On 7 April 2009 Kevin Rudd, Wayne Swan, Lindsay Tanner and Stephen Conroy surprised Australians by scrapping Labor’s National Broadband Network (NBN) election policy and announcing an ambitious rejigged ‘national’ broadband plan at ten times the cost.

Illustration: The Australian's Peter Nicholson

But 12 months to the day and the $43 billion surprise is still just that, all surprise and no substance to its delivery. Australians are yet to get one extra megabit of speed, or send a single packet of data down the Minister’s pipe dream network.

Labor first stumbled by ignoring the Prime Minister’s own advice on policy evaluation that; “Policy design and policy evaluation should be driven by analysis of all the available options… We’re interested in facts.”

And to this day Minister Conroy is yet to deliver those facts that he says are contained in the NBN Implementation Study.

Critical answers to basic questions like who’ll want access to the network, what they’ll pay for it, how much it’ll cost to build, when it’ll be built and what technology it will use remain unanswered.

Little wonder that he can’t show whether the benefits of the network outweigh the $43 billion estimated cost. In the absence of credible, public analysis the plan has been derided by industry experts who’ve warned;

You need to do this kind of analysis otherwise it is impossible to take rational decisions.

(Henry Ergas, Hansard, 1 October 2009).

It came as a surprise - but does anyone want a $43bn surprise? So why did it come as a surprise - because it had absolutely no thought behind it whatsoever.

(John Linton, Kickstart Forum, 28 February 2010).

NBN Co’s recent announcement of mainland trial sites might look like progress but is a far cry from a declaration of success on the mammoth task that is NBN.

One year after Labor promised high speed broadband access to every household Australians still don’t know when they’ll get connected, how they’ll be connected, what services they’ll get or how much they’ll be expected to pay for them.

One year on we deserve to see the answers supposedly contained in the NBN Implementation Study that cost taxpayers $50,000 per page.

And one year on we deserve to know what we’re getting for our $43 billion commitment to Labor’s broadband network surprise. One year on NBN still stands for ‘no-body (k)nows’.

35 comments

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    • shabangabang says:

      01:55pm | 07/04/10

      A fizzer? Since the Rudd government anounced the NBN plan we have seen both the USA announce a high speed broadband plan http://news.bbc.co.uk/2/hi/technology/8569157.stm and the UK announce a high speed broadband plan http://news.bbc.co.uk/2/hi/8579333.stm
      Seems to me the only ‘fizzers’ are the 50 year old Liberal party policies, where all you want to do is wait until someone else has done it first. We may have rode the sheeps back in our past, no need to act like a sheep in the future. You are a fool Ms Fisher.

    • Matthew says:

      02:17pm | 07/04/10

      You might want to do a bit more research into the US’s plans.  Wireless.  But lets go ahead and spend $43 Billion on something that will be outdated in 10 years.

      Just imagine how many hospitals could be built and staffed, homeless housed and trained, teachers improved, police employed, trains purchased, rail lines built for $43 Billion.

      But hey, at least we will be able to download movies faster right ?

    • Zeta says:

      02:30pm | 07/04/10

      The difference is that the US already has a higher standard of connection, even if the number of connections has parity with our own. And their language on the issue differs substantially from Rudd’s. Brown and Obama see the internet as a utility that people have an inherrent right to, like water or power. Rudd sees it as a pork barrell and leverage over Telstra.

      Besides which, the supposed poor connectivity of the United States is only when comparing their landline DSL/Cable/Fibre connections. They lead the world in wireless and are second only to South Korea with Japan trailing third.

      Their challanges are not the same as ours. American providers want to move their customers out from behind their desktops to mobile appliances, which they can make more money from. Lower overheards, higher prices. Australian providers want customers locked into long, expensive contracts to delay pressure from consumers for a better standard of internet.

    • Randal says:

      02:20pm | 07/04/10

      Both the UK and USA plan have been roundly criticised as there has been a distinct lack of substance as to who would pay, how much it will cost end users, what technology will be used and when they would expect completion, or for that matter even a start date.

      The very questions that Senator Fisher has so eloquently stated above, so I think that it is fair say that in arguing against her, you have merely proven her point – as well as exposing who the fool really is!

    • Gerard says:

      03:00pm | 07/04/10

      Sorry shabangabang, your reasoning is flawed fella.  Because politicians in USA and UK made announcements doesn’t mean that Kevin 07 must be going to somehow deliver. Pull the other one. Think-tanks, snouts in the trough and jobs for the Labor “mates”.

      NBN is just another Labor junk promise. “I’ll love you in the morning.”, “The cheque is in the mail” and “NBN”. Heard it all before.

    • Gerard says:

      02:51pm | 07/04/10

      Sorry shabangabang, your reasoning is flawed fella.  Because politicians in USA and UK made announcements doesn’t mean that Kevin 07 must be going to somehow deliver. Pull the other one. Think-tanks, snouts in the trough and jobs for the Labor “mates”.

      NBN is just another Labor junk promise. “I’ll love you in the morning.”, “The cheque is in the mail” and “NBN”. Heard it all before.

    • Jack Thomas says:

      03:21pm | 07/04/10

      It’s not a fizzer for the gravy train of consultants and assorted corporate and political leeches like shebangabang must love.

      The punter, however, suffers from archaic speeds, a strategy going backwards in time, and a squabble between Labor and Telstra so they feel like the kid stuck between divorcing parents.

      The ones who love this NBN are the type who get the big $ food contracts for the 20/20 love-in without tendering. The type who join the Victorian ALP then quit the same week to head up a new technology company which gains its sole income from government schemes and largesse.

      You’re probably still trumpeting Sol Trujilo and his 3 amigo’s, those great examples of Telco whiz kids from the USA too, ey? Speak to someone who actually knows, and the USA is not the example anyone should look at in terms of networks.

      $43 billion of our money p1ssed away and no one is happy but Labor’s mates.

      Think pink batts shebanger. Who’s the fool?

    • James says:

      03:47pm | 07/04/10

      Any one who monikers themselves after those horrendous CBA ads (yes, you shabangabang) should not be listened to.

    • Mark says:

      04:58pm | 07/04/10

      Shabang comparing Australia’s internet to anything else in the world is failure from the get go.

      Wimax would have already been here. Instead we will get an overpriced outdated system that will cost too much to use.

      Stop being such a fanboi and face facts.

      As far as it goes the damn thing will be censored to hell and back anyway.

      It is another classic Kruddie I will do it later after the next election scheme.

      All talk no action is the Labor way.

    • Julie Coker-Godson says:

      09:34pm | 07/04/10

      @Shabangabang:  It is a ‘fizzer’:  Why?  Because we haven’t got it yet, and we don’t look like getting it any time soon either, maybe not even in my lifetime at this rate so I won’t hold my breath waiting.

    • Labor Stooge says:

      11:23am | 09/04/10

      Rename it Myki.

      Works well for Labor here in Victoria.

    • Peter says:

      01:50pm | 07/04/10

      Yeah, for $43b we are getting peanuts and current Telstra shareholders are getting robbed.. I think we need to know what the NBN is going to be used for. If it’s for extra TV channels we should insist it never gets built. If it’s going to be used to take congestion off our roads and congestion off our public transport, then it will be a good idea.. But we need to know why? Im happy with my current internet speeds, so why are we building it? What do we want to get out of it? I hope it’s not so we can keep up with the Jones’ for no reason at all…

    • Matthew says:

      02:09pm | 07/04/10

      Peter, we don’t need 100 Mbs connection to work from home.  I can teleconference and control my work PC from home absolutely fine with a 1.5Mbs connection.

      The whole carbon reduction aspect of the NBN is a joke.

    • TB says:

      02:25pm | 07/04/10

      I am sick of the continuous whining of Telstra shareholders (no use denying it, Peter), as it poses very little relevance to the whole telecommunications debate. Furhtermore, government is supposed to be for the benefit of the PEOPLE, not corporations. You made a bad investment, GET OVER IT.

    • thomas vesely says:

      02:45pm | 07/04/10

      a panel of net savvy people contend that there are no killer apps that will make people take up this NBN.more insulation/BER/myki/ style fiascos coming.but with a filtered internet,perhaps we will not know.

    • Peter says:

      02:48pm | 07/04/10

      TB, you are correct, i am a shareholder, but i won’t be going broke because of it.. If our Government want to spend $43b dollars, we need to know why? This is a lot of money. Some of that $43b will be coming out of your pocket as well.. I support having an NBN, but not so I can have a 24 hour channel of episodes of “Who’s the Boss” or “Knight Rider”. I want a good economic reason for having it, not just so we can brag about having high internet speeds we don’t need..

    • Peter says:

      03:00pm | 07/04/10

      Matt, you are 100% correct. There are measures that can be taken now, and like you, i can perform my work from home just fine on current speeds. The NBN will increase capacity and bandwith so these things can be done on a massive scale. Why upgrade roads when we don’t need to? or spend billions on rail and trains we wouldn’t need? That is the kind of savings i want to see from the NBN and not TV channells…

    • Geordie says:

      02:05pm | 07/04/10

      It’s amazing how many people inside the coalition “get” the Internet and new technology, and how few in the Labor government do.  Outstanding writing senator, I agree whole heartedly.

    • Sherlock says:

      02:19pm | 07/04/10

      I now have fast broadband with unlimited downloads all day for under $80 per month. I can download the average movie via P2P in as little as 15 minutes and the average 1 hour TV show in under ten minutes. I can watch perfectly streamed video without it breaking up.

      Unless the NBN can offer me unlimited downloads 24/7 for at maximum the same price I’m not moving anywhere. I see little or no benefit in having an Internet speed faster than what I have now so I certainly won’t be paying any more for it. I would suggest I’m far from alone in this view.

      Unfortunately the government hasn’t told us what they expect us to pay for the NBN connection. I’d be interested to see what download limits for how much.

      Apparently today’s technology will take eight years to build. I wonder if it will be slightly outdated by then. I’m predicting wireless connections will be king.

    • Kim says:

      03:51pm | 07/04/10

      I’ve been using wireless connection for a couple of years now and have no problems with it.  My kids love it too because they can download music onto their ipods without hooking up to the computer.  So, taking this into account, if it’s not going to be ready for another 8 years…....FAIL!

    • AdamC says:

      04:22pm | 07/04/10

      Wireless is the (white) elephant in the NBN room. I simply can’t believe that Kruddy is getting away with this when there are so many genuine infrastructure challenges in this country.

    • Peter says:

      04:46pm | 07/04/10

      Kim, you’re using wireless from your modem. It’s not the same as wireless broadband.  Think mobile phone blackspots, the effect of bad weather and trees on your digital TV signal etc and you’ll get picture about how reliable wireless broadband delivery is.

    • Mark says:

      04:59pm | 07/04/10

      We had Wimax ready to roll.

      Shame Labor

    • Peter says:

      06:56pm | 07/04/10

      I’ve had wireless broadband now for 3 weeks… so far so good.. no problems yet…

    • nexus7 says:

      02:27pm | 07/04/10

      Just out of interest, does anyone know if this is intended to handle the increase in domestic or external internet traffic? I know it does both, but where do we need the extra speed i.e. what issue is it addressing? I mean, if it’s for domestic, then we don’t need the extra speed unless we are running the TV stations through the internet. If it’s for external, will it even make a difference? I mean, we only have 4 sub-sea cables coming into Australia. What is the bandwidth? Can those four cables even handle the traffic? The whole system only runs as fast as its slowest point. Where is that point, and how slow is it? I’ve never seen this question even asked, let alone answered.

    • Rich says:

      10:39pm | 07/04/10

      NBN is a layer 2 ethernet access network between your home and a retail service provider such as Telstra, Optus, iiNet etc. NBN provides a fat pipe to your ISP, but does not increase your ISPs backbone, nor their connection to the external portions of the internet.

      If the internet is the information superhighway, then the roads are still the same, but you’ve got a much bigger driveway to connect you to that highway. NBN will also connect areas who have in the past had to drive down a dirt track.

    • Ian Matthews says:

      02:22pm | 07/04/10

      Picky, picky MJ how can you say it’s all pipe dream. Some folks have already benefited. Hasn’t part of the $43bn given employment to Mike Kaiser courtesy of the taxpayers and Joh-Anna Bligh?

    • Karen says:

      03:23pm | 07/04/10

      While the rest of the world look toward wireless we’re spending $43 bill (although the Government never did any business plan, so this amount is plucked out of thin air) on what will soon be outdated technology. Another election grab for votes. What a mess and total waste of Australian tax payers money.

    • Julia says:

      03:30pm | 07/04/10

      Oh, I don’t know. Mike Kaiser must be doing something for half a mil per annum.

    • thomas vesely says:

      05:36pm | 08/04/10

      i tried to tell you,they wouldn’t post it.he and his cronies are doing long lunches,then they go elsewhere and do lunch again.

    • Anjuli says:

      08:43pm | 07/04/10

      By the time the NBN is up and running if it ever is we will all be using Wireless,then the NBN will be the Elephant in the room a very expensive one at that.

    • persephone says:

      10:34pm | 07/04/10

      Wireless is already being regarded as ‘old’ technology (and in fact was seen as outdated in 2007).

      It isn’t reliable, is easily interfered with and can’t handle heavy traffic. It’s also not secure (and I’ve heard stories of people who have found out how to log into their neighbour’s wireless connection and so don’t bother getting their own!)

      Wireless operates on radio waves, which are easily interferred with by other electronics in your home - it operates on the same frequencies as your garage door opener, your remote control, etc etc. Just as your radio reception varies with the weather, people using grinders, electric fences, and the weather, your wireless broadband will also be affected.

      Optic fibre is seen by the industry as the long term best option. It’s only going to run out of capacity if we find a way of exceeding the speed of light, so it won’t become old hat until then (which is unlikely to happen ever). It’s secure (the Defence Force won’t use anything else, for that reason; they don’t even use wireless in house) and nothing interferes with the signal.

      I’ve used wireless in schools. Brilliant before classes, during lunchtime and after school - slow as a wet week when classes are operating. This is because the more users of a wireless system, the slower it becomes. So your wireless might work fine now, when there’s not many of the neighbours connected to it, but the more people who connect, the slower it will become.

      So wireless is great in limited areas, for limited use and with limited applications. Fibre beats it hands down in every respect.

    • evan says:

      01:48pm | 08/04/10

      bq. “it operates on the same frequencies as your garage door opener, your remote control, etc etc”
      Wrong, category error as you lump all radio frequencies into one.

      bq.  “It’s only going to run out of capacity if we find a way of exceeding the speed of light,”
      Wrong, completly off topic: transmission (@light)speed has nothing to do with bandwidth / capacity.

      bq. “the more users of a wireless system, the slower it becomes.”
      Applies to all web infrastructure. Wireless in Aust has been to date a small-scale endeavor.

      bq. So wireless is great in limited areas, for limited use and with limited applications. Fibre beats it hands down in every respect.
      True, with the possible exception of value: I believe, but can’t prove this, that wireless provides much better value per dollar spent (on infrastructure).

    • jim says:

      12:06am | 08/04/10

      It’s nice to have an NBN, but theres no Killer Apps for it. As a web designer, I spend a lot of time minimising websites so they load faster.

      Honestly we’ve all reached the limit on screen sizes. Once you have a 30inch Cinema display from Apple or Dell, you’ll know exactly what I’m talking about. So theres the limiting factor for webpage sizes.

      Secondly, if theres one company that would know how to use the NBN or fast internet connections, it would be Apple.

      Currently there is not enough High Production Content to go around to warrant such speed for the normal consumer.

      There are media companies that need Data and Processor farms, however they do it in the same building which are already wired up Optically.

      There is one Device that will Save Conroy’s rep, and it would eventually use the NBN’s speed.

      It’s none other than the iPad.


      The iPad has a decent graphically integrated processor, but it’s not there to render 3d images. It’s there to decode H264 videos ...etc

      We’ll reach a point in time whereby the connection is so fast, we don’t need PCs anymore to hold all our data. Also the Processors will be off loaded into a Processor/Data farm, and all they do is export renders to iPads.

    • Anjuli says:

      12:29pm | 08/04/10

      If not wireless then it will be some thing else the boffins will have developed by then.Who can afford to pay the prices that are being thrown about at us which we will have to pay even if we get the NBN even just to connect I hear it will be $1000 + being pensioners we will no doubt continue as we are.I would proliferate but I like to keep it short.

 

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