ISPs in 2010 - iiNet
- 07 December, 2009 10:50
- Comments 3
With the revelation of the NBN, the potential break up of Telstra, the AFACT vs iiNet and ISP-level filtering trials, 2009 has shaped up as quite a year for ISPs. What could be in store in 2010? We ask some of the leading internet service providers. In this edition, iiNet's MD Michael Malone.
Computerworld: What opportunities do you see to grow your business in 2010?
Michael Malone: The biggest opportunity for iiNet is to continue building on service, brand and content. We are now in a switchers’ market, meaning that pretty much every new customer has to be won away from a competitor. The reverse of that is that losing a customer is really stupid. We have to make sure that every experience that a customer has with iiNet is top quality, so there is never a reason to leave. In our industry, service levels are pretty low generally, and I believe it will take many years for our competitors to really imbed a true service culture into their businesses.
We recently launched BoB, a sexy unit that handles telephony and broadband in one box, and tries to hide all the hard techy stuff. We’ve sold 15,000 of those units already, and we’re working with Belkin to improve it even further in the next year.
We’re also real close now to releasing iiNet’s first set top box, delivering IPTV, Video on Demand, and some generic net access to the lounge room, along with the usual free to air channels. I’m hoping to see friendly user trials in January and a broader release by March or April.
In regards to our network itself, we will continue to roll out new DSLAMs in metro and regional areas, which will see more customers on our own network.
We’re on the lookout for merger and acquisition opportunities as well. iiNet and Westnet have been together nearly two years now and that’s been very smooth. We’re ready for the next one.
How likely do you think it is that Telstra will be broken up? If it is, how will this affect the industry?
It seems inevitable that some form of separation will occur in Telstra’s future. Whether that is ‘structural’ or ‘operational’ remains to be seen. The Government’s preference is pretty clearly ‘structural’, which would see two separate legal entities, one owning and operating the infrastructure and one supplying retail products and services, buying access from the network owner.
A structurally separate network owner is a Good Thing. Their strongest motivation would be to get as much traffic onto the network as possible, instead of the current situation where Telstra is directly motivated to hold back wholesale products and rort on price in order to protect its retail business.
Bring it on.
Q: How do you see the NBN affecting the market in 2010?
I don’t think we’ll see a lot of change in 2010, because no one really knows what’s going on. This government promised transparency and accountability but, at least in the telco sector, that’s been embarrassingly absent. We’re talking about a $43 billion project here, but we know nothing yet. Therefore the only choice is to continue “business as usual” until we see some real detail.
It does look like the Tasmania trial will get up in 2010, which is very exciting and we’ll be able to start answering some questions. We’re keen to get some of our Tasmanian customers onto the NBN as it rolls out, so we can understand what impact it will have on customers, before this goes national.
Q: What telecommunications technologies are likely to make a large impact in 2010 and why?
In the short term, ADSL2+ is still the main game. iiNet customers get an average of 12M on ADSL2+. That’s enough to start playing with IPTV, VoIP, VoD and so on. I know it’s popular to bleat about how backward Australia is, but for most people, higher speed options are here right now. Frustratingly, even though it’s available, most Australians are still paying for speeds under 1M, which is embarrassing. This is changing fast though, so hopefully 2010 will see most people wake up and move to a faster plan (or a better ISP!).
Wireless broadband and portability are obviously huge trends. Smartphones, specifically the iPhone, have changed the market completely in the past year. Right now, it’s complementary. Customers are using high speed, high volume fixed line solutions to their home, and taking mobile broadband with them for access outside the home.
Of course, as I mentioned above, with all this high speed, video applications start to become more practical. So 2010 is the year for IPTV to final make its debut in Australia.
- Bookmark this page
- Share this article
- Got more on this story? Email Computerworld
- Follow Computerworld on twitter
-
Drupal gains ground down under
-
NBN build gaining momentum daily: Quigley
-
Chambers: Networking's changing competitive landscape
-
The NBN, service providers and you... what could go wrong?
-
NBN build gaining momentum daily: Quigley
-
Teach Yourself Visually Windows 7
-
Windows 7 for Dummies®
-
Excel 2007 All-In-One Desk Reference for Dummies
-
Microsoft Office
-
Computers for Seniors for Dummies, 2nd Edition
-
MYOB Software for Dummies 6E Australian Edition
-
Office 2007 All-In-One Desk Reference for Dummies
-
Office 2007 for Dummies
-
Windows 7 for Seniors for Dummies®
Comments
Anonymous
2010 is the year, that Aussie Internet Users will DEMAND -AFFORDABLE- unlimited Internet plans (even ADSL-2+).
Telstra's "new" retail Internet prices -still- retains its obsolete "poverty trap" fee for "excess" Internet usage (only on low-end ADSL/Cable plans).
We've noticed superior Internet packages - best in France (eg, cf: http://Free.Fr); excellent in Sweden (search for "StockholmsStadsNat") - and demand "world best" Internet pricing for unlimited home/SME Internet service.
There is NO reason people should need to get up / stay up during ISP-defined "Off-Peak" periods, eg, from 2 am to 8 am, to utilise 50% or more of their Internet "quota" each month.
We look to France & Sweden, China & elsewhere, for leadership in the Internet market.
World best, not more whimpering that "Oh, Australia is such a large country..."
Telstra managed to find $1 billion (eg, to invest in Asia), some years ago... What came of these off-shore investments?
Gov't will be expected to forbid Telstra from entering into non-competitive agreements with developers, eg, to implement Telstra-only infrastructure (eg, cable for Internet).
(Here's an example from the past, that persists & limits people today: SA's Technology Park became the Internet black-hole, in its Delfin-developed reincarnation as "Mawson Lakes" - RIMs in the telephone lines running to the exchange + Telstra cable = few could or would buy into Telstra's highly uncompetitive cable Internet plans; the many International students, who live in "share houses" - walking distance from Uni SA's Mawson campus - were effectively forced to pay more / GB for wireless 3G plans, while cable infrastructure sat unused for years!)
Value-leading ISPs - like TransACT (for Canberra-based Aussie politicians & bureaucrats only?) and TPG or Exetel (for the rest of us) - will FINALLY offer round-the-clock UNLIMITED plans, pegged at the $100 / month mark, for home/SME's.
Australia will use the Internet to reduce its carbon footprint, and many new creative enterprises will arise from the dust of the impending Telstra split... and applaud the end of that company's $150/GB "poverty trap" fee for "excess" usage.
Families will not longer have to squabble or punish their kids for using "too much" Internet, each month.
Aged Care facilities will equip all newly built rooms with Internet, to accommodate Baby Boomers & successive generations of geriatrics.
Kids will surf beside wise parents, on separate computers, hiding less, discussing more.
The Internet will connect people in AU with those in a wide world, like Ham Radio used to do... with VOICE connections!
Eventually, we'll have enought social connections with the larger world, that we might even decide to stop going to war & start working together to reduce our carbon footprints, trading technologies & tips for doing so, on a person-to-person basis (again, just like the Hams of your parents' generations did...
Anonymous
TPG has had IPTV for some years now, so I would say it has already had its debut.
As for moving to higer speed plans, the speed you get it still limited by the Telstra owned cable quality and distance. Changing ISPs can't help this too much.
Anonymous
re: unlimited internet. Until such time as Australians stop using the internet to access US/OS content 80%+ of the time, the NBN might as well be a fart in a box.
Who cares how faster our 'intranet' is if we don't have enough external access to the rest of the world. Did you think that 'stuff' you browse just magically gets here, routed by pixies and powered by fairy dust all for free?
Seriously the majority of Australia is a backwater far as informed decision is concerned (compulsory voting is a joke, just remember that dazed drug addict that spat at you cos you didn't give them $2 is voting on your future) and more so when you consider what the majority pass off as culture. Its no wonder we look to the rest of the world for something interesting to read/do most of the time.
As for 'wise parents' browsing along side their children you have to be kidding. The internet is just this century's new idiot box, a cheap babysitter that lazy parents utilize so they can do something other than raise their children. Then blame the government when their kids land them with a bunch of fines.
Else why the hell did a stupid idea like internet filtering not get laughed out of parliament, a useless expense that won't protect a single child from predators.
We don't even has a 18+ rating for games let along even attempt to rate anything online or restrict chat lines (the most common places kids spend their time) to registered users.
Enough social connections? Please stop kidding yourself. When the most commonly accessed sites are facebook, myspace, twitter and various other 'social networking' rife with mind numbing mis-information, hearsay passed off as fact, gossip and rumor masquerading as news; the internet for this generation has for the most part made a select few more informed, better connected and wiser but for the rest, stupider.
You would fall into the 'rest' category.
Reducing carbon footprint, HAH. Your PC kills more trees than any book.
The internet INVENTED flame wars, its only a matter of time before some country gets invaded due to a tersely written twitter update.
Post new comment