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Topic # 11660 5-Feb-2007 12:27
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Unbundle, then invest

Hmmm... drop a nuke and worry about the fall out later? I guess then the Federated Farmers were right after all.

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  Reply # 59787 5-Feb-2007 12:38
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I don't see it as being an issue. Telecom have already said they don't care about providing broadband to rural customers. Once unbundling occurs and Telecom gets word of competitors looking at rolling out gear in areas that don't currently have broadband I'll put money on Telecom suddenly doing it themselves. Competition in a free market is a great thing.


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  Reply # 59790 5-Feb-2007 12:51
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therein lies the rub steve.... who is going to invest in the rural community, which would cause Telecom to rush to invest?




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  Reply # 59791 5-Feb-2007 14:02
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Jama does have a good point. It's something many people have been saying all along. Rural users are going to get shafted.

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  Reply # 59793 5-Feb-2007 14:11
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All they have to do is upgrade to Cow 2.0, and schedule the Milk module to run at 6am.


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Reply # 59794 5-Feb-2007 14:28
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NokiaRocks:

All they have to do is upgrade to Cow 2.0, and schedule the Milk module to run at 6am.



I'll think that you will find its now Cow 2.5+ (some added benefits I believe although I couldn't decipher the manual)

Jama is right that Federated Farmers did highlight this however it fell on deaf ears but then again its not in the governments make up to listen to anyone.



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Reply # 59795 5-Feb-2007 14:31
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Agriculture accounts for nearly half of our exports and 90% of all agricultural production is exported. Not a small thing.

Yes, lets worry about it later after all it is only 50% of our economy...

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  Reply # 59798 5-Feb-2007 15:10

gathering from what I've read, the govt will be announcing subsidies for provisioning broadband into certain rural areas later this year. here's me hoping at least.




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  Reply # 59799 5-Feb-2007 15:12
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antoniosk: therein lies the rub steve.... who is going to invest in the rural community, which would cause Telecom to rush to invest?


In all seriousness you could argue that there will be very few people who currently can't get ADSL that will be able to in the near future whether we have ULL or not. The simple fact is that these people live in areas that are simple unserviceable due to long copper runs from exchanges/cabinets or copper that is in such poor condition that it simply can't handle voice, let along a modem or ADSL. While Telecom is still required to charge these customers the same price for line rental as a customer in a CBD or metropolitan area there is no hope of $$ being spent on network upgrades. You could argue that this one condition of the Kiwi share did a lot of harm to customers who have suffered (and will continue to suffer) because Telecom simply is not a charity.

The same problems would have occured even if we didn't have ULL and I'd challenge anybody to argue otherwise. Wireless or satellite is the only serious option for broadband for many people in NZ. They won't necessarily like the costs that go with it but it's simply another compromise that people need to make when they decide to live in a rural enviromment access.



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Reply # 59800 5-Feb-2007 15:19
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Right then, obviously a lost cause. Lets shut up all the methane belching farms and move everyone to the city.

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Reply # 59801 5-Feb-2007 15:32
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Jama: Right then, obviously a lost cause. Lets shut up all the methane belching farms and move everyone to the city.


I agree. Now the Wellington City Bypass is open we can welcome the aggies with open arms... and you get the sevens once a year...




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  Reply # 59805 5-Feb-2007 16:39
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I'll think that you will find its now Cow 2.5+ (some added benefits I believe although I couldn't decipher the manual)

I thought Cow 2.5+ was still in beta.

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  Reply # 59810 5-Feb-2007 17:39
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antoniosk:
I agree. Now the Wellington City Bypass is open we can welcome the aggies with open arms... and you get the sevens once a year...


Completety OT now but don't get me started about the Bypass, my blog post is coming about it. Takes longer to get home now with the bypass than it did before because transit are incompetant when it comes to traffic management.

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  Reply # 59811 5-Feb-2007 17:45
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Jama: Right then, obviously a lost cause. Lets shut up all the methane belching farms and move everyone to the city.


Why? People in rural areas simply need to accept that they can't expect to get the same levels of service from a telco if they are demaning the same price for a service as a CBD customer.

The reason many parts of the rural network are in a state of disrepair is the simple fact that the revenue they generate does't justify upgrades, in much the same way rail lines have been closed. Telecom's "loss making" customers don't really exist but on paper they do and 99% of them are in rural areas. If the TSO was thrown out Telecom could charge extra for providing those customers with a service then they could be making every other telco in NZ happy because they wouldn't be paying their share of a very unfair tax on competition.


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Reply # 59813 5-Feb-2007 18:02
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I admit I couldn't be bpothered reading this until later during my afternoon coffee in the mall... The guys is simply saying exactly what I said before ULL: who is going to invest?

Gosh, it took him a few months to wake up? That's what happens when some people get into positions that they clearly aren't supposed to be...





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  Reply # 59817 5-Feb-2007 18:33
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freitasm: I admit I couldn't be bpothered reading this until later during my afternoon coffee in the mall... The guys is simply saying exactly what I said before ULL: who is going to invest?



We all know that there will only be 2 or 3 players will will invest. Does this mean ULL is a failure? The legislation has simply created a level playing field where other telcos who do want to install their own gear can. It doesn't mean they all will and Telecom's wholesale options will still be there for those who want them.

I see 2 or 3 players investing gear a worse nightmare for Telecom than 10 other telco's/ISP's installing gear.  If we see them offering wholesale access to their network to small ISP's then Telecom could end up in their own war not over retail customers but wholesale.

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