Is Turnbull planning to turn the NBN over to Telstra ?

A few months ago, when the coalition’s plans for the Australian NBN were announced, I wrote the following in an article on Telecom TV:

The core of Labor’s NBN plan though, which is the structural separation of networks and the equal access to a regulated wholesale platform, is retained [by the Coalition]. By staying on board with that the Coalition offers a plan that is within the continuity of what has been done. 

A couple of announcements today however got me to reconsider that:

  • first we learned that Telstra is trialing VDSL Vectoring with the avowed aim of bidding for the NBN build-out. In any other market, the idea that the service arm of the structurally separated incumbent would bid to build the network of the infrastructure arm would be outrageous to say the least but not in Australia, it seems. More worrying are Turnbull’s statements prior to the election on the issue, according to AFR: “Mr Turnbull said in the weeks leading up to the election it was “bizarre” Telstra had been left out of the construction project and it would be good to get the company more involved in the Coalition’s roll-out.” That sure sounds like a fair and equal assessment of sub-contractors is the most likely scenario… not?
  • second, we learned that the entire board of the NBN offered its resignation and that (according to news.com.au) “Mr Turnbull said after the election that former Telstra boss Ziggy Switkowski would be well qualified for the role of NBN Co chairman.

So in summary, the minister favors Telstra to build the NBN and an ex-Telstra CEO to head the NBN. Which makes the NBN look suspsciously like Telstra.

I have to confess I hadn’t seen this coming, but sadly I now have to say that, conspiracy theories aside, it looks like structural separation is dead as a Dodo…

 

Photo Credits: Eva Rinaldi