This is my tenth annual review of the retail broadband market in Australia. It is interesting to observe how the market has evolved since 2008 and to speculate where it could go next. See Economuse 2017-09-27
Professor Rod Tucker and I may disagree about the NBN’s technology mix but we have found common cause in the problems with the current business model and how to fix it.
We argue that the volume of data transferred should be the basis of wholesale charges for the NBN, not the bandwidth provided to the user.
We also argue that all users should have full access to the bandwidth capabilities of the particular technology connecting their premises.
For more, read How to fix the NBN
It is not generally appreciated that the nbn™ has never claimed that CVC is backhaul. It says it is only a pricing construct. This is a follow-up to last week’s column ((the Blame Game – Cutting teh Gordina Knot) explaining how CVCs introduces congestion when it does not have to. There is a better way to charge for usage that will unleash the economic potential of the NBN. See Economuse 2017-8-10
Letter to the Editor in response to Bill Morrow’s comments on CVCs and market behaviour.
Who is to blame for poor speed and poor performance on the NBN? The pricing of the NBN is certainly knotted. It is more complex than it needs to be and that complexity leads to the current arguments about speed and performance.
VHA’s public submission to the nbn seems to have influenced its CEO, Bill Morrow, in his announcement that he will be looking to revise pricing to “have a minimum assurance of a certain quality of product”. But, VHA’s proposed rebalancing of NBN pricing would some matters worse.
There is a simpler pricing regime that will improve both speed and performance and remove the blame from the nbn.