Internet industry welcomes NBN re-think

AIIA: Conroy is Captain Courageous

The Australian Information Industry Association said the new approach was necessary in a tight fiscal environment, but warned that the eight year timeframe may prove problematic.

"We support the revised national approach to the NBN outlined by Prime Minister Rudd and Senator Conroy, along with the associated review of the national telecommunications regulatory environment, as courageous steps designed to deliver essential components of Australia's digital future," said AIIA CEO Ian Birks.  "We congratulate the Government on this decision."

"This approach is an innovative solution to delivering necessary outcomes in a market now constrained by capital; it provides a new and open opportunity for all industry to contribute to a successful broadband model in Australia."

"Australia must now rise to the challenge of using the National Broadband Network in an innovative and productive way to address our current economic and societal issues or else we run the risk of building a six lane highway to nowhere," said Mr Birks.

Optus: Commonwealth "comes up trumps"

Australia's second biggest telecommunications company, Singtel-owned Optus, attempted to conceal its disappointment at not being chosen for the tender by releasing a statement via the Terria consortium.

Terria Chairman Michael Egan said the Government has "come up trumps".

"Terria had campaigned long and hard for a structurally separated, open access network with cost-based pricing and effective regulatory oversight," he said.

iiNet: best news this decade

Fellow ISP iiNet's managing director Michael Malone said the Government's plan was the best news made for the Australian telecommunications sector in decades.

"This is the best of all possible outcomes and will ensure Australians have access to fast, affordable and competitive broadband," Malone said.

"In terms of the key criteria we were looking for in a National Broadband Network - open access, structural separation, fixing backhaul 'black spots' and regulatory reform - the Government has delivered."

Macquarie Telecom: Best thing since deregulation

Matt Healy, head of regulatory and government affairs at Macquarie Telecom said the new network has the potential to make Australia "the envy of other economies."

"This has the potential to be the most significant change this industry has seen since deregulation in 1997," he said. "And just as deregulation kick started competition, today's announcements have the right ingredients to set a solid foundation for a truly competitive 21^st century telecommunications industry."

Competitive Carriers Coalition: better prices and services ahead

Telecommunications lobby group Competitive Carriers Coaltion (CCC) welcomed the new network, predicting that it will lead to better prices and services for Australian broadband users.

"We are very pleased that a process is now underway to reform the structure of the market in the short-term together with extending fibre to the front door," said David Forman, executive director of the CCC.

"It is critical that with this new momentum for change comes regulatory reform that will be achieved this year and a new fibre build that starts as soon as possible.

"The reforms are long overdue, as evidenced by the internationally high prices and poor services Australians have suffered for more than a decade.

"Where ever competitors have been able to gain a foothold in Australia, prices and services have immediately been transformed and consumers have been the winners," Forman said.

Comms Alliance: Surprised!

Industry self-regulator Comms Alliance and its members were completely unprepared for today's announcement, according to CEO Anne Hurley.

"While today's announcement was not the outcome expected by many in the industry, it will have a significant impact on skills and employment throughout the ICT sector," Hurley said.

"Communications Alliance looks forward to working with Government and industry on reforms to the telecommunications regulatory framework. "

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