If this is competition I would hate to see a monopoly Add this story to Scoopit!.

It is a huge shame that the Cabinet over-ruled Paul Swain and refused to unbundle the local loop.

The NZ Herald has another story on the farce known as broadband in NZ.

One of Telecom’s plans provides ISPs with a margin of 12 cents per customer per month. I mean one doesn’t really need to even comment on it, do you.

And a system where Telecom only has to offer a 256K wholesale service which it can then undermine with a monopoly 1 or 2 MB retail service, is why almost no ISPs will touch it.

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4 Responses to “If this is competition I would hate to see a monopoly”

  1. nigel Says:

    NZ Broadband/Telecom market I think is pretty much the perfect example of how in order for the power of a Capitalist System to fourish a market requires the correct regulatory framework to avoid Predatory/Monopolastic practices.
    In that too little regulation can restrict competition just as much as over regulation can.
    The really hard part is getting the balance right :) , having said that there is no doubt it is better to err on the side of under regulation.
    To have not unbundled the local loop is a key reason that Williamson’s name will be forever tarnished as all road leads back to that fatefull initial decision IMHO.

  2. Digby Green Says:

    As you can see I am with Actrix on 56K.

    I have always despised Telecom and their latest antics only re-inforce that.

    Sice they started their latest push to get “broadband” subscribers they have increased or bettered the offer each month (now free DSL modems !) so you can see that they are not reaching their targets !

    And if I was one of the early signer uppers I would be a bit upset !

    The best thing for telecommunications for this country would be for the government to buy Telecom back. Then split it up into a lines/backbone company which would be state owned and charged with supplying the best network and equipment possible but providing no phone services at all. And making just enough profit to break even etc.

    Then sell the rest off to any bidders (paying for the original buy back) and let as many private companies supply phone services, net and mobile and fixed land lines as they wish and charge them all the same sort of prices.

    Regards

    Digby
    Tauranga

  3. Digby Green Says:

    As you can see I am with Actrix on 56K.

    I have always despised Telecom and their latest antics only re-inforce that.

    Sice they started their latest push to get “broadband” subscribers they have increased or bettered the offer each month (now free DSL modems !) so you can see that they are not reaching their targets !

    And if I was one of the early signer uppers I would be a bit upset !

    The best thing for telecommunications for this country would be for the government to buy Telecom back. Then split it up into a lines/backbone company which would be state owned and charged with supplying the best network and equipment possible but providing no phone services at all. And making just enough profit to break even etc.

    Then sell the rest off to any bidders (paying for the original buy back) and let as many private companies supply phone services, net and mobile and fixed land lines as they wish and charge them all the same sort of prices.

    Regards

    Digby
    Tauranga

  4. Digby Green Says:

    As you can see I am with Actrix on 56K.

    I have always despised Telecom and their latest antics only re-inforce that.

    Sice they started their latest push to get “broadband” subscribers they have increased or bettered the offer each month (now free DSL modems !) so you can see that they are not reaching their targets !

    And if I was one of the early signer uppers I would be a bit upset !

    The best thing for telecommunications for this country would be for the government to buy Telecom back. Then split it up into a lines/backbone company which would be state owned and charged with supplying the best network and equipment possible but providing no phone services at all. And making just enough profit to break even etc.

    Then sell the rest off to any bidders (paying for the original buy back) and let as many private companies supply phone services, net and mobile and fixed land lines as they wish and charge them all the same sort of prices.

    Regards

    Digby
    Tauranga