 per cent, NBN CO would have been generating a return well below its weighted average cost of capital – destroying taxpayer value in the process.
So, the simple conclusion is that, in whatever form it was built, the NBN was never a commercially economic business.
https://www.smh.com.au/politics/federal/s-and-p-retells-an-old-story-the-nbn-is-a-big-loser-20180725-p4zth5.html
