[the australian] THE government has been accused of cynically using the National Broadband Network and the GP super clinics program to sandbag marginal seats.
The accusation came after Julia Gillard and Wayne Swan yesterday travelled to Townsville to launch construction of the NBN on the mainland in the ultra-marginal electorate of Herbert -- one of several marginal seats that benefit from the early rollout.
And an analysis of the GP super clinics program has revealed that of the 13 clinics identified by the government as fully or partially operational, eight are in marginal electorates, while of the 22 promised during the election campaign, half are in marginal seats.
Broadband and health have emerged as key election battlegrounds, with the Prime Minister putting them at the centre of Monday's campaign launch and Tony Abbott vowing to dump Labor's NBN and GP super clinics programs if elected.
On their visit to Townsville yesterday, the Prime Minister and Treasurer highlighted the economic growth and new jobs the NBN would deliver to the region and declared broadband a vital issue in this Saturday's election.
Townsville is the first of five pilot sites on which construction of the NBN has begun on the mainland. Townsville falls in the Coalition-held seat of Herbert, which is now notionally Labor with a margin of just 0.3 per cent after a redistribution since the 2007 election.
Households in Tasmania have already begun using the NBN and more than 1600km of regional backhaul links have been laid in regions such as that around Mount Isa in Queensland.
But Townsville, where about 3000 homes and businesses will have access to the super-fast broadband network under the pilot, is the first mainland town to receive the NBN.
The five NBN pilot sites, which were announced in March, service three marginal seats, one safe Labor seat and an independent seat.
Labor is staging a last-week blitz on marginal seats, particularly in Queensland and western Sydney, as polling shows the election will be tight.
Last night, Ms Gillard confirmed she would join Mr Abbott tonight at a town hall forum held at Brisbane's Broncos Leagues Club. She also reissued a challenge to the Opposition Leader to join her in a one-hour economic debate before the event, although Mr Abbott declined and continues to demand a 30-minute debate.
The Prime Minister has wasted no time visiting regional areas to sell her plan, announced at the campaign launch on Monday, to harness the power of the NBN to deliver telemedicine services, including online consultation with specialists and after-hours access to general practitioners.
The initiatives, worth nearly $400m, are part of a plan to appeal to people in remote and rural areas and city fringes while also capitalising on Mr Abbott's promise to dump the NBN.
Besides Herbert, the electorates targeted for the early NBN rollout include Gilmore on the NSW south coast, held by the Coalition but now notionally Labor with a margin of 0.3 per cent, and Kingston on the southern fringe of Adelaide, which is held by Labor with a margin of 4.4 per cent.
A further 14 second-release sites were announced last month, 12 of which service marginal electorates.
Communications Minister Stephen Conroy yesterday denied that politics had anything to do with the choice of sites, pointing out that he was not even involved in their selection.
Instead, Senator Conroy said the sites were selected at arm's length by NBN Co, the government-owned company established to design, build and operate the NBN, on the basis of criteria such as engineering and construction requirements, network design and the level of existing broadband infrastructure.
Senator Conroy said the timing of construction also had nothing to do with the election and had been planned for months.
"For many months I have said on the public record, that the first-release sites would start construction from July-August," he said.
"The NBN continues to be rolled out on time and on budget."
He said NBN Co signed a contract with Ergon Energy last month for the construction works in Townsville. A spokeswoman for NBN Co said construction works would begin at a second NBN pilot site in South Australia this week, and at the remaining three sites within weeks.
But opposition finance spokesman Andrew Robb seized on the start of construction in Townsville to attack the NBN rollout as the "most cynical exercise imaginable". "For Labor, the NBN has always been about politics not policy," Mr Robb said. "It is glaringly obvious that locations identified for the supposed early stage of the NBN rollout have been based purely on political calculations as part of Labor's broadest sandbagging strategy designed to buy a dishononourable victory in this election. "
Mr Robb said Labor was also using taxpayer money for political purposes to build GP clinics in marginal seats, creating unnecessary competition for existing family GP practices.
But Health Minister Nicola Roxon said the sites for the GP super clinics had been selected purely on the basis of need.
"Regional seats and outer suburban electorates, which are short of doctors thanks to Mr Abbott's cap on GP training places, are typically marginal seats," Ms Roxon said. "We make no apology for ensuring these communities have access to doctors and other health professionals. "
Calculations by The Australian show that of the 13 super clinics identified by the government as being fully or partially operational, eight are in marginal electorates -- five of which are held by the government, and three by the Coalition. In addition, half the new super clinics announced during the election campaign have been pledged to marginal electorates, according to figures by the GP newspaper Australian Doctor.
The paper yesterday said 11 of the 22 super clinics Labor has promised to build if re-elected are in marginal seats, while five are in safe Coalition seats and five in safe Labor seats and one in a safe independent seat. One of the most recent pledges was the weekend promise by Ms Roxon to spend $7m on a super clinic in Coffs Harbour, in the NSW Central Coast seat of Cowper, which is held by the Nationals and would fall to Labor with just a 1.2 per cent swing. For the super clinics already operating, the Labor-held marginals include the Darwin seat of Solomon, which needs a swing of just over 0.2 per cent to change sides, and Macquarie, the country's second most vulnerable Labor seat with a margin of just 0.1 per cent.
Solomon was targeted just last Friday for the announcement of its second GP Super Clinic, to be built in the northern suburbs of Darwin -- a move that has alarmed the state's Australian Medical Association. Despite supporting the super clinic previously announced for nearby Palmerston, the AMA says the northern suburbs are well served and the new clinic is not needed.
AMA president Andrew Pesce said if the GP clinics had been located purely on the basis of need, then the government should be able to demonstrate empirically that was the case. "I'm not sure that's necessarily so, but I'm not going to dispute it because I haven't done the research," he said.
Dr Pesce said the taxpayer-funded clinics should only be located in areas where there was no possibility that local GPs could service community need.
NBN 'sandbags' marginal seats
Wednesday, August 18, 2010
Mobile banking services worldwide will be generating 90 billion text messages per annum by 2015
[telecoms.com] Mobile banking services worldwide will be generating 90 billion text messages per annum by 2015, up from 30 billion this year, according to figures released by Juniper Research on Tuesday. The figure equates to one message every two days for each user of mobile banking services, Juniper said.
The firm said that SMS messaging represents an opportunity for banks to drive significant improvements in customer service, while simultaneously slashing the costs associated with call centre customer management.
While balance alert SMS services are increasingly common among banks, Juniper suggested that SMS can be used to offer a wider range of services. “Banks are seeking to exploit these new process alerts to speed up customer communications during applications for products such as loans and mortgages,” Juniper said.
There is decent traction for mobile services within the retail banking community, with more than 80 per cent of banks offering some kind of mobile banking function, the firm said. Nonetheless it reported that some banks are “still to seize the potential of SMS services”. By the end of the forecast period, Western Europe will have the highest penetration of mobile banking users, and transactional mobile banking will have seen similar growth rates to SMS, Juniper said.
Mobile banking to generate 90 billion SMS by 2015
The firm said that SMS messaging represents an opportunity for banks to drive significant improvements in customer service, while simultaneously slashing the costs associated with call centre customer management.
While balance alert SMS services are increasingly common among banks, Juniper suggested that SMS can be used to offer a wider range of services. “Banks are seeking to exploit these new process alerts to speed up customer communications during applications for products such as loans and mortgages,” Juniper said.
There is decent traction for mobile services within the retail banking community, with more than 80 per cent of banks offering some kind of mobile banking function, the firm said. Nonetheless it reported that some banks are “still to seize the potential of SMS services”. By the end of the forecast period, Western Europe will have the highest penetration of mobile banking users, and transactional mobile banking will have seen similar growth rates to SMS, Juniper said.
Mobile banking to generate 90 billion SMS by 2015
Australia - NBN costs will require AUD 27 billion, though business case is not finalised
[computerworld NBN Co chief executive, Mike Quigley, is becoming clearer on the costs involved in the rollout of the National Broadband Network (NBN), confirming $27 billion as a “precise” peak government injection equity figure. However, the former Alcatel-Lucent chief operations officer told Computerworld Australia that NBN Co’s business case was yet to be finalised or delivered to Government.
Quigley’s new stance, revealed at the Australian Computer Society’s (ACS) Charles Todd Oration event, comes just a week after he told an Australian Information Industry Association (AIIA) lunch that government equity would be “south of $30 billion”.
“Our business case requires equity funding by the Government of around $27 billion,” Quigley told the ACS. “This is not the total capital costs, as we expect to raise debt, without Government guarantees, of at least $10 billion.”
NBN sees $27 billion firm equity investment
Quigley’s new stance, revealed at the Australian Computer Society’s (ACS) Charles Todd Oration event, comes just a week after he told an Australian Information Industry Association (AIIA) lunch that government equity would be “south of $30 billion”.
“Our business case requires equity funding by the Government of around $27 billion,” Quigley told the ACS. “This is not the total capital costs, as we expect to raise debt, without Government guarantees, of at least $10 billion.”
NBN sees $27 billion firm equity investment
Australia - Significant benefits claimed for telemedicine from the National Broadband Network
[the australian]COMMUNICATIONS Minister Stephen Conroy has released a confidential report into the benefits of the National Broadband Network to doctors.
The opposition says the timing of the report, two days out from the poll, is a sign of desperation by Labor.
The Department of Broadband, Communications and the Digital Economy commissioned Access Economics to study the "financial and externality impacts of ubiquitous high-speed broadband" on health and aged-care costs.
While the report was completed in June, it was made public only yesterday.
Access Economics found that a high-speed broadband network would return an annual benefit of between $750 million and $4bn from telehealth, but its conclusion was based on the premise that the NBN would have been built by last month. The NBN is not expected to be fully built and operational until July 2018.
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However, network trials have begun in Tasmania and Queensland, with other mainland sites expected to follow within weeks.
The department asked Access Economics to hone in on three areas, and explicitly excluded any benefits arising from shared electronic health records.
The research firm was asked to uncover the impact of a high-speed broadband network on telemedicine for remote consultations, remote home-based monitoring of chronic-disease patients and the aged, and remote training of medical professionals (using haptics, or tactile feedback technology).
The report found the NBN would overcome the tyranny of distance for medical institutions, especially those in rural areas.
Senator Conroy said the findings showed the NBN would overcome the technological barriers to telehealth.
Report trumpets benefits of NBN
The opposition says the timing of the report, two days out from the poll, is a sign of desperation by Labor.
The Department of Broadband, Communications and the Digital Economy commissioned Access Economics to study the "financial and externality impacts of ubiquitous high-speed broadband" on health and aged-care costs.
While the report was completed in June, it was made public only yesterday.
Access Economics found that a high-speed broadband network would return an annual benefit of between $750 million and $4bn from telehealth, but its conclusion was based on the premise that the NBN would have been built by last month. The NBN is not expected to be fully built and operational until July 2018.
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However, network trials have begun in Tasmania and Queensland, with other mainland sites expected to follow within weeks.
The department asked Access Economics to hone in on three areas, and explicitly excluded any benefits arising from shared electronic health records.
The research firm was asked to uncover the impact of a high-speed broadband network on telemedicine for remote consultations, remote home-based monitoring of chronic-disease patients and the aged, and remote training of medical professionals (using haptics, or tactile feedback technology).
The report found the NBN would overcome the tyranny of distance for medical institutions, especially those in rural areas.
Senator Conroy said the findings showed the NBN would overcome the technological barriers to telehealth.
Report trumpets benefits of NBN
Monday, August 16, 2010
Africa - The first circuits on the EaSSy cable are now being provisioned
[subtelforum] The EASSy cable went live on Friday 16th April, the first circuits are already being provisioned on the network and prices are falling.
As a result of the successful WIOCC-EASSy model, with 26 telco operators as members, there is already a large volume of traffic to load onto the network. WIOCC has sold more than 8Gbps of capacity and in total approximately two-thirds of the initial lit capacity of 30Gbps (three 10Gbps wavelengths) has been purchased.
We already have another 80+ Gbps upgrade planned within the next six to twelve months. We also have the option of lighting 40Gbps wavelengths in the future, ensuring that WIOCC will deliver the most cost-effective and reliable bandwidth to the region for many years to come.
We have already seen costs for international connectivity coming down. The impact of EASSy coming in is being felt in the market, with prices both at the end user level and the wholesale level having dropped by 50 to 60 percent over the past year. We anticipate continuing price reductions during 2010, 2011 and 2012. We are also now seeing carriers purchaing capacity on multiple systems, reducing their exposure to single-cable outages and enabling them to offer improved service reliability to their customers.
The arrival of EASSy is creating a truly competitive market for international capacity – from which everyone stands to benefit.
EASSy cable live and prices are falling
As a result of the successful WIOCC-EASSy model, with 26 telco operators as members, there is already a large volume of traffic to load onto the network. WIOCC has sold more than 8Gbps of capacity and in total approximately two-thirds of the initial lit capacity of 30Gbps (three 10Gbps wavelengths) has been purchased.
We already have another 80+ Gbps upgrade planned within the next six to twelve months. We also have the option of lighting 40Gbps wavelengths in the future, ensuring that WIOCC will deliver the most cost-effective and reliable bandwidth to the region for many years to come.
We have already seen costs for international connectivity coming down. The impact of EASSy coming in is being felt in the market, with prices both at the end user level and the wholesale level having dropped by 50 to 60 percent over the past year. We anticipate continuing price reductions during 2010, 2011 and 2012. We are also now seeing carriers purchaing capacity on multiple systems, reducing their exposure to single-cable outages and enabling them to offer improved service reliability to their customers.
The arrival of EASSy is creating a truly competitive market for international capacity – from which everyone stands to benefit.
EASSy cable live and prices are falling
West Africa - "Main One" undersea cable is now operational, with backing from German y and AfDB
[subtelforum] With German support the submarine cable “Main One“ to West Africa commenced operations at the beginning of July 2010. Thereby the communication options via internet and telephone in the region are considerably improved. DEG – Deutsche Investitions- und Entwicklungsgesellschaft mbH, provided Main One Cable Company (Main One) a quasi-equity loan to the amount of 20 million US-dollars to lay and operate the cable. The African Development Bank (AfDB), which contributed 55 million US-dollars, arranged the joint financing of the two development finance institutions. Further lenders are two Nigerian commercial banks providing 45 million US-dollars. The total investment volume comes up to 240 million US-dollars. The owners of Main One are Main Street Technologies, a Nigerian start-up, which was founded in 2006 for the purpose of this project, and four further investors.
The submarine cable “Main One“ stretches over almost 7,000 kilometres between Portugal and Accra in Ghana and Lagos in Nigeria. The fibre optic connection is accessible to all mobile network operators as well as internet service providers. So-called “branching units“ offer the possibility of connecting Côte d’Ivoire, the Canary Islands, Morocco and Senegal to the net, which is planned to be realised within the course of the project. For a second phase of the project it is furthermore intended to extend the cable onto South Africa.
The communication infrastructure in West Africa has so far been little developed. Low-priced broadband connections are one of the major catalysts boosting economic growth and the success of African enterprises. The project will step up the capacity for the international and regional data transfer by more than ten times and thus lower the cost for telephone calls and internet use. In recognition of the developmental and economic significance of the project, the magazine Project Finance distinguished the financing as the “African Infrastructure Deal of the Year“.
The financing of private-sector investments in Africa is a focus of DEG, member of KfW Bankengruppe (KfW banking group): in 2009 it committed 266 million euros there, which for the first time corresponded to more than one-quarter of its new business. On the African continent, DEG is represented with offices in Ghana, Kenya and South Africa.
DEG finances submarine cable to West Africa
The submarine cable “Main One“ stretches over almost 7,000 kilometres between Portugal and Accra in Ghana and Lagos in Nigeria. The fibre optic connection is accessible to all mobile network operators as well as internet service providers. So-called “branching units“ offer the possibility of connecting Côte d’Ivoire, the Canary Islands, Morocco and Senegal to the net, which is planned to be realised within the course of the project. For a second phase of the project it is furthermore intended to extend the cable onto South Africa.
The communication infrastructure in West Africa has so far been little developed. Low-priced broadband connections are one of the major catalysts boosting economic growth and the success of African enterprises. The project will step up the capacity for the international and regional data transfer by more than ten times and thus lower the cost for telephone calls and internet use. In recognition of the developmental and economic significance of the project, the magazine Project Finance distinguished the financing as the “African Infrastructure Deal of the Year“.
The financing of private-sector investments in Africa is a focus of DEG, member of KfW Bankengruppe (KfW banking group): in 2009 it committed 266 million euros there, which for the first time corresponded to more than one-quarter of its new business. On the African continent, DEG is represented with offices in Ghana, Kenya and South Africa.
DEG finances submarine cable to West Africa
EaSSy - Airtel and others have launched the 10,000 km undersea cable system
[prokerala] India's Bharti Airtel and 15 other global telecom companies together launched a 10,000 km submarine cable system Thursday to connect east Africa with the rest of the world.
The EASSy cable system possess a capacity of 1.4 terabites per second, which makes it the largest submarine cable system serving the African continent.
It is also the first east coast system to connect a direct route to Europe thereby delivering data traffic faster to key Internet peering points in Europe and North America, Bharti Airtel said in a statement.
Bharti Airtel acquired the African telecom assets of Kuwait's Zain recently.
The cable system will help spread broadband connectivity to all parts of Africa, a prerequisite for the successful production of e-commerce, Internet and other broadband applications for the continent.
"The commencement of EASSy cable system is a step to create a robust undersea cable infrastructure for our customers," said Ajay Chitkara, chief executive officer, global data business, Bharti Airtel.
The companies have invested over $263 million in this project.
The consortium along with Bharti Airtel includes players such as British Telecom, Etisalat, Saudi Telecom, MTN International Group and Telkom South Africa.
Bharti and 15 others launch submarine cable system in Africa
The EASSy cable system possess a capacity of 1.4 terabites per second, which makes it the largest submarine cable system serving the African continent.
It is also the first east coast system to connect a direct route to Europe thereby delivering data traffic faster to key Internet peering points in Europe and North America, Bharti Airtel said in a statement.
Bharti Airtel acquired the African telecom assets of Kuwait's Zain recently.
The cable system will help spread broadband connectivity to all parts of Africa, a prerequisite for the successful production of e-commerce, Internet and other broadband applications for the continent.
"The commencement of EASSy cable system is a step to create a robust undersea cable infrastructure for our customers," said Ajay Chitkara, chief executive officer, global data business, Bharti Airtel.
The companies have invested over $263 million in this project.
The consortium along with Bharti Airtel includes players such as British Telecom, Etisalat, Saudi Telecom, MTN International Group and Telkom South Africa.
Bharti and 15 others launch submarine cable system in Africa
Caribbean - LIME (C&W) is to invest USD 600 million to upgrade networks to imprive services
[cellular news] Pan-Caribbean telco, Lime - a subsidiary of the UK's Cable & Wireless - has outlined plans to spend US$600 million upgrading its networks over the next five years.
At a briefing in Jamaica, Lime's Chief Marketing Officer (CMO) Chris Dehring said: "Over the next five years we intend to invest more than US$600 million in our 13 business units across the region to improve the services that we offer and to roll out the kind of new technologies and innovative services that will help us to retain our present customers and attract new ones".
In addition to boosting mobile services, the company will launch a TV service in Jamaica and Barbados by the end of this year. The company will also be upgrading its fixed-line internet service to offer broadband speeds. This year's spending includes a US$35 million investment in a submarine cable linking Jamaica to the British Virgin Islands and the Dominican Republic.
Around US$100 million of the total expenditure will go into the Jamaican market.
"Lime is investing aggressively in the growth and expansion of our business to give the people of the region services that are on par with those offered in places like North America and Europe which will ensure that we remain the provider of choice both now and in the future," he said. "Throughout most of the Caribbean, Lime is the leading player in the telecoms market and we have no intention of conceding this position."
Lime Planning US$600 Million Investment in Caribbean Networks
At a briefing in Jamaica, Lime's Chief Marketing Officer (CMO) Chris Dehring said: "Over the next five years we intend to invest more than US$600 million in our 13 business units across the region to improve the services that we offer and to roll out the kind of new technologies and innovative services that will help us to retain our present customers and attract new ones".
In addition to boosting mobile services, the company will launch a TV service in Jamaica and Barbados by the end of this year. The company will also be upgrading its fixed-line internet service to offer broadband speeds. This year's spending includes a US$35 million investment in a submarine cable linking Jamaica to the British Virgin Islands and the Dominican Republic.
Around US$100 million of the total expenditure will go into the Jamaican market.
"Lime is investing aggressively in the growth and expansion of our business to give the people of the region services that are on par with those offered in places like North America and Europe which will ensure that we remain the provider of choice both now and in the future," he said. "Throughout most of the Caribbean, Lime is the leading player in the telecoms market and we have no intention of conceding this position."
Lime Planning US$600 Million Investment in Caribbean Networks
Seychelles - Airtel has acquired Telecom Seychelles for Sh4.9 billion
[daily nation] Zain Kenya's new owners, Bharti Airtel, is determined to expand their footprint in Africa by acquiring Telecom Seychelles Ltd at a cost of Sh4.9 billion.
This means the Indian telecommunications firm is now in 16 African countries following its acquisition of Zain Africa's 15 operations, including Zain Kenya, for which the deal was closed in June for Sh856 billion.
Mr Manoj Kohli, CEO (International) & Joint managing director, Bharti Airtel, said, "We are delighted at the addition of Seychelles to our Africa portfolio. These operations will benefit further by leveraging the efficiencies of scale of our African operations."
When asked whether Bharti Airtel had presence in Seychelles, a company spokesperson clarified that the company never had any stake in Telecom Seychelles and it was only using its brand name. Now Bharti Airtel will acquire all stake from its promoters to make it part of African operations.
Telecom Seychelles began operations in 1998 by launching mobile services. Today, it offers 3G mobile and integrated wireline services across the island nation under the Airtel brand and has over 57 per cent share of the mobile market. Bharti Airtel had over 183 million customers across its operations at the end of June 2010.
Bharti plans replicate its minute factory model combined with a low-cost structure in Africa. It will work on infrastructure sharing and forge contracts on a network utilisation-based model, much like it does in India to improve productivity at its Africa operations.
The company, facing tough competition in a crowded home market, is betting on opportunities in Africa where the mobile penetration level at 32 per cent is less than India's 50 per cent and there are fewer competitors. The Average Revenue Per User in the country remains low.
In India, subscribers on average use 500 calling minutes monthly while Kenya lays claim to 40 minutes. In addition to voice services, Airtel provides broadband internet and digital television in its home market of India. The acquisition of Zain was Bharti Airtel's third attempt to enter the largely untapped African market after twice failing in merger talks with South African telecom major MTN.
The firm recently appointed Ogilvy Africa BV to engineer its rebranding. It expects to launch its own brand in the 15 countries by end of October, according to people familiar with the matter.
Bharti Airtel Acquires Telecom Seychelles
This means the Indian telecommunications firm is now in 16 African countries following its acquisition of Zain Africa's 15 operations, including Zain Kenya, for which the deal was closed in June for Sh856 billion.
Mr Manoj Kohli, CEO (International) & Joint managing director, Bharti Airtel, said, "We are delighted at the addition of Seychelles to our Africa portfolio. These operations will benefit further by leveraging the efficiencies of scale of our African operations."
When asked whether Bharti Airtel had presence in Seychelles, a company spokesperson clarified that the company never had any stake in Telecom Seychelles and it was only using its brand name. Now Bharti Airtel will acquire all stake from its promoters to make it part of African operations.
Telecom Seychelles began operations in 1998 by launching mobile services. Today, it offers 3G mobile and integrated wireline services across the island nation under the Airtel brand and has over 57 per cent share of the mobile market. Bharti Airtel had over 183 million customers across its operations at the end of June 2010.
Bharti plans replicate its minute factory model combined with a low-cost structure in Africa. It will work on infrastructure sharing and forge contracts on a network utilisation-based model, much like it does in India to improve productivity at its Africa operations.
The company, facing tough competition in a crowded home market, is betting on opportunities in Africa where the mobile penetration level at 32 per cent is less than India's 50 per cent and there are fewer competitors. The Average Revenue Per User in the country remains low.
In India, subscribers on average use 500 calling minutes monthly while Kenya lays claim to 40 minutes. In addition to voice services, Airtel provides broadband internet and digital television in its home market of India. The acquisition of Zain was Bharti Airtel's third attempt to enter the largely untapped African market after twice failing in merger talks with South African telecom major MTN.
The firm recently appointed Ogilvy Africa BV to engineer its rebranding. It expects to launch its own brand in the 15 countries by end of October, according to people familiar with the matter.
Bharti Airtel Acquires Telecom Seychelles
Australia - ALP claims NBN is infrastructure for the C21st to escape from an information goat track
[smh] Labor's planned national broadband network (NBN) Australia will mean the difference between an information superhighway and an information "goat track", federal Assistant Treasurer Nick Sherry says.
Broadband is the infrastructure of the 21st century information age, Senator Sherry says.
"You can either do it properly, if you believe in it, or scrape together an alternative that won't deliver globally comparable speeds," he said in an address to the Australian Insurance Summit in Sydney on Friday.
The government's $43 billion NBN will be able to provide speeds of one gigabit per second, 10 times faster than originally envisaged, it was revealed on Thursday.
But the opposition's $6 billion alternative broadband plan can only promise 12 megabits per second.
The NBN would be beneficial to an industry like insurance, Senator Sherry said.
"The insurance industry would be very aware of the different impacts on 21st century service industries of having either an information superhighway or an information goat track," he said.
"As you seek to export your services, as you seek to move so much more of your retail trading of insurance products online, as you move more of your claims assessment and risk management online - all heavily reliant on fast internet speeds."
Senator Sherry said the insurance sector was an important contributor to the economy and in many ways reflected Labor's own approach to risk and financial management.
"What I mean by that is, you take a prudent approach to assessing risk and you do that based particularly on long-term planning.
"We do very much the same."
Labor warns of problems without NBN
Broadband is the infrastructure of the 21st century information age, Senator Sherry says.
"You can either do it properly, if you believe in it, or scrape together an alternative that won't deliver globally comparable speeds," he said in an address to the Australian Insurance Summit in Sydney on Friday.
The government's $43 billion NBN will be able to provide speeds of one gigabit per second, 10 times faster than originally envisaged, it was revealed on Thursday.
But the opposition's $6 billion alternative broadband plan can only promise 12 megabits per second.
The NBN would be beneficial to an industry like insurance, Senator Sherry said.
"The insurance industry would be very aware of the different impacts on 21st century service industries of having either an information superhighway or an information goat track," he said.
"As you seek to export your services, as you seek to move so much more of your retail trading of insurance products online, as you move more of your claims assessment and risk management online - all heavily reliant on fast internet speeds."
Senator Sherry said the insurance sector was an important contributor to the economy and in many ways reflected Labor's own approach to risk and financial management.
"What I mean by that is, you take a prudent approach to assessing risk and you do that based particularly on long-term planning.
"We do very much the same."
Labor warns of problems without NBN
Australia - NBN is one of the biggest financial investmesnt by Australian taxpayers therefore needs critical examination
[abc] The $43 billion National Broadband Network (NBN) is one of the biggest individual financial investments Australian taxpayers will ever make. When it was originally announced, taxpayers were only going to stump up with $4.7 billion of the total price tag. Following a study by McKinsey and KPMG that number skyrocketed to $26 billion because they found that during the early years private investors would not accept the NBN's risk profile.
If one works on the basis that the NBN will end up being wholly funded by taxpayers, which is likely given that its expected returns are (a) so low and (b) uncertain (read risky), it will increase Australia's national debt by roughly 30 per cent (assuming it stays on budget, which commentators believe is unlikely), and will cost every household in the country more than $5,000 before they even start paying for the NBN service. The interest repayments on that debt alone would be $2.4 billion per annum assuming that long-term interest rates do not rise.
On a per capita basis, the total cost of the NBN is between six and eighty times more expensive than what Singapore, South Korea and New Zealand are spending on their own lauded NBN solutions. And Australia has similar or higher levels of urbanisation. As the award-winning technology journalist Grahame Lynch recently concluded, the NBN "is the most expensive government intervention of its kind in the world".
Despite all of this, the NBN has been subject to very little public scrutiny. There has been no detailed cost-benefit analysis published by Treasury on why the NBN is the best possible use of up to $43 billion of taxpayer's cash. There has been no independent Productivity Commission Inquiry determining the amount of money that the nation should use to subsidise high-speed broadband, and whether, in fact, comparable technology, such as WiMax or ADSL2+, could be supplied at no additional cost to taxpayers via the private sector. The unfortunate truth is that the NBN was a policy developed on-the-fly following a fight with Telstra in the middle of the GFC when government spending was back in vogue.
It is also concerning that the central 100 megabits per second 'speed' claim that is being used to sell the NBN does not currently apply to around 70 per cent of all Australian internet traffic. This is traffic that either goes to overseas websites or hits Australian websites hosted offshore where the connectivity speed is determined not by an NBN's capabilities, but by the submarine cables that link Australia with the rest of the world, and then by the bandwidth that ISPs wish to make available. Current limitations would restrict this traffic to around 2Mbps with or without the NBN.
There is probably a good reason why proper cost-benefit analysis has not been undertaken on the NBN: the benefits are so uncertain and difficult to quantify, and the opportunity costs of spending this money so great, that once you discount the potential returns you would find that its awfully hard to justify spending $43 billion. This is precisely why the Government's own advisors slashed the expected private sector contribution by more than half from the initial estimate of $38.3 billion to just $17 billion employing what are rubbery assumptions that seem unlikely to pass muster with conservative third-parties.
To get a feel for the economic risks, ponder a few of the flaws identified by technology expert Grahame Lynch in the NBN financial modelling carried out by KPMG and McKinsey (note, this was not cost-benefit analysis).
First, Lynch points out that the NBN's assumed average revenue per user is significantly in excess of what Telstra currently generates.
The next problem he finds is that the NBN modelling supposes that it can increase the price it charges for its services every year when empirical experience suggests these costs do not rise over time.
The most fundamental frailty Lynch and others have drawn attention to is the exceptionally high number of 'activations' the NBN's business is purported to be able make, which imply total consumer take-up of 75-90 per cent of all homes passed by 2035 while at the same time making "the startling observation that NBN take-up is expected to be lower in the wireless areas because of competition from DSL and 3G!" It is sobering to note here that new wireless and copper technologies, such as WiMax and ADSL2+, offer very high connectivity speeds of up to 40Mbps and 24Mbps, respectively.
Lynch concludes that the supporting arguments for the NBN's business model "are dubious to say the least", and offers as an example the further claim that it "will gain take-up advantages over comparable projects overseas because of the "pride" Australians will feel in it."
Possibly the biggest disruptive threat to the NBN's business is wireless. Around 30 per cent of all internet connections are now wireless and growing at a double-digit rate. Consumers are increasingly shifting towards mobile devices, such as iPads, Blackberries, and laptops. And this trend will only strengthen through time as smart-phone penetration increases and wireless speeds improve. Yet the NBN's business plan would have us believe that wireless broadband growth will slow, not accelerate.
Interestingly, both those on the centre and left of the political divide, who think that government should be leveraging up its balance-sheet and investing in much more infrastructure, which is a view I subscribe to, and those on the centre-right who question whether the NBN is, in fact, a 'public good' that deserves any government funding at all, should have questions about this project.
For the centrists, many opportunity costs loom large. The best-case $43 billion price tag for the NBN could be invested in a range of much more tangible and certain projects that yield arguably higher benefits. For example, this capital could help address the public transport crisis by funding 230km of new metro railway lines-equivalent to 16.5 times the size of the Parramatta to Epping rail link - based on the latter's costing. It could go a long way to resolving the hospitals crisis by delivering 14,600 new beds (or 43 major hospitals) based on the price of the latest Royal Childrens Hospital in Melbourne. Or it could eradicate homelessness by building 107,500 new homes worth $400,000 each to take the circa 105,000 people without shelter today off the streets.
More basically, imagine if one took the NBN's $5,000-plus per-household price and asked real-world families how they would like to see their money apportioned across, say, public transport, health, education and broadband. How do you think they might respond? My guess is that most would instinctively allocate a small share to internet connectivity, perhaps close to the $520 or less that NZ and Singapore are spending on their own NBN solutions.
Those on the right side of the political spectrum will surely conclude that broadband is not, in fact, a 'public good' that the private sector is incapable of cost-effectively providing. The truth is it does and will continue to do so. Many private companies are more than happy to prudently invest their own money in fibre, ADSL2+, and WiMax at no cost to taxpayers. Indeed, the Government's NBN implementation study implicitly recognises this by arguing that the NBN Company should consider leveraging off existing private sector infrastructure-such as hybrid fibre-coaxial networks-in order to deliver its mandate.
There has been a notable paucity of critical thought on Australia's extraordinarily large NBN commitment. Perhaps this is because media companies believe that they will be big beneficiaries. Yet in an increasingly mobile and wireless world, will cost-conscious households really want to spend extra dollars on fixed-line, fibre solutions just so that they can more quickly download content from YouTube or iTunes?
Think of all the businesses that supply you with goods and services every day and consider what proportion might take-up video-conference technology, which is another one of the NBN's claimed efficiency gains? The local shops, mall or supermarket? No. What about labour-intensive manufacturers, miners or farmers? Unlikely. Kids will still attend schools, and employees will still go to work. For that small minority that do want to telecommute, such as one of my staff members who is based in Adelaide, or perhaps some service business, they can use an existing technology for free. It's called Skype. My wife and I use it all the time when communicating with our IVF doctors in the US. The best news is it costs taxpayers nothing.
Of course, this choice does not need to be binary; all or nothing. We can support the private sector in the development of better broadband technology. We just don't need to make a very risky $43 billion punt on one specific solution.
Why we urgently need critical thinking on the NBN
If one works on the basis that the NBN will end up being wholly funded by taxpayers, which is likely given that its expected returns are (a) so low and (b) uncertain (read risky), it will increase Australia's national debt by roughly 30 per cent (assuming it stays on budget, which commentators believe is unlikely), and will cost every household in the country more than $5,000 before they even start paying for the NBN service. The interest repayments on that debt alone would be $2.4 billion per annum assuming that long-term interest rates do not rise.
On a per capita basis, the total cost of the NBN is between six and eighty times more expensive than what Singapore, South Korea and New Zealand are spending on their own lauded NBN solutions. And Australia has similar or higher levels of urbanisation. As the award-winning technology journalist Grahame Lynch recently concluded, the NBN "is the most expensive government intervention of its kind in the world".
Despite all of this, the NBN has been subject to very little public scrutiny. There has been no detailed cost-benefit analysis published by Treasury on why the NBN is the best possible use of up to $43 billion of taxpayer's cash. There has been no independent Productivity Commission Inquiry determining the amount of money that the nation should use to subsidise high-speed broadband, and whether, in fact, comparable technology, such as WiMax or ADSL2+, could be supplied at no additional cost to taxpayers via the private sector. The unfortunate truth is that the NBN was a policy developed on-the-fly following a fight with Telstra in the middle of the GFC when government spending was back in vogue.
It is also concerning that the central 100 megabits per second 'speed' claim that is being used to sell the NBN does not currently apply to around 70 per cent of all Australian internet traffic. This is traffic that either goes to overseas websites or hits Australian websites hosted offshore where the connectivity speed is determined not by an NBN's capabilities, but by the submarine cables that link Australia with the rest of the world, and then by the bandwidth that ISPs wish to make available. Current limitations would restrict this traffic to around 2Mbps with or without the NBN.
There is probably a good reason why proper cost-benefit analysis has not been undertaken on the NBN: the benefits are so uncertain and difficult to quantify, and the opportunity costs of spending this money so great, that once you discount the potential returns you would find that its awfully hard to justify spending $43 billion. This is precisely why the Government's own advisors slashed the expected private sector contribution by more than half from the initial estimate of $38.3 billion to just $17 billion employing what are rubbery assumptions that seem unlikely to pass muster with conservative third-parties.
To get a feel for the economic risks, ponder a few of the flaws identified by technology expert Grahame Lynch in the NBN financial modelling carried out by KPMG and McKinsey (note, this was not cost-benefit analysis).
First, Lynch points out that the NBN's assumed average revenue per user is significantly in excess of what Telstra currently generates.
The next problem he finds is that the NBN modelling supposes that it can increase the price it charges for its services every year when empirical experience suggests these costs do not rise over time.
The most fundamental frailty Lynch and others have drawn attention to is the exceptionally high number of 'activations' the NBN's business is purported to be able make, which imply total consumer take-up of 75-90 per cent of all homes passed by 2035 while at the same time making "the startling observation that NBN take-up is expected to be lower in the wireless areas because of competition from DSL and 3G!" It is sobering to note here that new wireless and copper technologies, such as WiMax and ADSL2+, offer very high connectivity speeds of up to 40Mbps and 24Mbps, respectively.
Lynch concludes that the supporting arguments for the NBN's business model "are dubious to say the least", and offers as an example the further claim that it "will gain take-up advantages over comparable projects overseas because of the "pride" Australians will feel in it."
Possibly the biggest disruptive threat to the NBN's business is wireless. Around 30 per cent of all internet connections are now wireless and growing at a double-digit rate. Consumers are increasingly shifting towards mobile devices, such as iPads, Blackberries, and laptops. And this trend will only strengthen through time as smart-phone penetration increases and wireless speeds improve. Yet the NBN's business plan would have us believe that wireless broadband growth will slow, not accelerate.
Interestingly, both those on the centre and left of the political divide, who think that government should be leveraging up its balance-sheet and investing in much more infrastructure, which is a view I subscribe to, and those on the centre-right who question whether the NBN is, in fact, a 'public good' that deserves any government funding at all, should have questions about this project.
For the centrists, many opportunity costs loom large. The best-case $43 billion price tag for the NBN could be invested in a range of much more tangible and certain projects that yield arguably higher benefits. For example, this capital could help address the public transport crisis by funding 230km of new metro railway lines-equivalent to 16.5 times the size of the Parramatta to Epping rail link - based on the latter's costing. It could go a long way to resolving the hospitals crisis by delivering 14,600 new beds (or 43 major hospitals) based on the price of the latest Royal Childrens Hospital in Melbourne. Or it could eradicate homelessness by building 107,500 new homes worth $400,000 each to take the circa 105,000 people without shelter today off the streets.
More basically, imagine if one took the NBN's $5,000-plus per-household price and asked real-world families how they would like to see their money apportioned across, say, public transport, health, education and broadband. How do you think they might respond? My guess is that most would instinctively allocate a small share to internet connectivity, perhaps close to the $520 or less that NZ and Singapore are spending on their own NBN solutions.
Those on the right side of the political spectrum will surely conclude that broadband is not, in fact, a 'public good' that the private sector is incapable of cost-effectively providing. The truth is it does and will continue to do so. Many private companies are more than happy to prudently invest their own money in fibre, ADSL2+, and WiMax at no cost to taxpayers. Indeed, the Government's NBN implementation study implicitly recognises this by arguing that the NBN Company should consider leveraging off existing private sector infrastructure-such as hybrid fibre-coaxial networks-in order to deliver its mandate.
There has been a notable paucity of critical thought on Australia's extraordinarily large NBN commitment. Perhaps this is because media companies believe that they will be big beneficiaries. Yet in an increasingly mobile and wireless world, will cost-conscious households really want to spend extra dollars on fixed-line, fibre solutions just so that they can more quickly download content from YouTube or iTunes?
Think of all the businesses that supply you with goods and services every day and consider what proportion might take-up video-conference technology, which is another one of the NBN's claimed efficiency gains? The local shops, mall or supermarket? No. What about labour-intensive manufacturers, miners or farmers? Unlikely. Kids will still attend schools, and employees will still go to work. For that small minority that do want to telecommute, such as one of my staff members who is based in Adelaide, or perhaps some service business, they can use an existing technology for free. It's called Skype. My wife and I use it all the time when communicating with our IVF doctors in the US. The best news is it costs taxpayers nothing.
Of course, this choice does not need to be binary; all or nothing. We can support the private sector in the development of better broadband technology. We just don't need to make a very risky $43 billion punt on one specific solution.
Why we urgently need critical thinking on the NBN
Australia - Shortfall of AUD 5.6 billion in funding for national broadband plan
[itwire] A Parliamentary Library publication has revealed a $5.6b shortfall between funds earmarked by the Labor Government for the first five years of NBN rollout (to June 2014) and the $22.4b expenditure recommendations of the implementation study.
The funding shortfall is revealed in a Parliamentary Library "Background Note" issued today 16 August. Its stated aim is "to inform the reader as to the identified Government funding allocation for the NBN relative to estimated or expected costs of the project, based on all publicly available information at the time of writing."
It also raises the issue of a lack of any cost benefit analysis, saying: "The importance of costs within the economic context is that they are directly linked to any consideration of net benefit," but immediately qualifies this by observing that a government simply has to find the money. "In the political context, the expected Government funding costs of the NBN must eventually be incorporated into the budget process."
The Government had not formally responded to the implementation study when Parliament was dissolved but it did discuss NBN funding in and appendix ('Statement of Risks") its Pre-election Economic and Fiscal Outlook (PEFO), released in July.
This document states: "The Government made provision in the 2010-11 Budget of $18.3b over the forward estimates (including $18.1b in equity) for the roll-out of the NBN based on the recommendations of the NBN Implementation Study."
However it then canvasses the possibility of additional expenditure under the eventual agreement with Telstra, saying: "The exact timing and quantum of Government funding for the NBN, including payments by the Government and NBN Co in relation to the agreement with Telstra on the rollout of the NBN, will be determined in the Government's response to the Implementation Study and costs could arise as part of settlement of the Definitive Agreements between NBN Co and Telstra."
$5.6b NBN funding shortfall revealed
see also Identified National Broadband Network (NBN) funding sources and allocations
and Pre-election Economic and Fiscal Outlook (PEFO)
The funding shortfall is revealed in a Parliamentary Library "Background Note" issued today 16 August. Its stated aim is "to inform the reader as to the identified Government funding allocation for the NBN relative to estimated or expected costs of the project, based on all publicly available information at the time of writing."
It also raises the issue of a lack of any cost benefit analysis, saying: "The importance of costs within the economic context is that they are directly linked to any consideration of net benefit," but immediately qualifies this by observing that a government simply has to find the money. "In the political context, the expected Government funding costs of the NBN must eventually be incorporated into the budget process."
The Government had not formally responded to the implementation study when Parliament was dissolved but it did discuss NBN funding in and appendix ('Statement of Risks") its Pre-election Economic and Fiscal Outlook (PEFO), released in July.
This document states: "The Government made provision in the 2010-11 Budget of $18.3b over the forward estimates (including $18.1b in equity) for the roll-out of the NBN based on the recommendations of the NBN Implementation Study."
However it then canvasses the possibility of additional expenditure under the eventual agreement with Telstra, saying: "The exact timing and quantum of Government funding for the NBN, including payments by the Government and NBN Co in relation to the agreement with Telstra on the rollout of the NBN, will be determined in the Government's response to the Implementation Study and costs could arise as part of settlement of the Definitive Agreements between NBN Co and Telstra."
$5.6b NBN funding shortfall revealed
see also Identified National Broadband Network (NBN) funding sources and allocations
and Pre-election Economic and Fiscal Outlook (PEFO)
Friday, August 13, 2010
Australia - scrapping the NBN plan will cost 700 IT skilled jobs
[media-newswire.com] Julia Gillard’s plans to bring 700 highly skilled National Broadband Network jobs to Melbourne will be scrapped under Tony Abbott’s broadband plans released today.
Treasurer and Minister for Information and Communications Technology Minister John Lenders said it was a disgrace that Tony Abbott and Ted Baillieu would abandon plans to build the NBN’s national operations centre in Melbourne.
“Tony Abbott and Ted Baillieu are set to be the biggest Victorian job-killers since the Global Financial Crisis,” Mr Lenders said.
“We campaigned hard to bring the hub of the National Broadband Network to Melbourne only for Tony Abbott and Ted Baillieu to try to take it away.
“While Tony Abbott is set to rip the heart out of Victoria’s economic future Ted Baillieu is too weak to stand up to Mr Abbott and too weak to stand up for Victorian jobs.
“Only Julia Gillard and John Brumby will bring the 700 highly skilled NBN jobs to Melbourne.
“Ted Baillieu has never had to work a day in his life and he does not value jobs – that’s why he opposes the new jobs at the National Broadband Network, our major events industry, new investment in renewable energy and the channel deepening project which secures jobs and investment for the future.”
Mr Lenders said under Julia Gillard’s plan Victoria was set to capitalise on an exciting economic future.
“Securing the NBN in Melbourne sets up the next phase of Victoria’s economy – following Victoria’s historic agricultural, mining, manufacturing and services phases,” Mr Lenders said.
“Labor’s National Broadband Network will deliver hundreds of jobs to young Victorians looking for a rewarding career in a city with an exciting ICT future.
“Tony Abbott’s plan means no new jobs for Victorians and Ted Baillieu is a weak lightweight who does not have what it takes to stand up for Victorian families.
“Tony Abbott and Ted Baillieu don’t understand why the National Broadband Network is so important for Victoria’s economy and for long term job growth into the future.”
ABBOTT AND BAILLIEU TO SCRAP 700 VICTORIAN NBN JOBS
Treasurer and Minister for Information and Communications Technology Minister John Lenders said it was a disgrace that Tony Abbott and Ted Baillieu would abandon plans to build the NBN’s national operations centre in Melbourne.
“Tony Abbott and Ted Baillieu are set to be the biggest Victorian job-killers since the Global Financial Crisis,” Mr Lenders said.
“We campaigned hard to bring the hub of the National Broadband Network to Melbourne only for Tony Abbott and Ted Baillieu to try to take it away.
“While Tony Abbott is set to rip the heart out of Victoria’s economic future Ted Baillieu is too weak to stand up to Mr Abbott and too weak to stand up for Victorian jobs.
“Only Julia Gillard and John Brumby will bring the 700 highly skilled NBN jobs to Melbourne.
“Ted Baillieu has never had to work a day in his life and he does not value jobs – that’s why he opposes the new jobs at the National Broadband Network, our major events industry, new investment in renewable energy and the channel deepening project which secures jobs and investment for the future.”
Mr Lenders said under Julia Gillard’s plan Victoria was set to capitalise on an exciting economic future.
“Securing the NBN in Melbourne sets up the next phase of Victoria’s economy – following Victoria’s historic agricultural, mining, manufacturing and services phases,” Mr Lenders said.
“Labor’s National Broadband Network will deliver hundreds of jobs to young Victorians looking for a rewarding career in a city with an exciting ICT future.
“Tony Abbott’s plan means no new jobs for Victorians and Ted Baillieu is a weak lightweight who does not have what it takes to stand up for Victorian families.
“Tony Abbott and Ted Baillieu don’t understand why the National Broadband Network is so important for Victoria’s economy and for long term job growth into the future.”
ABBOTT AND BAILLIEU TO SCRAP 700 VICTORIAN NBN JOBS
Australia - Telstra say incumbent monopoly rent is gone forever
[the australian] AFTER a $20 billion investment with little or nothing to show for it, the stark reality is the company has to start all over again.
Chief executive David Thodey was right to draw a line in the sand and set new, significantly lower benchmarks for the company. But the near 10 per cent fall in the share price, wiping $3.9bn from the company's value, tells you shareholders have had enough.
That's more than $1bn the company has vowed to spend in product promotion and customer service to put an end to sustained market-share erosion.
The share price reaction would not have surprised anyone at Telstra, and in fact Thodey's presentation yesterday was excellent in the scheme of things, even if the market didn't like the message.
Beyond the short-term hip-pocket concerns, the overwhelming good news -- if you take Thodey at his word -- is that finally someone is approaching the structural problems from the side of the customer.
Start of sidebar. Skip to end of sidebar.
End of sidebar. Return to start of sidebar.
In theory, better customer service should multiply sales.
Thodey admits incumbent monopoly rent is gone forever -- which helps explain why he was prepared to listen to Stephen Conroy about the money on offer to participate in the NBN build -- but the company will be on a more sustainable footing.
The market was not primed for patience, given new concerns offshore. Thodey is not talking about slashing margins as a temporary measure.
Delivering bad news once is not career-ending, but the pressure is now on to deliver the changes promised and to show signs the strategy is working by this time next year.
Just to add to the pressure, Optus's Paul O'Sullivan reported his best quarterly earnings growth for five years and his seventh straight quarter of double-digit revenue growth.
For Thodey, that is the price of incumbency. If managed badly it can prove more of a curse than a benefit, which explains why he is talking up massive changes.
Telstra chief executive David Thodey lowers benchmarks after profit fall
Chief executive David Thodey was right to draw a line in the sand and set new, significantly lower benchmarks for the company. But the near 10 per cent fall in the share price, wiping $3.9bn from the company's value, tells you shareholders have had enough.
That's more than $1bn the company has vowed to spend in product promotion and customer service to put an end to sustained market-share erosion.
The share price reaction would not have surprised anyone at Telstra, and in fact Thodey's presentation yesterday was excellent in the scheme of things, even if the market didn't like the message.
Beyond the short-term hip-pocket concerns, the overwhelming good news -- if you take Thodey at his word -- is that finally someone is approaching the structural problems from the side of the customer.
Start of sidebar. Skip to end of sidebar.
End of sidebar. Return to start of sidebar.
In theory, better customer service should multiply sales.
Thodey admits incumbent monopoly rent is gone forever -- which helps explain why he was prepared to listen to Stephen Conroy about the money on offer to participate in the NBN build -- but the company will be on a more sustainable footing.
The market was not primed for patience, given new concerns offshore. Thodey is not talking about slashing margins as a temporary measure.
Delivering bad news once is not career-ending, but the pressure is now on to deliver the changes promised and to show signs the strategy is working by this time next year.
Just to add to the pressure, Optus's Paul O'Sullivan reported his best quarterly earnings growth for five years and his seventh straight quarter of double-digit revenue growth.
For Thodey, that is the price of incumbency. If managed badly it can prove more of a curse than a benefit, which explains why he is talking up massive changes.
Telstra chief executive David Thodey lowers benchmarks after profit fall
Australia - Opposition leader seen as clueless in his handling of broadband plan
[smh] Opposition Leader Tony Abbott says he's "no Bill Gates" and he proved it again last night in a "town hall" session at Rooty Hill RSL, causing some online ridicule.
The man who wants to be Australia's next prime minister had no idea there was a debate raging about creating an R18+ rating for video games and told the audience "for me broadband basically is about being able to send an email, receive an email".
Abbott's car analogy for broadband was turned on its head by one audience member to much laughter, but this was left out of the official transcript released by the Liberal Party.
Abbott justified his lack of knowledge on broadband yesterday, saying "just because you don't know exactly how every last detail of the motor car works doesn't mean that you can't drive it effectively".
He continued the car analogy at Rooty Hill RSL last night when asked by an audience member how he could guarantee his mishmash of technologies, including wireless, would be better than Labor's fibre-to-the-home plan.
"I might want a really fantastic car, but I've got to buy the car that I can afford, not necessarily the car that in a perfect world I would like," he said.
In a line left out of the official transcript distributed by his spokesman, Abbott was skewered by the audience member who turned the tables on his car metaphor.
"If your car is going to break down anyway, why not just spend the money [on a better solution]?" she said, to much laughter.
Abbott responded: "I know wireless, at the moment, is not as good as fibre optic cable ... but the wireless is getting so much better, I mean, I've upgraded my wireless modem a few times in the last couple of years and it's amazing how much quicker it is now than it was."
His continued opposition to the government's broadband plans met with some ridicule on Twitter.
"If Tony Abbott was PM 100 years ago we would have never built a telephone service across the country," Bonne Eggleston wrote.
On Tuesday night, Abbott struggled to explain the basics of his broadband policy, saying he was not a "tech head".
He was widely criticised after promising to junk the government's $43 billion National Broadband Network (NBN) without properly explaining why his $6 billion plan was better for the country's future.
Prime Minister Julia Gillard refused to be drawn into the fray last night, saying she did not intend to criticise Abbott for not knowing technical details about broadband.
"We need to build the National Broadband Network for the future. I will build it. He will not. That's the problem. Not whether he knows some technical details about it," she said.
Industry experts and small business groups have universally panned the Coalition's policy, saying it would not substantially improve today's broadband speeds and would lead to Australia falling further behind the rest of the world.
Today, NBN Co. announced that the NBN would be capable of speeds of up to 1 gigabit per second, 10 times faster than first announced and significantly faster than the Coalition's promised minimum speed of 12 megabits per second.
The Opposition Leader was asked last night by TAFE student Vietus about whether he had any policies relating to an R18+ rating for video games, which at the moment does not exist, causing games that don't reach the MA15+ standard to be banned from sale.
"I didn't know there was a problem here ... what sort of stuff is available?" Abbott asked.
Vietus explained the disparity between film and video game classification, whereby the former category had an R18+ rating but games did not. He said adults should be able to choose what they want to play.
"Well look, if what happens with video games is not roughly analogous to what happens in other areas, that seems silly and there ought to be much the same kind of information available to consumers in respect of video games as there are in respect of other kinds of entertainment," Abbott said.
"So, instinctively, I'm with you and it's something that I'd be happy to look at were we in government."
The Greens are the only major party so far to offer a firm commitment to introducing an R18+ rating for games but, regardless, any changes to classification laws require the agreement of all state and federal attorneys-general.
The games issue was on the agenda for discussion at a Standing Committee of Attorneys-General (SCAG) meeting last month, but this was cancelled due to the federal election. It is now not expected to be considered until late this year.
Ron Curry, chief executive of the games industry body the Interactive Games and Entertainment Association, said he was somewhat heartened by Abbott's comments but "you've got to look at that in context of (a) he didn't understand the issue and (b) we're on the campaign trail - and ultimately it's still got to through SCAG".
Cyber sphere's verdict: Abbott.com clueless
The man who wants to be Australia's next prime minister had no idea there was a debate raging about creating an R18+ rating for video games and told the audience "for me broadband basically is about being able to send an email, receive an email".
Abbott's car analogy for broadband was turned on its head by one audience member to much laughter, but this was left out of the official transcript released by the Liberal Party.
Abbott justified his lack of knowledge on broadband yesterday, saying "just because you don't know exactly how every last detail of the motor car works doesn't mean that you can't drive it effectively".
He continued the car analogy at Rooty Hill RSL last night when asked by an audience member how he could guarantee his mishmash of technologies, including wireless, would be better than Labor's fibre-to-the-home plan.
"I might want a really fantastic car, but I've got to buy the car that I can afford, not necessarily the car that in a perfect world I would like," he said.
In a line left out of the official transcript distributed by his spokesman, Abbott was skewered by the audience member who turned the tables on his car metaphor.
"If your car is going to break down anyway, why not just spend the money [on a better solution]?" she said, to much laughter.
Abbott responded: "I know wireless, at the moment, is not as good as fibre optic cable ... but the wireless is getting so much better, I mean, I've upgraded my wireless modem a few times in the last couple of years and it's amazing how much quicker it is now than it was."
His continued opposition to the government's broadband plans met with some ridicule on Twitter.
"If Tony Abbott was PM 100 years ago we would have never built a telephone service across the country," Bonne Eggleston wrote.
On Tuesday night, Abbott struggled to explain the basics of his broadband policy, saying he was not a "tech head".
He was widely criticised after promising to junk the government's $43 billion National Broadband Network (NBN) without properly explaining why his $6 billion plan was better for the country's future.
Prime Minister Julia Gillard refused to be drawn into the fray last night, saying she did not intend to criticise Abbott for not knowing technical details about broadband.
"We need to build the National Broadband Network for the future. I will build it. He will not. That's the problem. Not whether he knows some technical details about it," she said.
Industry experts and small business groups have universally panned the Coalition's policy, saying it would not substantially improve today's broadband speeds and would lead to Australia falling further behind the rest of the world.
Today, NBN Co. announced that the NBN would be capable of speeds of up to 1 gigabit per second, 10 times faster than first announced and significantly faster than the Coalition's promised minimum speed of 12 megabits per second.
The Opposition Leader was asked last night by TAFE student Vietus about whether he had any policies relating to an R18+ rating for video games, which at the moment does not exist, causing games that don't reach the MA15+ standard to be banned from sale.
"I didn't know there was a problem here ... what sort of stuff is available?" Abbott asked.
Vietus explained the disparity between film and video game classification, whereby the former category had an R18+ rating but games did not. He said adults should be able to choose what they want to play.
"Well look, if what happens with video games is not roughly analogous to what happens in other areas, that seems silly and there ought to be much the same kind of information available to consumers in respect of video games as there are in respect of other kinds of entertainment," Abbott said.
"So, instinctively, I'm with you and it's something that I'd be happy to look at were we in government."
The Greens are the only major party so far to offer a firm commitment to introducing an R18+ rating for games but, regardless, any changes to classification laws require the agreement of all state and federal attorneys-general.
The games issue was on the agenda for discussion at a Standing Committee of Attorneys-General (SCAG) meeting last month, but this was cancelled due to the federal election. It is now not expected to be considered until late this year.
Ron Curry, chief executive of the games industry body the Interactive Games and Entertainment Association, said he was somewhat heartened by Abbott's comments but "you've got to look at that in context of (a) he didn't understand the issue and (b) we're on the campaign trail - and ultimately it's still got to through SCAG".
Cyber sphere's verdict: Abbott.com clueless
Australia - Tasmania considering making a connection to the fibre NBN as mandatory
[abc] The State Government is hoping to make an announcement soon about whether to make connecting to the National Broadband Network mandatory for Tasmanians, if Federal Labor is re-elected.
The Premier David Bartlett believes the best strategy is to hook up all Tasmanian homes and businesses to the NBN, and then let people opt out if they do not want to be connected.
But another option is to not give Tasmanians a choice, and make connecting to the NBN mandatory.
He expects to make a decision within weeks.
"I don't want to pre-empt any other announcements but we are looking very closely at this matter," Mr Bartlett said.
Doug Campbell of NBN Tas has reminded Tasmanians they can be connected to the broadband network free of charge as part of the current rollout.
He says if they decide later to join up, they will have to pay.
"If the crews leave town and we've got to bring them back in because somebody else says, 'I'd like a drop [cable connection]', or a group of people do, then we've got to go to some extra expense to build those, and we will be charging the retail service providers for those additional drops.
"It probably would be in the order of $300 per call," he said.
Mandatory NBN a possibility for Tasmanians
The Premier David Bartlett believes the best strategy is to hook up all Tasmanian homes and businesses to the NBN, and then let people opt out if they do not want to be connected.
But another option is to not give Tasmanians a choice, and make connecting to the NBN mandatory.
He expects to make a decision within weeks.
"I don't want to pre-empt any other announcements but we are looking very closely at this matter," Mr Bartlett said.
Doug Campbell of NBN Tas has reminded Tasmanians they can be connected to the broadband network free of charge as part of the current rollout.
He says if they decide later to join up, they will have to pay.
"If the crews leave town and we've got to bring them back in because somebody else says, 'I'd like a drop [cable connection]', or a group of people do, then we've got to go to some extra expense to build those, and we will be charging the retail service providers for those additional drops.
"It probably would be in the order of $300 per call," he said.
Mandatory NBN a possibility for Tasmanians
Wednesday, August 11, 2010
Australia - after announcing its new broadband policy, the opposition left it to one back bencher to explain the details
[the australian] THE last Coalition politician working the room after Tuesday's broadband debate at the National Press Club was neither Tony Smith nor Andrew Robb.
They departed as soon as the show was over.
The job was left to first-time MP Paul Fletcher. A former Optus executive and adviser to former communications minister Richard Alston, Fletcher is widely regarded as the architect of the opposition's broadband policy, which was unveiled by Smith and Robb at a rambling news conference two hours before the debate.
After Tony Abbott's fumbling performance on The 7.30 Report, during which the Opposition Leader told Kerry O'Brien, "If you want to drag me into a technical discussion here, I'm not going to be very successful", it appears Fletcher has adopted the role of party spokesman.
It was Fletcher who fronted Jon Faine on ABC radio in Melbourne yesterday after requests for appearances by Abbott, Smith and Robb were knocked back.
Smith's only broadcast interview yesterday was on rival network MTR.
In normal circumstances a frontbencher would hit the airwaves after announcing a much-anticipated $6.3 billion initiative during a tight election campaign.
There is growing concern that the opposition has lost its chance to keep the heat on the government over its plan to spend $43bn building the National Broadband Network, a massive infrastructure project dreamed up and implemented by Labor without a cost-benefit analysis. And some of the harshest criticism is coming from inside the Coalition. Some Liberal MPs are asking why the detail of the Coalition's policy, which relies on private sector backing and a complicated mix of different wireless, fibre and copper technologies, was withheld until this week.
The plan was criticised by industry figures and commentators. Many have a vested interest in the optical fibre technology favoured by Labor, but the dissenting voices in the Liberal Party argue they should never have been given the opportunity to voice their concerns during the campaign.
"Now is not the time to be getting bogged down in detail," one said.
But the more damaging criticism is that Smith has lost the argument about fiscal responsibility during a campaign in which Labor's ability to spend public money is meant to be a central issue.
Julia Gillard last month responded to cabinet leaks about her scrutiny of a pension increase by saying: "I held them up to the light . . . I asked every question, because I wanted to satisfy myself they were affordable: affordable today and affordable tomorrow."
Why, some conservative MPs are asking, is Labor not being held to the same standard on NBN?
The broadband debate is complicated but at its heart lies a simple ideological division.
The Coalition is offering an "affordable" network with lesser technology and lower baseline speeds (12 megabits per second). Its plan relies on private sector involvement. The government believes that business can't be trusted and is making a bet on one expensive technology (fibre) that should serve consumers further into the future but provides blazing speeds (100mbps) that many Australians may not need.
Smith did not pursue Communications Minister Stephen Conroy over the speed issue at the National Press Club this week. This is despite Malcolm Turnbull giving an impassioned speech just three day earlier at a forum in his Sydney electorate of Wentworth in which he described the NBN as "a gigantic torching of taxpayers' money".
Turnbull went on to argue "there simply isn't demand at the household and every small business level for internet at that speed, at a price which would make it even remotely financially viable."
The issue of Labor's accounting treatment was also largely ignored during the debate. Conroy describes the NBN as a commercial investment that will generate a commercial return because it enables him to keep most of the cost off the budget bottom line. But the probability of a modest return is treated with great scepticism by many observers, including the Business Council of Australia and the telecommunications companies that declined to invest in the original version of NBN Co.
Royal Bank of Scotland analyst Ian Martin told clients yesterday: "One of our key concerns with the ALP government's NBN policy is the mismatch of resources proposed to be spent -- that is, $43bn -- with benefits unlikely to come close to this."
Smith declined a request for an interview. Through a spokesman, he said: "Our responsible and affordable plan was discussed by myself and my colleagues in the media today. We will continue to promote the benefits of our approach and the failings of Labor . . . until election day."
Smith, who is a former staffer to Peter Costello, took over the communications spokesman's role from Nick Minchin during a cabinet reshuffle in December.
Minchin took any opportunity to get stuck into Conroy over the NBN and was a strong defender of the rights of Telstra's 1.4 million shareholders. Comparisons were being made between Minchin's more aggressive style and Smith's approach yesterday.
During his time as a Costello staffer, Smith was sometimes so careful that he would sometimes respond to questions by saying: "Off the record -- no comment". It is a similar risk-adverse strategy that is raising eyebrows this week.
Libs lost for words over broadband plans
They departed as soon as the show was over.
The job was left to first-time MP Paul Fletcher. A former Optus executive and adviser to former communications minister Richard Alston, Fletcher is widely regarded as the architect of the opposition's broadband policy, which was unveiled by Smith and Robb at a rambling news conference two hours before the debate.
After Tony Abbott's fumbling performance on The 7.30 Report, during which the Opposition Leader told Kerry O'Brien, "If you want to drag me into a technical discussion here, I'm not going to be very successful", it appears Fletcher has adopted the role of party spokesman.
It was Fletcher who fronted Jon Faine on ABC radio in Melbourne yesterday after requests for appearances by Abbott, Smith and Robb were knocked back.
Smith's only broadcast interview yesterday was on rival network MTR.
In normal circumstances a frontbencher would hit the airwaves after announcing a much-anticipated $6.3 billion initiative during a tight election campaign.
There is growing concern that the opposition has lost its chance to keep the heat on the government over its plan to spend $43bn building the National Broadband Network, a massive infrastructure project dreamed up and implemented by Labor without a cost-benefit analysis. And some of the harshest criticism is coming from inside the Coalition. Some Liberal MPs are asking why the detail of the Coalition's policy, which relies on private sector backing and a complicated mix of different wireless, fibre and copper technologies, was withheld until this week.
The plan was criticised by industry figures and commentators. Many have a vested interest in the optical fibre technology favoured by Labor, but the dissenting voices in the Liberal Party argue they should never have been given the opportunity to voice their concerns during the campaign.
"Now is not the time to be getting bogged down in detail," one said.
But the more damaging criticism is that Smith has lost the argument about fiscal responsibility during a campaign in which Labor's ability to spend public money is meant to be a central issue.
Julia Gillard last month responded to cabinet leaks about her scrutiny of a pension increase by saying: "I held them up to the light . . . I asked every question, because I wanted to satisfy myself they were affordable: affordable today and affordable tomorrow."
Why, some conservative MPs are asking, is Labor not being held to the same standard on NBN?
The broadband debate is complicated but at its heart lies a simple ideological division.
The Coalition is offering an "affordable" network with lesser technology and lower baseline speeds (12 megabits per second). Its plan relies on private sector involvement. The government believes that business can't be trusted and is making a bet on one expensive technology (fibre) that should serve consumers further into the future but provides blazing speeds (100mbps) that many Australians may not need.
Smith did not pursue Communications Minister Stephen Conroy over the speed issue at the National Press Club this week. This is despite Malcolm Turnbull giving an impassioned speech just three day earlier at a forum in his Sydney electorate of Wentworth in which he described the NBN as "a gigantic torching of taxpayers' money".
Turnbull went on to argue "there simply isn't demand at the household and every small business level for internet at that speed, at a price which would make it even remotely financially viable."
The issue of Labor's accounting treatment was also largely ignored during the debate. Conroy describes the NBN as a commercial investment that will generate a commercial return because it enables him to keep most of the cost off the budget bottom line. But the probability of a modest return is treated with great scepticism by many observers, including the Business Council of Australia and the telecommunications companies that declined to invest in the original version of NBN Co.
Royal Bank of Scotland analyst Ian Martin told clients yesterday: "One of our key concerns with the ALP government's NBN policy is the mismatch of resources proposed to be spent -- that is, $43bn -- with benefits unlikely to come close to this."
Smith declined a request for an interview. Through a spokesman, he said: "Our responsible and affordable plan was discussed by myself and my colleagues in the media today. We will continue to promote the benefits of our approach and the failings of Labor . . . until election day."
Smith, who is a former staffer to Peter Costello, took over the communications spokesman's role from Nick Minchin during a cabinet reshuffle in December.
Minchin took any opportunity to get stuck into Conroy over the NBN and was a strong defender of the rights of Telstra's 1.4 million shareholders. Comparisons were being made between Minchin's more aggressive style and Smith's approach yesterday.
During his time as a Costello staffer, Smith was sometimes so careful that he would sometimes respond to questions by saying: "Off the record -- no comment". It is a similar risk-adverse strategy that is raising eyebrows this week.
Libs lost for words over broadband plans
Australia - Opposition leader in Tasmania supports plans of both govt and his own party
[abc] The Tasmanian Liberals say it will be up to voters to decide whether the Federal Opposition's alternative national broadband policy is a good one.
The Coalition would scrap Labor's 43 billion dollar NBN if it wins the election and instead spend just over $6 billion to encourage the private sector to extend broadband services.
The fibre optic cable that has already been rolled out in Tasmania would be sold off under the Coalition's plan.
The State Liberal Leader Will Hodgman has previously stated his support for Labor's NBN.
Now he says he likes both options.
"I support the fact that we have two strong commitments to improve broadband connectivity here in Tasmania," Mr Hodgman said.
"I think that's a positive thing.
"Now it's a question for Tasmanians how they vote in 10 days time, it's a question for Tasmanians to make their own assessments, the fact that we now have broadband in Tasmania on the drawing board, two policies there, is a positive thing."
Mr Hodgman is leaving it up to the Coalition to sell the merits of its new policy.
"I don't think my federal colleagues are going to be desperately hingeing on my response to their policies," he said.
The Premier David Bartlett says he has done the maths and the Federal Opposition's policy is not good.
"If you boil it all down it amounts to less than a billion dollars going into regional telecommunications over the next eight years in Australia," the Premier said.
Will Hodgman says both policies improve internet services for Tasmanians.
Tas Libs' two bob each way on rival NBN plans
The Coalition would scrap Labor's 43 billion dollar NBN if it wins the election and instead spend just over $6 billion to encourage the private sector to extend broadband services.
The fibre optic cable that has already been rolled out in Tasmania would be sold off under the Coalition's plan.
The State Liberal Leader Will Hodgman has previously stated his support for Labor's NBN.
Now he says he likes both options.
"I support the fact that we have two strong commitments to improve broadband connectivity here in Tasmania," Mr Hodgman said.
"I think that's a positive thing.
"Now it's a question for Tasmanians how they vote in 10 days time, it's a question for Tasmanians to make their own assessments, the fact that we now have broadband in Tasmania on the drawing board, two policies there, is a positive thing."
Mr Hodgman is leaving it up to the Coalition to sell the merits of its new policy.
"I don't think my federal colleagues are going to be desperately hingeing on my response to their policies," he said.
The Premier David Bartlett says he has done the maths and the Federal Opposition's policy is not good.
"If you boil it all down it amounts to less than a billion dollars going into regional telecommunications over the next eight years in Australia," the Premier said.
Will Hodgman says both policies improve internet services for Tasmanians.
Tas Libs' two bob each way on rival NBN plans
Tuesday, August 10, 2010
Australia - Labor wants to give us South Korea's Internet speeds, with North Korea's Internet controls
[abc] There's a joke making the rounds today, and it goes like this: "Labor wants to give us South Korea's Internet speeds, with North Korea's Internet controls."
You want another joke? The Coalition's broadband policy.
For a nation which has historically underinvested in its vital national infrastructure (roads, rail, energy, stop me if you've heard this before) even this seems a bit hard to swallow. Apparently for the Coalition, technological development came to a screeching halt back in 2007. The Coalition wants to bring everyone in Australia up to the same standards that many folks who lived in Australia's major metropolitan areas could purchase back three years ago - presuming, of course, that Telstra hadn't blocked their particular exchange from competitors, leaving them with expensive but low-speed broadband.
Yet the Coalition wants to propagate this failed system. Worse, they want to shower billions of dollars on players already shown to be unethical actors in the private market, in the hope that out of this largesse comes enough broadband to get the digeratti to STFU. And maybe they will, for a few years. But what happens when the next great round of innovations come pouring out of a country which invested in its internet infrastructure, innovations which require ever-high-broadband speeds? Ooops, that's right, we're stuck using the same copper wires we installed a century ago. And copper has limits. You can't send a billion bits a second over a piece of copper wire, because that turns the wire into an antenna, and all those bits just radiate away into the air.
The imperfect politics of broadband
You want another joke? The Coalition's broadband policy.
For a nation which has historically underinvested in its vital national infrastructure (roads, rail, energy, stop me if you've heard this before) even this seems a bit hard to swallow. Apparently for the Coalition, technological development came to a screeching halt back in 2007. The Coalition wants to bring everyone in Australia up to the same standards that many folks who lived in Australia's major metropolitan areas could purchase back three years ago - presuming, of course, that Telstra hadn't blocked their particular exchange from competitors, leaving them with expensive but low-speed broadband.
Yet the Coalition wants to propagate this failed system. Worse, they want to shower billions of dollars on players already shown to be unethical actors in the private market, in the hope that out of this largesse comes enough broadband to get the digeratti to STFU. And maybe they will, for a few years. But what happens when the next great round of innovations come pouring out of a country which invested in its internet infrastructure, innovations which require ever-high-broadband speeds? Ooops, that's right, we're stuck using the same copper wires we installed a century ago. And copper has limits. You can't send a billion bits a second over a piece of copper wire, because that turns the wire into an antenna, and all those bits just radiate away into the air.
The imperfect politics of broadband
Australia - Oppositon questioned on proposal for cheaper alternative to national broadband network
[abc] The Tasmanian Premier has described Coalition plans to sell existing National Broadband Network infrastructure as a "ridiculous" move that will entrench Telstra's monopoly in the state.
The Coalition would scrap Labor's $43 billion NBN if it wins the election and instead spend just over $6 billion to encourage the private sector to extend broadband services.
Fibre optic cable already rolled out in Tasmania would be sold to the private sector.
The Liberal Party's Communications spokesman Tony Smith says its plan is cheaper and will be driven by competition.
"On Tasmania, what we've said is clearly we're winding up the NBN, but the fibre that's there and the infrastructure that's there, we'll be selling that to the private sector so they can run services."
The Tasmanian Premier David Bartlett has described the plan as economic vandalism that would cost jobs, stifle industries and rob Tasmanians of better services.
He says the plan is a "bitter betrayal" of regional Australia, particularly Tasmania; he believes it would be a giant step backwards for regional towns and would send Tasmania back to the technological dark ages.
"To sell those assets back, that we over 10 years as a State Government have worked for and are now working for with the Commonwealth Government... to sell that back to Telstra will further entrench for decades to come the Telstra monopoly here in Tasmania, and frankly right across regional Australia," Mr Bartlett said.
Backwards step
Consumer group Digital Tasmania is also unimpressed with the Federal Opposition's plan.
Spokesman Andrew Connor says private investment has already proven ineffective, and the plan is a backwards step.
"The whole reason for the NBN coming into being is because the private sector had failed to adequately service customers in Tasmania and across Australia," Mr Connor said.
"That's why we need a ubiquitous network that provides consistent and reliable connections across the country.
"[Instead] we're going to go from having fibre to 93 per cent of homes in Tasmania down to an unknown number, getting an unknown speed."
Half of the homes and businesses in the three Tasmanian towns involved in stage one of the NBN rollout have had the infrastructure connected.
Opposition NBN plan under attack
The Coalition would scrap Labor's $43 billion NBN if it wins the election and instead spend just over $6 billion to encourage the private sector to extend broadband services.
Fibre optic cable already rolled out in Tasmania would be sold to the private sector.
The Liberal Party's Communications spokesman Tony Smith says its plan is cheaper and will be driven by competition.
"On Tasmania, what we've said is clearly we're winding up the NBN, but the fibre that's there and the infrastructure that's there, we'll be selling that to the private sector so they can run services."
The Tasmanian Premier David Bartlett has described the plan as economic vandalism that would cost jobs, stifle industries and rob Tasmanians of better services.
He says the plan is a "bitter betrayal" of regional Australia, particularly Tasmania; he believes it would be a giant step backwards for regional towns and would send Tasmania back to the technological dark ages.
"To sell those assets back, that we over 10 years as a State Government have worked for and are now working for with the Commonwealth Government... to sell that back to Telstra will further entrench for decades to come the Telstra monopoly here in Tasmania, and frankly right across regional Australia," Mr Bartlett said.
Backwards step
Consumer group Digital Tasmania is also unimpressed with the Federal Opposition's plan.
Spokesman Andrew Connor says private investment has already proven ineffective, and the plan is a backwards step.
"The whole reason for the NBN coming into being is because the private sector had failed to adequately service customers in Tasmania and across Australia," Mr Connor said.
"That's why we need a ubiquitous network that provides consistent and reliable connections across the country.
"[Instead] we're going to go from having fibre to 93 per cent of homes in Tasmania down to an unknown number, getting an unknown speed."
Half of the homes and businesses in the three Tasmanian towns involved in stage one of the NBN rollout have had the infrastructure connected.
Opposition NBN plan under attack
Monday, August 09, 2010
Australia - Opposition denounces staff in NBN Co as "talentless"
[computerworld] Shadow Minister of Finance and Debt Reduction, Andrew Robb, has used the launch of the Opposition’s national broadband policy to attack National Broadband Network wholesaler, NBN Co, claiming it is filled with talentless staff.
Speaking at Parliament House in Canberra, Robb claimed that by virtue of being a government-owned company, NBN Co would be unable to attract quality staff with the drive to create innovative telecommunication solutions for the country.
“NBN Co will not attract these highly skilled, highly innovative, highly specialised talents. Many of them will go oversees. They will not go and join a stodgy government bureaucracy with all its rules and bureaucracy and dictate to the Australian community,” he said.
“These people value being part of an entrepreneurial creative industry and that is what we will seek to promote. Australia will go backward in telecommunications compared with the rest of the world if this $43 billion fully owned government monopoly takes place.”
In contrast, the Opposition’s broadband policy and its proposed ‘National Broadband Commission’ would ensure that the drive of the private sector could be harnessed for national benefit.
“We will ensure that the innovative potential, the highly specialised creative talents within the private sector telco companies will be applied to provide exciting and leading options to the Australian community,” he said.
Some of the major hires at NBN Co include the head of Westpac IT sourcing; former Queensland Labor MP, [artnid: 335597|Mike Kaiser|new]]; former Telstra CEO speech writer Cassandra Scott; and the company's chief executive and former Alcatel-Lucent global COO, Mike Quigley.
Robb’s comments follow the launch of the Coalition’s national broadband vision, which would see the “unleashing” of competition through the private sector deployment of broadband across arrange of technologies, according to Shadow Communications Minister, Tony Smith.
The plan would see $2.75 billion of public money combined with at least $750 million of private sector funding to create an open access optic fibre backhaul network which all telecommunications companies could access.
“This will break the competition problems, this will break the bottleneck which has been holding back competition and investment in broadband, particularly in rural and regional Australia,” he said.
“This together with associated regulatory reform will remove the roadblocks and drive a cycle of future improvements and higher speeds across a range of technologies.”
NBN Co talentless: Liberals' Robb
Speaking at Parliament House in Canberra, Robb claimed that by virtue of being a government-owned company, NBN Co would be unable to attract quality staff with the drive to create innovative telecommunication solutions for the country.
“NBN Co will not attract these highly skilled, highly innovative, highly specialised talents. Many of them will go oversees. They will not go and join a stodgy government bureaucracy with all its rules and bureaucracy and dictate to the Australian community,” he said.
“These people value being part of an entrepreneurial creative industry and that is what we will seek to promote. Australia will go backward in telecommunications compared with the rest of the world if this $43 billion fully owned government monopoly takes place.”
In contrast, the Opposition’s broadband policy and its proposed ‘National Broadband Commission’ would ensure that the drive of the private sector could be harnessed for national benefit.
“We will ensure that the innovative potential, the highly specialised creative talents within the private sector telco companies will be applied to provide exciting and leading options to the Australian community,” he said.
Some of the major hires at NBN Co include the head of Westpac IT sourcing; former Queensland Labor MP, [artnid: 335597|Mike Kaiser|new]]; former Telstra CEO speech writer Cassandra Scott; and the company's chief executive and former Alcatel-Lucent global COO, Mike Quigley.
Robb’s comments follow the launch of the Coalition’s national broadband vision, which would see the “unleashing” of competition through the private sector deployment of broadband across arrange of technologies, according to Shadow Communications Minister, Tony Smith.
The plan would see $2.75 billion of public money combined with at least $750 million of private sector funding to create an open access optic fibre backhaul network which all telecommunications companies could access.
“This will break the competition problems, this will break the bottleneck which has been holding back competition and investment in broadband, particularly in rural and regional Australia,” he said.
“This together with associated regulatory reform will remove the roadblocks and drive a cycle of future improvements and higher speeds across a range of technologies.”
NBN Co talentless: Liberals' Robb
Australia - Different parties set out their views on telecoms in the Federal Election Campaign
[sbs] Stephen Conroy, Tony Smith and Scott Ludlam have outlined their parties' policies on information and communication technologies (ICT) during a debate at the National Press Club in Canberra.
Sky News' David Speers moderated the event, which was hosted by the Australian Computer Society.
Labor Communications Minister Stephen Conroy made the opening remarks, saying communications and technology "are profoundly changing our economy".
Senator Conroy says implementing a National Broadband Network (NBN) is necessary to compete in a global economy, and would make Australia internationally-competitive.
Mr Conroy says the NBN will benefit small businesses and create new jobs.
The Senator says an NBN will have important repercussions for remote education, online medical assistance and will allow elderly Australians to stay in their own homes longer.
Mr Conroy says Australia "will pay" for not implementing the NBN in the future.
Coalition Communications spokesman Tony Smith took the podium next, espousing the importance of research and collaboration in the technology sector.
"All of us agree improving Australia's broadband infrastructure is critical," Mr Smith says.
Mr Smith says the major difference between the two main parties is how their broadband plans are costed and carried out.
He says the Coalition's broadband plan would not be solely funded by the public, but would look to the private sector to help ease the funding burden.
The Liberal MP also slammed the Labor Government's Internet filter plan, saying the Coalition did not think it was workable.
Mr Smith says education and engagement was the best way to ensure online safety. He says the Coalition will try to help parents make the right decision when it comes to Internet safety.
Greens' Senator Scott Ludlam was the last of the three to speak in the debate. He welcomed the inclusion of his party in such a debate, hailing as a first in this election campaign.
Mr Ludlam says his party fundamentally agrees with an NBN, but says the scheme should stay in public hands.
"This technology is going to connect us with emerging markets..." Mr Ludlam says.
He says, should the Greens become the balance of power, that they will hold the major parties accountable on issues relating to the web filter and NBN.
Senator Ludlam says there are no incentives for the market to roll out broadband in remote and regional communities.
Mr Smith says the Coalition would implement the basics and allow market competition to complete the rest of the infrastructure.
He says broadband speeds will continue to get faster as market competition increases in broadband services.
Mr Conroy says the web filter will stop paedophiles from accessing pages promoting child pornography, pro-rape, pro-terrorism and bestiality - pages that are already refused classification in Australia.
Senator Conroy accused the Coalition and Greens of not doing anything to stop these pages with their refusal to back the web filter.
Mr Smith and Mr Ludlam both argued against the filter, saying it would slow down Internet speeds and would be fairly easy to circumvent.
MPs tussle over future of communications
Sky News' David Speers moderated the event, which was hosted by the Australian Computer Society.
Labor Communications Minister Stephen Conroy made the opening remarks, saying communications and technology "are profoundly changing our economy".
Senator Conroy says implementing a National Broadband Network (NBN) is necessary to compete in a global economy, and would make Australia internationally-competitive.
Mr Conroy says the NBN will benefit small businesses and create new jobs.
The Senator says an NBN will have important repercussions for remote education, online medical assistance and will allow elderly Australians to stay in their own homes longer.
Mr Conroy says Australia "will pay" for not implementing the NBN in the future.
Coalition Communications spokesman Tony Smith took the podium next, espousing the importance of research and collaboration in the technology sector.
"All of us agree improving Australia's broadband infrastructure is critical," Mr Smith says.
Mr Smith says the major difference between the two main parties is how their broadband plans are costed and carried out.
He says the Coalition's broadband plan would not be solely funded by the public, but would look to the private sector to help ease the funding burden.
The Liberal MP also slammed the Labor Government's Internet filter plan, saying the Coalition did not think it was workable.
Mr Smith says education and engagement was the best way to ensure online safety. He says the Coalition will try to help parents make the right decision when it comes to Internet safety.
Greens' Senator Scott Ludlam was the last of the three to speak in the debate. He welcomed the inclusion of his party in such a debate, hailing as a first in this election campaign.
Mr Ludlam says his party fundamentally agrees with an NBN, but says the scheme should stay in public hands.
"This technology is going to connect us with emerging markets..." Mr Ludlam says.
He says, should the Greens become the balance of power, that they will hold the major parties accountable on issues relating to the web filter and NBN.
Senator Ludlam says there are no incentives for the market to roll out broadband in remote and regional communities.
Mr Smith says the Coalition would implement the basics and allow market competition to complete the rest of the infrastructure.
He says broadband speeds will continue to get faster as market competition increases in broadband services.
Mr Conroy says the web filter will stop paedophiles from accessing pages promoting child pornography, pro-rape, pro-terrorism and bestiality - pages that are already refused classification in Australia.
Senator Conroy accused the Coalition and Greens of not doing anything to stop these pages with their refusal to back the web filter.
Mr Smith and Mr Ludlam both argued against the filter, saying it would slow down Internet speeds and would be fairly easy to circumvent.
MPs tussle over future of communications
Australia - Opposition plans to sell off the National Broadband Network, replacing it with a much cheaper alternative
[abc] The Coalition has confirmed it will sell off Tasmania's National Broadband Network infrastructure if elected.
The Federal Opposition has unveiled its $6 billion alternative to Labor's NBN in Canberra today.
Communications spokesman Tony Smith says the plan is cheaper and will be driven by competition.
"On Tasmania, what we've said is clearly we're winding up NBN but fibre that's there and the infrastructure that's there, we'll be selling that to the private sector so they can run services," he said.
The NBN has so far been rolled out in three Tasmanian towns; Midway Point, Scottsdale and Smithton in the far north-west.
Opposition to sell off Tasmania's NBN
The Federal Opposition has unveiled its $6 billion alternative to Labor's NBN in Canberra today.
Communications spokesman Tony Smith says the plan is cheaper and will be driven by competition.
"On Tasmania, what we've said is clearly we're winding up NBN but fibre that's there and the infrastructure that's there, we'll be selling that to the private sector so they can run services," he said.
The NBN has so far been rolled out in three Tasmanian towns; Midway Point, Scottsdale and Smithton in the far north-west.
Opposition to sell off Tasmania's NBN
Wednesday, August 04, 2010
Saudi Arabia - Blackberry risks loss of market growth due to the threat to its high level of security
[bloomberg] Research In Motion Ltd., maker of the BlackBerry smartphone, risks losing out on expansion in Saudi Arabia after the Arab world’s largest economy ordered a service suspension this week.
“The company is in a pretty tricky position now,” said Matthew Reed, a senior analyst for the Middle East and Africa at U.K. business data provider and publisher Informa Plc. “Part of the BlackBerry’s appeal is that it offers high levels of security and that same factor is what’s getting it blocked.”
Saudi Arabia ordered phone companies operating in the kingdom to suspend BlackBerry services starting Aug. 6. The move follows a decision this week by the United Arab Emirates, home to Middle East business hub Dubai, to shut BlackBerry data and messaging functions the government can’t monitor.
BlackBerry’s service doesn’t meet regulatory requirements, Saudi Arabia’s Communications and Information Technology Commission said in a statement via the state-run Saudi Press Agency yesterday. It didn’t specify the requirements or say which services will be blocked. BlackBerrys let users send e- mail, browse the Internet and make phone calls. Al-Arabiya television reported today that only the messenger service will be suspended.
RIM didn’t have an immediate comment on the Saudi Arabian decision when contacted by Bloomberg today. Waterloo, Ontario- based RIM said yesterday it “cooperates with all governments with a consistent standard and the same degree of respect.”
Saudi BlackBerry Suspension Cuts Service in Biggest Arab Market
“The company is in a pretty tricky position now,” said Matthew Reed, a senior analyst for the Middle East and Africa at U.K. business data provider and publisher Informa Plc. “Part of the BlackBerry’s appeal is that it offers high levels of security and that same factor is what’s getting it blocked.”
Saudi Arabia ordered phone companies operating in the kingdom to suspend BlackBerry services starting Aug. 6. The move follows a decision this week by the United Arab Emirates, home to Middle East business hub Dubai, to shut BlackBerry data and messaging functions the government can’t monitor.
BlackBerry’s service doesn’t meet regulatory requirements, Saudi Arabia’s Communications and Information Technology Commission said in a statement via the state-run Saudi Press Agency yesterday. It didn’t specify the requirements or say which services will be blocked. BlackBerrys let users send e- mail, browse the Internet and make phone calls. Al-Arabiya television reported today that only the messenger service will be suspended.
RIM didn’t have an immediate comment on the Saudi Arabian decision when contacted by Bloomberg today. Waterloo, Ontario- based RIM said yesterday it “cooperates with all governments with a consistent standard and the same degree of respect.”
Saudi BlackBerry Suspension Cuts Service in Biggest Arab Market
Thailand - AIS and Microsoft are offering a SIM Card with MSN Live Messenger for those without smartphones
[bangkok post] Advanced Info Service (AIS) has joined with Microsoft to introduce a 'Chat Sim' for mobile phones, a first in Asia-Pacific, aiming to spur its mobile data business.
The two companies developed the Chat Sim, which embeds MSN Windows Live Messenger and can be used in all normal phones, in response to the fast-growing use of mobile social networking, said Somchai Lertsutiwong, executive vice-president of the country's largest mobile operator.
"Target groups are MSN users who don't own smartphones and our existing One-2-Call users who enjoy using MSN online," he said.
AIS estimates its One-2-Call prepaid customers will reach 27 million and 20%, fewer than 6 million, own smartphones.
"We believe that our new product will not reduce revenue from short message service because the new product serves a different purpose of communication," said Anake Anantwatanapong, assistant vice-president for prepaid management of AIS.
The company estimated that the overall telecommunication market will grow 5% this year, above the previous target of 3%, as the country's economy was recovering. Mobile data business may grow 30% this year, with AIS holding more than a 50% market share.
Mark Britt, Microsoft's general manager for consumer and online services in Asia-Pacific, said the company would benefit because more people would have easier access to MSN. Currently, 6.5 million Thais have MSN accounts and almost 10 million have Hotmail accounts.
AIS, MSN offer Chat Sim
The two companies developed the Chat Sim, which embeds MSN Windows Live Messenger and can be used in all normal phones, in response to the fast-growing use of mobile social networking, said Somchai Lertsutiwong, executive vice-president of the country's largest mobile operator.
"Target groups are MSN users who don't own smartphones and our existing One-2-Call users who enjoy using MSN online," he said.
AIS estimates its One-2-Call prepaid customers will reach 27 million and 20%, fewer than 6 million, own smartphones.
"We believe that our new product will not reduce revenue from short message service because the new product serves a different purpose of communication," said Anake Anantwatanapong, assistant vice-president for prepaid management of AIS.
The company estimated that the overall telecommunication market will grow 5% this year, above the previous target of 3%, as the country's economy was recovering. Mobile data business may grow 30% this year, with AIS holding more than a 50% market share.
Mark Britt, Microsoft's general manager for consumer and online services in Asia-Pacific, said the company would benefit because more people would have easier access to MSN. Currently, 6.5 million Thais have MSN accounts and almost 10 million have Hotmail accounts.
AIS, MSN offer Chat Sim
RIM-BlackBerry - the problem is that it is too secure and that some governments want to monitor personal and commercial communications
[voxy] Citing national security concerns, the United Arab Emirates (UAE) has announced that in October it will begin banning Blackberry Messenger, Blackberry email and Blackberry web browsing.
The reason that the UAE is concerned is due to the way that Research In Motion (RIM) handles BlackBerry data. Unlike most phones, BlackBerry data is encrypted and routed overseas through RIM’s network center in Canada. This means that it is impossible to monitor the encrypted data being sent via the Blackberry. According to The Wall Street Journal, the ban came after RIM rejected the idea of setting up a proxy server within the UAE - a server that would have given the UAE government easy access for monitoring.
Mohammed al-Ghanem, the chief of the UAE’s Telecommunications Regulatory Authority, stated that “In the public interest, we have today informed the providers of telecommunications services in the country of our decision to suspend the Blackberry services of messenger, email and electronic browsing." Without the ability to monitor electronic data, the UAE would have to request that RIM to turn over data for criminal investigations.
In many cases, the investigations are of a nature that the security agency would not even want an outside organization, like RIM, to know the details or even that an investigation exists. The government announcment stated that the "decision is based on the fact that, in their current form, certain BlackBerry services allow users to act without any legal accountability, causing judicial, social and national-security concerns.”
It appears that the UAE announcement got the ball rolling. Shortly after the UAE announcement, Saudi Arabian telecoms and a government official said that Saudi Arabia would be banning the BlackBerry Messenger feature this month. These two markets are not key markets for RIM, though visitors to these markets with Blackberry devices would also be affected.
A larger issue is brewing in India where the government and RIM held talks Wednesday aimed at ending a standoff sparked by the Indian government's demand that the BlackBerry maker provide it with decryption tools that would allow it to monitor traffic across the company's messaging servers. With over one million Blackberry users in India - the issue has much bigger financial risks for RIM.
RIM has remained mute on all thee issues with the simple statement that "RIM does not disclose confidential regulatory discussions that take place with any government."
Blackberry's Challenge - It's Too Secure
The reason that the UAE is concerned is due to the way that Research In Motion (RIM) handles BlackBerry data. Unlike most phones, BlackBerry data is encrypted and routed overseas through RIM’s network center in Canada. This means that it is impossible to monitor the encrypted data being sent via the Blackberry. According to The Wall Street Journal, the ban came after RIM rejected the idea of setting up a proxy server within the UAE - a server that would have given the UAE government easy access for monitoring.
Mohammed al-Ghanem, the chief of the UAE’s Telecommunications Regulatory Authority, stated that “In the public interest, we have today informed the providers of telecommunications services in the country of our decision to suspend the Blackberry services of messenger, email and electronic browsing." Without the ability to monitor electronic data, the UAE would have to request that RIM to turn over data for criminal investigations.
In many cases, the investigations are of a nature that the security agency would not even want an outside organization, like RIM, to know the details or even that an investigation exists. The government announcment stated that the "decision is based on the fact that, in their current form, certain BlackBerry services allow users to act without any legal accountability, causing judicial, social and national-security concerns.”
It appears that the UAE announcement got the ball rolling. Shortly after the UAE announcement, Saudi Arabian telecoms and a government official said that Saudi Arabia would be banning the BlackBerry Messenger feature this month. These two markets are not key markets for RIM, though visitors to these markets with Blackberry devices would also be affected.
A larger issue is brewing in India where the government and RIM held talks Wednesday aimed at ending a standoff sparked by the Indian government's demand that the BlackBerry maker provide it with decryption tools that would allow it to monitor traffic across the company's messaging servers. With over one million Blackberry users in India - the issue has much bigger financial risks for RIM.
RIM has remained mute on all thee issues with the simple statement that "RIM does not disclose confidential regulatory discussions that take place with any government."
Blackberry's Challenge - It's Too Secure
Monday, August 02, 2010
Australia - in the election campaign, ALP has promised to extend the national broadband network to some outlying towns
[smh] Prime Minister Julia Gillard threw billions at broadband and highway networks on Friday, while former Labor leader Kevin Rudd threw her a bouquet - offering to come back swinging for her campaign.
The prime minister spent the day touring the marginal Perth electorate of Hasluck, won by Labor backbencher Sharryn Jackson in 2007 with the help of preferences.
The prime minister's first announcement was a promise to broaden access to the $43 billion National Broadband Network from 90 per cent of premises in the country to 93 per cent.
An extra 300,000 homes will be covered by the extension, so that towns like Cooma, on the edge of the Snowy Mountains, and Weipa, on the Gulf of Carpentaria, will have fibre optic internet access.
The announcement was overshadowed by news later in the day that Mr Rudd, who was ousted by Ms Gillard in June, was in hospital and being prepared for surgery.
Mr Rudd's office issued a statement saying he would undergo an operation to remove his gall bladder but would be back campaigning next week for Ms Gillard's re-election.
"Mr Rudd looks forward to resuming campaign activities next week both in his own electorate, elsewhere in Queensland and the rest of the country as appropriate in support of the re-election of the government and prime minister Gillard," the spokeswoman said.
"We would obviously wish him well and a speedy recovery and the best of treatment and care in hospital," Ms Gillard said.
Communications Minister Stephen Conroy stood beside Ms Gillard for the broadband announcement at the headquarters of Visionstream, a Perth-based company involved in building the backbone of the network.
At a morning tea with senior citizens in Hasluck, Ms Gillard chatted about the possibility of boosting assistance for older people to learn about computers.
"This will be a big help, if we can get the broadband," David Sadler told Ms Gillard.
Labor also made a pledge to untangle the roads around Perth airport, but the offer met some scepticism.
Transport Minister Anthony Albanese, making his first appearance on Ms Gillard's campaign trail, faced an accusation Labor had made the same promise in the 2007 campaign.
"That's not true," was his curt reply.
Gillard unveils bigger broadband plan
The prime minister spent the day touring the marginal Perth electorate of Hasluck, won by Labor backbencher Sharryn Jackson in 2007 with the help of preferences.
The prime minister's first announcement was a promise to broaden access to the $43 billion National Broadband Network from 90 per cent of premises in the country to 93 per cent.
An extra 300,000 homes will be covered by the extension, so that towns like Cooma, on the edge of the Snowy Mountains, and Weipa, on the Gulf of Carpentaria, will have fibre optic internet access.
The announcement was overshadowed by news later in the day that Mr Rudd, who was ousted by Ms Gillard in June, was in hospital and being prepared for surgery.
Mr Rudd's office issued a statement saying he would undergo an operation to remove his gall bladder but would be back campaigning next week for Ms Gillard's re-election.
"Mr Rudd looks forward to resuming campaign activities next week both in his own electorate, elsewhere in Queensland and the rest of the country as appropriate in support of the re-election of the government and prime minister Gillard," the spokeswoman said.
"We would obviously wish him well and a speedy recovery and the best of treatment and care in hospital," Ms Gillard said.
Communications Minister Stephen Conroy stood beside Ms Gillard for the broadband announcement at the headquarters of Visionstream, a Perth-based company involved in building the backbone of the network.
At a morning tea with senior citizens in Hasluck, Ms Gillard chatted about the possibility of boosting assistance for older people to learn about computers.
"This will be a big help, if we can get the broadband," David Sadler told Ms Gillard.
Labor also made a pledge to untangle the roads around Perth airport, but the offer met some scepticism.
Transport Minister Anthony Albanese, making his first appearance on Ms Gillard's campaign trail, faced an accusation Labor had made the same promise in the 2007 campaign.
"That's not true," was his curt reply.
Gillard unveils bigger broadband plan
Australia - Use of mobile phones of planes will be possible, but at international mobile roaming rates
[abc] Australians could soon be able to use their mobile phones in flight after the latest ruling from the national communications watchdog.
Phones were banned on board flights because of their potential to interfere with navigational equipment but new technology has changed that.
The Australian Communications and Media Authority (ACMA) has now approved phone use after consultation with the Civil Aviation Safety Authority.
ACMA spokesman Chris Chapman says it is now up to airlines to decide what services can be used.
"Whether they have simple tweeting or data download availability or allow full-scale voice-calls, which is the matter that probably would irk a lot of people understandably, that's a matter entirely for the airlines," he said.
But Mr Chapman says a special on-board system that relays mobile signals must be installed.
"This particular technology, which was the one applied for, has been approved and that will give the optionality, if you like, to the airlines."
But that system cannot carry more than one signal provider, which means phone use could be limited to customers of one telecommunications network.
The pico-cell control unit blocks onboard mobile handsets from receiving signals from terrestrial base stations and the pico-cell acts as a base station and transmits to terrestrial networks via satellite.
So far, only one carrier, Aeromobile, a subsidiary of Norwegian telco Telenor, is able to provide the service, which will cost users international roaming charges despite the communications taking place in domestic skies.
Texts alone can be up to 10 times the price of standards texts.
In its submission to ACMA, Telstra said the proposed scheme would artificially restrict mobile traffic to one provider aboard each aircraft and deny Australian consumers access to the country's competitive mobile market.
ACMA says that should alternative, safe methods of mobile communication on aircraft be proposed for commercial operation in future, including those that access Australia's terrestrial networks, then it will move to consider those methods.
Mobiles to take off on Australian flights
Phones were banned on board flights because of their potential to interfere with navigational equipment but new technology has changed that.
The Australian Communications and Media Authority (ACMA) has now approved phone use after consultation with the Civil Aviation Safety Authority.
ACMA spokesman Chris Chapman says it is now up to airlines to decide what services can be used.
"Whether they have simple tweeting or data download availability or allow full-scale voice-calls, which is the matter that probably would irk a lot of people understandably, that's a matter entirely for the airlines," he said.
But Mr Chapman says a special on-board system that relays mobile signals must be installed.
"This particular technology, which was the one applied for, has been approved and that will give the optionality, if you like, to the airlines."
But that system cannot carry more than one signal provider, which means phone use could be limited to customers of one telecommunications network.
The pico-cell control unit blocks onboard mobile handsets from receiving signals from terrestrial base stations and the pico-cell acts as a base station and transmits to terrestrial networks via satellite.
So far, only one carrier, Aeromobile, a subsidiary of Norwegian telco Telenor, is able to provide the service, which will cost users international roaming charges despite the communications taking place in domestic skies.
Texts alone can be up to 10 times the price of standards texts.
In its submission to ACMA, Telstra said the proposed scheme would artificially restrict mobile traffic to one provider aboard each aircraft and deny Australian consumers access to the country's competitive mobile market.
ACMA says that should alternative, safe methods of mobile communication on aircraft be proposed for commercial operation in future, including those that access Australia's terrestrial networks, then it will move to consider those methods.
Mobiles to take off on Australian flights
UAE - Operators are working to find an alternative that would enable Blackberry services which are to be banned
[gulf news] The UAE's two telecom operators Emirates Telecommunication Corporation (etisalat) and Emirates Integrated Telecommunications Company (du) will develop "alternative" products and service for BlackBerry users as the country's regulator suspends current services on the device.
The Telecommunications Regulatory Authority (TRA) on Sunday announced its decision to suspend BlackBerry services by October 11 and instructed operators to "ensure minimal consumer disruption in the provision of alternative services"
Etisalat spokesperson Ahmad Bin Ali told Gulf News that there would be a lot of alternative services, but did not provide any clarification. "Alternatives and all information will be announced hopefully this week, as we just received the announcement from TRA today," Ali said on Sunday.
A TRA spokesperson said that all operators — etisalat, du and Research In Motion (RIM), the Canadian maker of BlackBerry — are working to find a service that falls under the TRA regulation and the UAE law. The regulator has earlier said that due to the level of security on the devices and their inaccessibility to third-parties, poses a national security threat. It has been in talks with RIM to work around the issue, but the manufacturer has not said it would make any changes for the UAE.
It declined to comment on the suspension order when contacted by Gulf News.
"With no solution available and in the public interest, in order to affect resolution of this issue, as of October 11, 2010, Blackberry Messenger, Blackberry Email and Blackberry Web-browsing services will be suspended until an acceptable solution can be developed and applied," TRA Director General Mohammad Al Ganem said in a statement.
BlackBerry suspension: Alternative services to be created
The Telecommunications Regulatory Authority (TRA) on Sunday announced its decision to suspend BlackBerry services by October 11 and instructed operators to "ensure minimal consumer disruption in the provision of alternative services"
Etisalat spokesperson Ahmad Bin Ali told Gulf News that there would be a lot of alternative services, but did not provide any clarification. "Alternatives and all information will be announced hopefully this week, as we just received the announcement from TRA today," Ali said on Sunday.
A TRA spokesperson said that all operators — etisalat, du and Research In Motion (RIM), the Canadian maker of BlackBerry — are working to find a service that falls under the TRA regulation and the UAE law. The regulator has earlier said that due to the level of security on the devices and their inaccessibility to third-parties, poses a national security threat. It has been in talks with RIM to work around the issue, but the manufacturer has not said it would make any changes for the UAE.
It declined to comment on the suspension order when contacted by Gulf News.
"With no solution available and in the public interest, in order to affect resolution of this issue, as of October 11, 2010, Blackberry Messenger, Blackberry Email and Blackberry Web-browsing services will be suspended until an acceptable solution can be developed and applied," TRA Director General Mohammad Al Ganem said in a statement.
BlackBerry suspension: Alternative services to be created
MVNO - Global subscribers forecase to reach 189 million by 2015, attracting new players as MVNOs
[prweb] In what was introduced as a reseller model in Europe, mobile virtual network operator (MVNO) has now evolved into a flourishing business strategy across the globe. Driven by the advancements in mobile technology, superior bandwidth and greater number of applications, which increase the usage of wireless technology, the MVNO business model attracts several new players cutting across various industry segments such as retailers, utilities, entertainment companies, fixed incumbents, and ISPs.
MVNOs have transformed over the years from being just a simple first generation resellers to second generation full MVNOs, capable of offering not just discount voice only services but also a comprehensive service mix to consumers. The mobile communications industry’s shift away from voice centric business to data centric business has set a perfect platform for MVNOs to prosper, given their focus on niche market segments and expertise in providing exciting content such as games and music. Despite the robust development of the market over the last few years, MVNOs have had their own share of challenges as well. More recently, the market suffered a huge set back with few high-profile MVNO failures, that include Disney, Mobile ESPN, Amp'd Mobile and Helio, which raised many a question on the very feasibility of the MVNO business model.
However, increased acceptance of MVNO business model in emerging markets such as Eastern Europe, and Latin America is lending traction to the global MVNO market. Eastern Europe, especially, is expected to turbo charge growth in MVNO subscriptions over the next few years as regulators seek to arouse further competition by awarding new MVNO licenses in countries such as, Bulgaria, Romania and Croatia.
A key MVNO strategy that promises to generate substantial opportunities for the market in the next few years is the dedicated focus on niche segments such as, music services, data services, health services, and luxury services, among others. Targeting lesser sought after consumer clusters such as youth, foreign workers, immigrants, ethnic demographic clusters, and tourists is expected to bring in new revenue generating opportunities for MVNOs. While first generation MVNOs simply offered voice only services at discount prices, the innovative next-generation MVNOs are fast focusing on offering more refined services that bring enhanced user experience and value by offering bespoke content, and are thereby creating significant value by taking their services into new market segments.
As stated in the new market research report, Europe continues to remain the largest regional market for MVNOs. Latin America on the other hand, displays the most robust outlook for the next few years, mirroring the fastest CAGR over the analysis period 2006-2015.
Key players in this marketplace include 7-Eleven Speak Out Wireless, AirVoice Wireless, Friendi Mobile, Japan Communications Inc., TracFone Wireless Inc. and Virgin Mobile, among others.
The report titled “Mobile Virtual Network Operators: A Global Strategic Business Report” announced by Global Industry Analysts, Inc., provides a review of noteworthy market trends, growth drivers and challenges. The report in addition also enumerates service launches and other strategic industry activities. The single segment report offers market estimates and projections for MVNO Subscribers (In Million) across regional market verticals such as, North America, Europe, Asia Pacific, Latin America, and Rest of World.
Global Subscribers for MVNO Services to Reach 188.83 Million by 2015, According to New Report by Global Industry Analysts, Inc
MVNOs have transformed over the years from being just a simple first generation resellers to second generation full MVNOs, capable of offering not just discount voice only services but also a comprehensive service mix to consumers. The mobile communications industry’s shift away from voice centric business to data centric business has set a perfect platform for MVNOs to prosper, given their focus on niche market segments and expertise in providing exciting content such as games and music. Despite the robust development of the market over the last few years, MVNOs have had their own share of challenges as well. More recently, the market suffered a huge set back with few high-profile MVNO failures, that include Disney, Mobile ESPN, Amp'd Mobile and Helio, which raised many a question on the very feasibility of the MVNO business model.
However, increased acceptance of MVNO business model in emerging markets such as Eastern Europe, and Latin America is lending traction to the global MVNO market. Eastern Europe, especially, is expected to turbo charge growth in MVNO subscriptions over the next few years as regulators seek to arouse further competition by awarding new MVNO licenses in countries such as, Bulgaria, Romania and Croatia.
A key MVNO strategy that promises to generate substantial opportunities for the market in the next few years is the dedicated focus on niche segments such as, music services, data services, health services, and luxury services, among others. Targeting lesser sought after consumer clusters such as youth, foreign workers, immigrants, ethnic demographic clusters, and tourists is expected to bring in new revenue generating opportunities for MVNOs. While first generation MVNOs simply offered voice only services at discount prices, the innovative next-generation MVNOs are fast focusing on offering more refined services that bring enhanced user experience and value by offering bespoke content, and are thereby creating significant value by taking their services into new market segments.
As stated in the new market research report, Europe continues to remain the largest regional market for MVNOs. Latin America on the other hand, displays the most robust outlook for the next few years, mirroring the fastest CAGR over the analysis period 2006-2015.
Key players in this marketplace include 7-Eleven Speak Out Wireless, AirVoice Wireless, Friendi Mobile, Japan Communications Inc., TracFone Wireless Inc. and Virgin Mobile, among others.
The report titled “Mobile Virtual Network Operators: A Global Strategic Business Report” announced by Global Industry Analysts, Inc., provides a review of noteworthy market trends, growth drivers and challenges. The report in addition also enumerates service launches and other strategic industry activities. The single segment report offers market estimates and projections for MVNO Subscribers (In Million) across regional market verticals such as, North America, Europe, Asia Pacific, Latin America, and Rest of World.
Global Subscribers for MVNO Services to Reach 188.83 Million by 2015, According to New Report by Global Industry Analysts, Inc
3G - Global subscribers are projected to reach 3.7 billion by 2015, with a rapid switch from 2G
[prweb] Third generation (3G) mobile communication technology has been heralded as an exemplary shift that is expected to irrevocably change the visage of the telecommunications industry. The business case for 3G has begun to build worldwide as most 3G networks now rollout effortlessly in comparison to the many hiccups experienced in initial years. The industry is experiencing the transition from voice-oriented 2G networks to a more advanced multi-service data-centric 3G network. With the introduction of 3G and 3.5G networks, mobile communication industry has broadened its horizon by facilitating broadband and Internet access to mobile users. Consumers will be offered ubiquitous and on-the-fly access to a wealth of value-added services. The evolution of 3G networks has spearheaded cost-effective wireless communications in both developed and developing nations. Propelled by superior data speed, improved access to multimedia services, video conferencing, these technologies are increasingly being deployed for fixed, mobile and portable uses.
The continued enhancements in 3G have led to further technological advancements in the form of EV-DO Rev. A, femtocells, HSDPA, that deliver outstanding capabilities, making 3G the paramount choice. Although capital intensive, 3G represents a long-term strategic investment, thus explaining the continued interest in 3G network deployments despite the economic slowdown. However, despite the enhanced multimedia capabilities and potential cost savings, spurred by increasing 3G/3.5G service usage, some operators may find it difficult in the short term to maintain investment plans for full-fledged transition from 2.5G to 3G/+ systems, due to the limited capital-raising opportunities at this time.
As stated by the new market research report on 3G/3.5G, Europe and Asia-Pacific (including Japan) collectively dominate the global 3G/3.5G subscriber base. Asia is expected to be a favorable market for 3G deployments over the next five years. While the boom in the Asia Pacific 3G market over the last few years was primarily driven by mass-scale deployments in Japan, the dynamism is now clearly pointing towards China. The number of 3G/3.5G subscribers in China is expected to significantly increase with rising number of network deployments.
Key players dominating the marketplace include, AT&T, China Mobile Limited, China Telecom Corporation Limited, China Unicom (Hong Kong) Limited, KDDI Corp., NTT DoCoMo Inc, SK Telecom, T-Mobile International AG & Co. KG, Vodafone Group Plc, among others.
The report titled “3G/3.5G: A Global Strategic Business Report” announced by Global Industry Analysts, Inc., provides a comprehensive review of industry overview, technology overview, product/service launches, profiles of major players, and recent industry activity. The report provides market estimates and projections for number of subscribers (In Millions) across major geographic markets such as North America, Europe, Asia-Pacific, Latin America, and rest of world. The study also analyzes the 3G/3.5G market by the following technology segments - WCDMA Pathway (UMTS, HSPA), CDMA Pathway (EV-DO, EV-DO Rev A,B).
Global 3G/3.5G Subscribers Are Projected to Reach 3.7 Billion by 2015, According to New Report by Global Industry Analysts
The continued enhancements in 3G have led to further technological advancements in the form of EV-DO Rev. A, femtocells, HSDPA, that deliver outstanding capabilities, making 3G the paramount choice. Although capital intensive, 3G represents a long-term strategic investment, thus explaining the continued interest in 3G network deployments despite the economic slowdown. However, despite the enhanced multimedia capabilities and potential cost savings, spurred by increasing 3G/3.5G service usage, some operators may find it difficult in the short term to maintain investment plans for full-fledged transition from 2.5G to 3G/+ systems, due to the limited capital-raising opportunities at this time.
As stated by the new market research report on 3G/3.5G, Europe and Asia-Pacific (including Japan) collectively dominate the global 3G/3.5G subscriber base. Asia is expected to be a favorable market for 3G deployments over the next five years. While the boom in the Asia Pacific 3G market over the last few years was primarily driven by mass-scale deployments in Japan, the dynamism is now clearly pointing towards China. The number of 3G/3.5G subscribers in China is expected to significantly increase with rising number of network deployments.
Key players dominating the marketplace include, AT&T, China Mobile Limited, China Telecom Corporation Limited, China Unicom (Hong Kong) Limited, KDDI Corp., NTT DoCoMo Inc, SK Telecom, T-Mobile International AG & Co. KG, Vodafone Group Plc, among others.
The report titled “3G/3.5G: A Global Strategic Business Report” announced by Global Industry Analysts, Inc., provides a comprehensive review of industry overview, technology overview, product/service launches, profiles of major players, and recent industry activity. The report provides market estimates and projections for number of subscribers (In Millions) across major geographic markets such as North America, Europe, Asia-Pacific, Latin America, and rest of world. The study also analyzes the 3G/3.5G market by the following technology segments - WCDMA Pathway (UMTS, HSPA), CDMA Pathway (EV-DO, EV-DO Rev A,B).
Global 3G/3.5G Subscribers Are Projected to Reach 3.7 Billion by 2015, According to New Report by Global Industry Analysts
Australia - Opposition parties face business opposition to cutting the national broadband plan
[it wire] The Coalition faces a significant business community backlash if it fails to deliver a broadband plan for Australia that at least matches the Government's existing National Broadband Network initiative, according to the internet sector’s peak industry body.
The Internet Industry Association says the argument that the $43 billion NBN plan was not "economically prudent" – which the Opposition has put forward under Leader Tony Abbott – was "irresponsible" and would rob the nation of critical new infrastructure.
The Coalition has not yet announced any details of its alternative broadband plan, saying only that it will put forward a better plan that will cost less later in the campaign.
It has said previously that while it would honour any existing contracts already entered as part of the NBN, it would halt the national roll-out of fibre to the home through the NBN Company.
IIA executive director Peter Coroneos said the association wants to see a consensus between the major parties on roll-out of ubiquitous fibre to the home, and that if the Coalition wants to differentiate itself, it should aim to out-do the Government by offering speeds in excess of 100Mbps.
"We fully appreciate the need for an opposition to distinguish themselves through different policies," Coroneos told iTWire.
"But on this policy we will say that it is of such significance to our national development and to our economic development that we remain very disappointed that they won’t support universal fibre access to the premises," he said.
"It is misguided to be attacking the policy on the basis of more prudent economic management. The truth of the matter is that the most irresponsible thing that we could do economically is to rob ourselves of the opportunity of rolling out infrastructure that it going to transform the economy."
"The question is not is it economically responsible to support the NBN, it is more that it is economically irresponsible to deny the nation the advantages of what the NBN will bring. And that is acknowledged by the whole industry," Coroneos said.
Election 2010: Halting NBN 'economically irresponsible'
The Internet Industry Association says the argument that the $43 billion NBN plan was not "economically prudent" – which the Opposition has put forward under Leader Tony Abbott – was "irresponsible" and would rob the nation of critical new infrastructure.
The Coalition has not yet announced any details of its alternative broadband plan, saying only that it will put forward a better plan that will cost less later in the campaign.
It has said previously that while it would honour any existing contracts already entered as part of the NBN, it would halt the national roll-out of fibre to the home through the NBN Company.
IIA executive director Peter Coroneos said the association wants to see a consensus between the major parties on roll-out of ubiquitous fibre to the home, and that if the Coalition wants to differentiate itself, it should aim to out-do the Government by offering speeds in excess of 100Mbps.
"We fully appreciate the need for an opposition to distinguish themselves through different policies," Coroneos told iTWire.
"But on this policy we will say that it is of such significance to our national development and to our economic development that we remain very disappointed that they won’t support universal fibre access to the premises," he said.
"It is misguided to be attacking the policy on the basis of more prudent economic management. The truth of the matter is that the most irresponsible thing that we could do economically is to rob ourselves of the opportunity of rolling out infrastructure that it going to transform the economy."
"The question is not is it economically responsible to support the NBN, it is more that it is economically irresponsible to deny the nation the advantages of what the NBN will bring. And that is acknowledged by the whole industry," Coroneos said.
Election 2010: Halting NBN 'economically irresponsible'
Australia - Internet industry has launched its own manifesto asking can the Internet be advanced or hobbled by politicians?
[iia] Today in Melbourne at 12.00pm the IIA launched its "manifesto on internet policy and regulation, with principles and recommendations to guide decision making".
"We'll be requesting political parties to respond to its recommendations over the coming weeks," IIA chief executive, Peter Coroneos, said.
"It asks the question, under what circumstances can the Internet in Australia be advanced or hobbled by politicians today."
The report argues that the speed of technological change outstrips the ability of legislation and legislators to keep up.
"Should or can they, regulate the internet to tackle social policy challenges arising in the wake of rapid technological change without damaging our capacity to innovate and compete?
If laws are passed, can they be enforced?
Is technology to blame or are we really dealing with age old human problems that neither laws nor technology can regulate?
These are questions implicit in this document," Coroneos said.
The document offers a reality check to the internet policy debate by urging a return to first principles such as where Australia stands against our western counterparts. It argues we tend to over-regulated in content matters for often symbolic political reasons.
"We lack a local research base to support proposals notably in areas of cyber crime and cyber safety," he said.
The document is the work of the Internet Industry Association. Given the diversity of IIA's broad based membership there are necessarily a range of opinions within the member base. Consequently, the perspectives, principles and recommendations contained within do not necessarily imply the endorsement of any individual member organisation.
IIA Manifesto 2010 launch
see also IIA Manifesto
"We'll be requesting political parties to respond to its recommendations over the coming weeks," IIA chief executive, Peter Coroneos, said.
"It asks the question, under what circumstances can the Internet in Australia be advanced or hobbled by politicians today."
The report argues that the speed of technological change outstrips the ability of legislation and legislators to keep up.
"Should or can they, regulate the internet to tackle social policy challenges arising in the wake of rapid technological change without damaging our capacity to innovate and compete?
If laws are passed, can they be enforced?
Is technology to blame or are we really dealing with age old human problems that neither laws nor technology can regulate?
These are questions implicit in this document," Coroneos said.
The document offers a reality check to the internet policy debate by urging a return to first principles such as where Australia stands against our western counterparts. It argues we tend to over-regulated in content matters for often symbolic political reasons.
"We lack a local research base to support proposals notably in areas of cyber crime and cyber safety," he said.
The document is the work of the Internet Industry Association. Given the diversity of IIA's broad based membership there are necessarily a range of opinions within the member base. Consequently, the perspectives, principles and recommendations contained within do not necessarily imply the endorsement of any individual member organisation.
IIA Manifesto 2010 launch
see also IIA Manifesto
Australia - Dominant media firms are concerned the national broadband network will open their market
[it wire] The national broadband network will act as a double edged sword for media organisations in Australia according to ABC managing director Mark Scott. While it will open a truly national market for broadband content, it will also encourage “upstart” entrants to the already crowded media landscape.
Speaking at a CEDA (Committee for Economic Development of Australia) Digital Economies conference in Sydney today, Scott warned that media regional organisations, which have to an extent been spared the worst of the online onslaught, should in the future expect greater competition from online content providers thanks to the reach of the NBN.
Meanwhile for large organisations the NBN was expected to provide access to much richer content. This transition to richer on-demand content was already underway with the launch of services such as the ABC’s iView said Scott.
“We will be launching iView on the iPad and you can carry with you all the ABC content from the last two weeks,” said Scott. The NBN will make such services available to more Australians as the reach of fast broadband extends.
Scott also announced that from today the ABC’s iPhone application allows users to download content from its newly launched 24 hour news service.
The ABC is not alone in tapping the iPad as a new platform for content. Media giants News Ltd and Fairfax have both unveiled iPad versions of their print products as they attempt to garner new audiences.
Scott however questioned the economics of the approach for commercial organisations. As a government funded non commercial network he acknowledged that for the ABC “It’s not about how much money we make out of iView, but how I find the money to develop it.”
NBN dangles sword over media companies
Speaking at a CEDA (Committee for Economic Development of Australia) Digital Economies conference in Sydney today, Scott warned that media regional organisations, which have to an extent been spared the worst of the online onslaught, should in the future expect greater competition from online content providers thanks to the reach of the NBN.
Meanwhile for large organisations the NBN was expected to provide access to much richer content. This transition to richer on-demand content was already underway with the launch of services such as the ABC’s iView said Scott.
“We will be launching iView on the iPad and you can carry with you all the ABC content from the last two weeks,” said Scott. The NBN will make such services available to more Australians as the reach of fast broadband extends.
Scott also announced that from today the ABC’s iPhone application allows users to download content from its newly launched 24 hour news service.
The ABC is not alone in tapping the iPad as a new platform for content. Media giants News Ltd and Fairfax have both unveiled iPad versions of their print products as they attempt to garner new audiences.
Scott however questioned the economics of the approach for commercial organisations. As a government funded non commercial network he acknowledged that for the ABC “It’s not about how much money we make out of iView, but how I find the money to develop it.”
NBN dangles sword over media companies
Australia - Opposition stands to lose votes from its promise to cut back the national broadband network
[it wire] It is one thing to say that climate change is crap but quite another to threaten to scrap a popular $43 billion nation building project. That appears to be the corner that the leader of the opposition Tony Abbott has painted himself into with his announced intention for the National Broadband Network.
Mr Abbott has campaigned upon a platform of economic responsibility having built up a formidable armoury of bullets to fire against the Rudd/Gillard Government after a number of costly project fiascos. However, he appears to have badly misjudged the mood of the electorate on the issue of the NBN.
Ben Shipley, the managing director of Brisbane-based telco Comscentre, typifies the mood of the powerful and influential Australian telecoms industry when he describes the Abbott Coalition plan as being from the “dark ages”.
“We’ve got a very clear and concise plan from the Labor Party but we’ve got nothing from the opposition except a threat to shut down the NBN,” Mr Shipley said.
“Are they going to throw away the billions that have already been spent and take us back to a Telstra monopoly, or are they going to do nothing and leave Australia like a Third World country?
“Without the NBN, Australia will stay in what has now become the Dark Ages of broadband.”
Aside from telcos like Comscentre who see the NBN as their great white hope of levelling the playing field against the Telstra monopoly, there are a myriad of suppliers to the telcos and NBNCo who will see their chances of reaping a whirlwind of lucrative contracts dashed if the Coalition wins and crushes the project.
However, it is not just the Australian telecommunications industry that stands to lose economically speaking if the NBN were to be quashed.
Coalition faces massive voter backlash over NBN scrap plan
Mr Abbott has campaigned upon a platform of economic responsibility having built up a formidable armoury of bullets to fire against the Rudd/Gillard Government after a number of costly project fiascos. However, he appears to have badly misjudged the mood of the electorate on the issue of the NBN.
Ben Shipley, the managing director of Brisbane-based telco Comscentre, typifies the mood of the powerful and influential Australian telecoms industry when he describes the Abbott Coalition plan as being from the “dark ages”.
“We’ve got a very clear and concise plan from the Labor Party but we’ve got nothing from the opposition except a threat to shut down the NBN,” Mr Shipley said.
“Are they going to throw away the billions that have already been spent and take us back to a Telstra monopoly, or are they going to do nothing and leave Australia like a Third World country?
“Without the NBN, Australia will stay in what has now become the Dark Ages of broadband.”
Aside from telcos like Comscentre who see the NBN as their great white hope of levelling the playing field against the Telstra monopoly, there are a myriad of suppliers to the telcos and NBNCo who will see their chances of reaping a whirlwind of lucrative contracts dashed if the Coalition wins and crushes the project.
However, it is not just the Australian telecommunications industry that stands to lose economically speaking if the NBN were to be quashed.
Coalition faces massive voter backlash over NBN scrap plan
Saudi Arabia - It is alleged that the Regulator will ban the use of Blackberry services this month for reasons of national security
[ndtv] A telecommunications official has said that Saudi Arabia will block BlackBerry messaging later this month.
The official did not explain why the decision had been made, but the announcement came hours after neighbouring United Arab Emirates said that it would block BlackBerry e-mail, messaging and Web access staring in October, citing security concerns because the devices operate beyond the government's ability to monitor their use.
Read more at: http://www.ndtv.com/article/world/saudi-arabia-uae-to-block-blackberry-services-41349?cp
Saudi Arabia, UAE to block BlackBerry services
The official did not explain why the decision had been made, but the announcement came hours after neighbouring United Arab Emirates said that it would block BlackBerry e-mail, messaging and Web access staring in October, citing security concerns because the devices operate beyond the government's ability to monitor their use.
Read more at: http://www.ndtv.com/article/world/saudi-arabia-uae-to-block-blackberry-services-41349?cp
Saudi Arabia, UAE to block BlackBerry services
Thailand - The proposal to convert concessions to licences presents legal and commercial challenges
[bangkok post] The hottest issue in recent weeks has been the proposal by the Finance Ministry to convert 2G mobile concessions granted by the TOT and CAT into a licence for 15 years to help the two agencies survive as the owners of the 2G network assets under the build-transfer-operate concession terms, a Thai Rath writer said.
However, the Thai Rath writer quoted the opinion of a telecom expert, who requested anonymity, that it was not easy to convert the existing concessions which run out in three, five and eight years to a new licence as both sides (AIS, DTAC, True, TOT and CAT) must all agree to amend the contracts.
Another hurdle to overcome is that under existing contracts there is no provision to extend the remaining contract terms to 15 years as it might require conforming to the Public Private Joint Venture Act 1992 and might contravene the Telecommunication Business Act 2001. The latter states that if the contractual parties agree to convert the original telecom concession and seek an operating licence from the National Telecommunication Commission, the NTC can only grant the licence to preserve the original rights and duration of the concession term.
"Don't forget that the telecom business value exceeds one billion baht [which is under the jurisdiction of the Public Private Joint Venture Act] and that extending the licence to 15 years may constitute a criminal act under Section 157 of the Criminal Code which forbids government officials from acting to benefit other parties, not the state," the expert said.
"Those who contemplate doing this must think long and hard as they might face a jail term if someone takes up this issue and files a lawsuit."
He cited the example of the Thaksin Shinawatra government which issued a regulation requiring part of the concession payment to be converted to an excise tax which was later found by the Supreme Court's Criminal Division for Holders of Political Position as not acting in the government's interests. This was the case even though the Finance Ministry imposed the tax and the regulation did not touch the concession's duration.
The expert cast doubt on whether the private operators would agree to terminate the existing 2G concession contract in return for a 15-year licence if they have to pay expensive 2G licence fees. The only exception is one mobile operator, whose concession expires in three years, who might not be able to secure financing to expand the existing 2G network as well as invest in the new 3G network as it is still in the red.
The existing mobile operators would prefer to concentrate on the new 3G network investment for which they will have to pay at least 12.8 billion baht for initial licence fees and at least 50 billion baht to expand the network in the first three years to cover at least 80% of the area as required by the NTC's terms of reference.
The expert said the proposal to convert the 2G concessions to a 15-year licence has come at the wrong time as such a complex issue should have been discussed and agreed previously. It is no good to agree to the proposal first and then thrash out the details later. The media must closely follow the issue to make sure the consumers get the most benefit from this change in concession terms.
Commenting on the coming 3G licence bid, the expert wanted the NTC to prescribe a maximum fee to be levied on consumers so they would not be overcharged. But he said the NTC should not demand that the initial licence fee bid be too high because it would place a burden on private operators and force them to pass on the costs to consumers.
"The government should not think about earning hefty fees from 3G licence bids as the state already earns 30% corporate tax as well as seven percent VAT. If the private operators earn more, the state also receives more in tax revenue," the expert said.
The NTC must prescribe that the 3G and 2G networks can interconnect (roaming) seamlessly as new 3G customers cannot use the 3G service effectively in the initial phase because of time constraints in constructing the national network.
This means 3G operators must be able to roam all 2G networks without being restricted to one particular 2G network so as to best benefit 3G consumers in terms of coverage and convenience.
As for the future of TOT and CAT, the expert did not think the organisations had many remaining options as their 2G networks will gradually deteriorate as it is well known TOT and CAT do not have expertise in maintaining network infrastructure because of their inefficient bureaucratic structures.
"Right now, both TOT and CAT have few options left to survive," he said.
"If they don't want to end up as a basket case like the State Railway, they should think about merging their organisations, dissolving or selling to the private operators.
"If they want to survive as a public corporation they must find a strong business ally to work with, otherwise the government will have to subsidise the two ailing bodies forever."
Pitfalls of 2G concession conversion
see also Thai Rath
However, the Thai Rath writer quoted the opinion of a telecom expert, who requested anonymity, that it was not easy to convert the existing concessions which run out in three, five and eight years to a new licence as both sides (AIS, DTAC, True, TOT and CAT) must all agree to amend the contracts.
Another hurdle to overcome is that under existing contracts there is no provision to extend the remaining contract terms to 15 years as it might require conforming to the Public Private Joint Venture Act 1992 and might contravene the Telecommunication Business Act 2001. The latter states that if the contractual parties agree to convert the original telecom concession and seek an operating licence from the National Telecommunication Commission, the NTC can only grant the licence to preserve the original rights and duration of the concession term.
"Don't forget that the telecom business value exceeds one billion baht [which is under the jurisdiction of the Public Private Joint Venture Act] and that extending the licence to 15 years may constitute a criminal act under Section 157 of the Criminal Code which forbids government officials from acting to benefit other parties, not the state," the expert said.
"Those who contemplate doing this must think long and hard as they might face a jail term if someone takes up this issue and files a lawsuit."
He cited the example of the Thaksin Shinawatra government which issued a regulation requiring part of the concession payment to be converted to an excise tax which was later found by the Supreme Court's Criminal Division for Holders of Political Position as not acting in the government's interests. This was the case even though the Finance Ministry imposed the tax and the regulation did not touch the concession's duration.
The expert cast doubt on whether the private operators would agree to terminate the existing 2G concession contract in return for a 15-year licence if they have to pay expensive 2G licence fees. The only exception is one mobile operator, whose concession expires in three years, who might not be able to secure financing to expand the existing 2G network as well as invest in the new 3G network as it is still in the red.
The existing mobile operators would prefer to concentrate on the new 3G network investment for which they will have to pay at least 12.8 billion baht for initial licence fees and at least 50 billion baht to expand the network in the first three years to cover at least 80% of the area as required by the NTC's terms of reference.
The expert said the proposal to convert the 2G concessions to a 15-year licence has come at the wrong time as such a complex issue should have been discussed and agreed previously. It is no good to agree to the proposal first and then thrash out the details later. The media must closely follow the issue to make sure the consumers get the most benefit from this change in concession terms.
Commenting on the coming 3G licence bid, the expert wanted the NTC to prescribe a maximum fee to be levied on consumers so they would not be overcharged. But he said the NTC should not demand that the initial licence fee bid be too high because it would place a burden on private operators and force them to pass on the costs to consumers.
"The government should not think about earning hefty fees from 3G licence bids as the state already earns 30% corporate tax as well as seven percent VAT. If the private operators earn more, the state also receives more in tax revenue," the expert said.
The NTC must prescribe that the 3G and 2G networks can interconnect (roaming) seamlessly as new 3G customers cannot use the 3G service effectively in the initial phase because of time constraints in constructing the national network.
This means 3G operators must be able to roam all 2G networks without being restricted to one particular 2G network so as to best benefit 3G consumers in terms of coverage and convenience.
As for the future of TOT and CAT, the expert did not think the organisations had many remaining options as their 2G networks will gradually deteriorate as it is well known TOT and CAT do not have expertise in maintaining network infrastructure because of their inefficient bureaucratic structures.
"Right now, both TOT and CAT have few options left to survive," he said.
"If they don't want to end up as a basket case like the State Railway, they should think about merging their organisations, dissolving or selling to the private operators.
"If they want to survive as a public corporation they must find a strong business ally to work with, otherwise the government will have to subsidise the two ailing bodies forever."
Pitfalls of 2G concession conversion
see also Thai Rath
UAE - Govt will suspend Blackberry services from 11th October as they threaten national security
[wsj] The United Arab Emirates telecommunications regulator has decided to suspend some BlackBerry services in the country from Oct. 11 until agreement is reached to bring the smartphone in line with local regulations.
The U.A.E. government last week said Research in Motion Ltd.'s BlackBerry was a potential threat to national security, while an Indian government official said Indian security agencies have raised unspecified concerns about BlackBerry services.
"Etisalat was informed today by the U.A.E. Telecom Regulatory Authority to suspend BlackBerry services providing email, web browsing, instant messaging and social networking from October 11, 2010 until an acceptable solution can be developed and applied which brings the BlackBerry services in line with the UAE's telecommunications regulations," Etisalat said in an emailed statement.
The U.A.E. regulator, in a statement posted on the emirates' news agency, or WAM, said BlackBerry Messenger, BlackBerry email and BlackBerry Web-browsing services would be affected by the service suspension.
Etisalat said it fully understands the legal and social considerations behind the U.A.E. regulator decision. "In line with its commitment towards its customers, Etisalat will soon be announcing a range of alternative mobility products and services for its existing BlackBerry customers," it added.
Research in Motion's email-delivery system is one of the main reasons for its success, but as the company expands internationally its airtight encryption of emails and instant messages is drawing scrutiny from some foreign governments, who want access to this content in the name of national security. International sales accounted for 46% of RIM's revenue in its latest quarter, up from 31% a year earlier.
Officials from RIM weren't immediately available for comment Sunday.
U.A.E. to Suspend Some BlackBerry Services
The U.A.E. government last week said Research in Motion Ltd.'s BlackBerry was a potential threat to national security, while an Indian government official said Indian security agencies have raised unspecified concerns about BlackBerry services.
"Etisalat was informed today by the U.A.E. Telecom Regulatory Authority to suspend BlackBerry services providing email, web browsing, instant messaging and social networking from October 11, 2010 until an acceptable solution can be developed and applied which brings the BlackBerry services in line with the UAE's telecommunications regulations," Etisalat said in an emailed statement.
The U.A.E. regulator, in a statement posted on the emirates' news agency, or WAM, said BlackBerry Messenger, BlackBerry email and BlackBerry Web-browsing services would be affected by the service suspension.
Etisalat said it fully understands the legal and social considerations behind the U.A.E. regulator decision. "In line with its commitment towards its customers, Etisalat will soon be announcing a range of alternative mobility products and services for its existing BlackBerry customers," it added.
Research in Motion's email-delivery system is one of the main reasons for its success, but as the company expands internationally its airtight encryption of emails and instant messages is drawing scrutiny from some foreign governments, who want access to this content in the name of national security. International sales accounted for 46% of RIM's revenue in its latest quarter, up from 31% a year earlier.
Officials from RIM weren't immediately available for comment Sunday.
U.A.E. to Suspend Some BlackBerry Services
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