Why the Australian “Fiber Mae” broadband model doesn’t work for the U.S. | The Precursor Blog by Scott Cleland
May 13, 2009
As the FCC lays the groundwork for its submission of a National Broadband Strategy to Congress next February, some suggest the U.S. follow the lead of Australia’s new broadband policy model. While it may have superficial and nostalgic appeal to some, upon close scrutiny and analysis it is not an applicable, practical or sound broadband policy option for the United States for a variety of reasons. The Australian “Fiber Mae” broadband policy model is:
* Not applicable to the U.S. because the ownership and competitive baselines in Australia and the U.S. are not analogous;
* Not practical for the U.S. because it is a hugely expensive proposal in an exceedingly tight budget/financial environment that would generate very little incremental additional benefit over the current competitive trajectory; and
* Not sound policy for the U.S. because it pursues the wrong policy emphasis and structure, which could have the perverse result of the U.S. falling behind in broadband leadership -- the exact opposite of the intended result...
As the FCC lays the groundwork for its submission of a National Broadband Strategy to Congress next February, some suggest the U.S. follow the lead of Australia’s new broadband policy model. While it may have superficial and nostalgic appeal to some, upon close scrutiny and analysis it is not an applicable, practical or sound broadband policy option for the United States for a variety of reasons. The Australian “Fiber Mae” broadband policy model is:
* Not applicable to the U.S. because the ownership and competitive baselines in Australia and the U.S. are not analogous;
* Not practical for the U.S. because it is a hugely expensive proposal in an exceedingly tight budget/financial environment that would generate very little incremental additional benefit over the current competitive trajectory; and
* Not sound policy for the U.S. because it pursues the wrong policy emphasis and structure, which could have the perverse result of the U.S. falling behind in broadband leadership -- the exact opposite of the intended result...
posted by Connect Ohio at
7:57 AM
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