Quigley v the White Elephant: debunking the myth of mobile

Stuart Corner
Wednesday, 18 August 2010 17:43

Opinion and Analysis

 

NBN Co CEO, Mike Quigley, delivered an impassioned speech today in support of the NBN and drawing on several important historical precedents. Once again he sought to dispel the myth that the growing capabilities of mobile networks will negate the need for NBN's FTTH network.

Quigley was delivering the annual Charles Todd Oration of the Telecommunications Society of Australia (now a chapter of the Australian Computer Society). Unlike the many speeches he has given in recent months he was speaking more in a personal capacity as an industry luminary than as the CEO of NBN Co. However, given that his job and the future of his company hang on the outcome of Saturday's election, it was not surprising that his talk was largely focussed on defending the NBN.

"I plan to use this speech," Quigley said: "to outline: why it's better to invest $27 billion [the expected Government equity investment in NBN] rather than spend $6 billion [Coalition broadband plans]; why creating a monopoly helps competition; why a ubiquitous broadband network isn't just equitable, it's essential for the delivery of social, economic and productivity benefits; why wireless can't, on its own, serve all our long term broadband needs but a combination of wireless and fibre can."

He then turned his attention to "an even more fundamental point …the veritable elephant in the room." And for once, this wasn't a reference to Telstra. "In fact," Quigley quipped, "the 'white elephant' in the room." He explained: "Some have claimed that the FTTP network would end up not being used because of the growing capability of mobile networks… [A] concern I hear is that our revenues are at risk because…there will be a move to wireless on the assumption that wireless will provide everyone's broadband needs."

This is indeed the elephant in the room: more a rogue elephant than a white one, I would suggest. And one Quigley was determined to corral.

CONTINUED