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A discussion of Local Government’s role in the provision of broad band networks and services in New Zealand
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Local Government’s role in the provision of
broad band
6th March 2009
Getting the most from broadband?
• Available data shows that most broadband users are not currently willing to pay even for the faster broadband packages that are available now
– Low willingness to pay for high speed broadband
– The cost of international data capacity and “peering” is higher than many New Zealanders are willing to pay
– The cost of international capacity will need to come down for New Zealand to obtain many of the potential benefits from high speed broadband
ReportDecember 2008
Problem
Poor service Low demand
Low use of high
bandwidth applications
No vendors of high
bandwidth applications
A classic vicious cycle
Local government’s role?
Some would argue… NONE!
Operation
Local government’s role?
• Not credible!
• Outsource
• Potential BOO
Leadership
Local government’s role?
The Council as a web-enabled user of services
Advocacy
Local government’s role?
Attack the ‘don’t know what they don’t know’ dilemma
Provision
Local government’s role?
• Layer zero?
• Council cables that others can share?
• Public-private joint ventures?
• Sites for wireless
Leadership
Advocacy
Provision Operation
Local government’s role!
Council’s objectives
• There will be a choice of ubiquitous, fast broadband supplied by profitable competing telco providers
• North Shore City - the residents, businesses and the Council - will be a leader in the uptake and use of broadband services
North Shore Urban fibre network &
NEAL
A public-private joint venture BOO
• MED – Digital Strategy
• Vector Communications Ltd
• North Shore City Council
A case study
• Constructive partnership
• Highly successful
engineering project
• Well executed by all
parties
• TUANZ award winner
But…
• Disappointing uptake
• Disappointing use
What do we want from government?
• Leadership
• Multi-lateral peering at peering exchanges by all ISPs
• Downward pressure on the cost of international bandwidth
• Access to Crown contracts for regional and local network providers
• Funding to maximise the uptake of existing pilot networks
END
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