prosperman, the reality is the free market would never built the equivalent of the NBN without us tax payers giving them massive cash incentives\subsidies up front and on an ongoing basis. (In principle I'm against giving our tax money away to private enterprise.)
If Telstra had of originally been sold off as two entities, one being purely a wholesaler, then the NBN in it's current form would not of been necessary.
Due to Australia's geography and population spread, a free market patchwork network (in quality and locations) is not in Australia's interest.
To me the NBN is the same as our roads and highways that will open up competition and prosperity for Australia.
I'm a Telstra share holder, and still believe the NBN is forcing Telstra to become a better company.
Some key points
It is unprofitable for private enterprise to service 75% of Australia's population.
Fibre has been commercially available for more than 40 years in Australia.
Private enterprise has had decades to build and or upgrade our communications network.
The NBN Co. is not a government department, it has been set up as a business owned by the government.
The NBN plan includes the sale of the NBN Co. in about 15 years.
A brief background.
The government initially tried to get a consortium together to build an open access communications network. Partly due to Telstra's stance at the time contributed to it not going ahead.
A lot of people will remember Sol Trujillo's opposition to the proposal, as it would have reduce Telsta's almost monopoly market position Telstra.
The FTTN was ruled out because of Telstra's opposition and stance.
Due to the opposition from Telstra, the NBN plan to exclude and bypass Telstra was developed (FTTH).
Much later Telstra eventually became involved and negotiated the current deal with the government which was only completed early last year.
The first stage (the first 3 year roll out plan) of the roll out also started last year.
