Wednesday, May 30, 2012

Peter Martin: Build the NBN if you must, but please don't destroy working assets

Peter Martin: Build the NBN if you must, but please don't destroy working assets: "The Optus high speed cable internet network is a national asset. Comprising 25,000 kilometres of coaxial cable strung across 550,000 poles in Sydney, Melbourne and Brisbane supported by 7000 kilometres of fibre the provided Telstra with its first genuine competition, putting its own wires direct into half a million homes.

Telstra fought back with FoxTel, Optus got burnt and has probably never recovered the cost of stringing the cables. But from an economic point of view what’s important is that the asset exists. Its costs have been sunk. What Optus has now is an asset that costs relatively little to operate and can deliver peak download speeds of 100 Mbps - far faster anything on Telstra’s copper wires. "

'via Blog this'

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