I’m speaking this afternoon at the Tel Con 11 Conference in Auckland, spelling out Labour’s position on the Govt’s new Telco laws and its fatally flawed plan to deliver ultrafast broadband to 75% of New Zealanders.
Criticism is mounting of the Bill and the general plan. It appears that telecom remains its only champion. Even then I’m not so sure about their commitment.
Steven Joyce, the Minister remains obdurate and blinkered. He’s said he’s not interested in what the industry says. He’s doing it for consumers. Not so sure theyr’e going to get a good deal though.
Here’s a couple of differing views. RadioNZ reported:
One of New Zealand’s biggest telecommunications companies is stepping up its criticism of the way the Government is setting up ultra-fast broadband.
The Government will spend up to $1.5 billion rolling out fibre-optic cabling to three-quarters of homes by 2019.
TelstraClear has put a two-page advertisement in the New Zealand Herald, the country’s biggest daily newspaper, picturing a rugby scrum and a referee standing nearby who has been bound with rope and gagged with masking tape.
TelstraClear chief executive Allan Freeth says he supports fibre to the home, but is worried about the way the governments Telecommunications Amendment Bill removes the Commerce Commission’s ability to regulate the new network for 10 years.
Dr Freeth describes it as a regulatory holiday, and says it is unhealthy because it is anti-competitive, and will result in fewer choices and higher prices for consumers using the new fibre network.
and then there was Telecom’s view. Which was all about them, not about the industry.
Telecom chief executive Paul Reynolds says his industry has gone from being the “darlings” to the “dogs” of the technology world as risks turn investors away.
At a telecommunications summit in Auckland yesterday he said new investment was drying up worldwide.
“Our industry finds attracting capital increasingly difficult. You’d be better putting it in the bank, you’d be better putting it in agriculture, because the returns [in telecommunications] are difficult to come by.”
That’s interesting, becasue I understand that during the early part of the negotiations last year a signficiant offer was put on the table to purchase part of Telecom’s assets by a potential bidder.This new investement was part of an innovative bid which could have already started delivering fibre to build our new network.
Reynolds speaks out of both sides of his mouth and Joyce is a dogmatic CEO (who happens to be in parliament) who hasn’t worked out that building consensus and buy-in is an important part of achieving your goals.