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The New York Times does a better job than our own press today:

Australia, a wealthy nation with a widely envied quality of life, lags in one essential area of modern life: its internet speed. Eight years after the country began an unprecedented broadband modernisation effort that will cost at least $49 billion, its average internet speed lags that of the United States, most of Western Europe, Japan and South Korea. In the most recent ranking of internet speeds by Akamai, a networking company, Australia came in at an embarrassing No. 51, trailing developing economies like Thailand and Kenya.

…The story of Australia’s costly internet bungle illustrates the hazards of mingling telecommunication infrastructure with the impatience of modern politics. The internet modernisation plan has been hobbled by cost overruns, partisan manoeuvring and a major technical compromise that put 19th-century technology between the country’s 21st-century digital backbone and many of its homes and businesses.

…After a Liberal-led coalition was elected in 2013, that party looked for ways to contain costs and speed up the rollout. They focused on what in the telecommunications industry is called “the last mile” — the wires that connect a home or business with the broader network. While the National Broadband Network initially envisioned high-speed fibre connecting homes and businesses directly to the network, the Liberal-led effort compromised by connecting them with existing copper wire — basically, the same technology used in the earliest days of the telephone.

The result, critics say, was slow speeds that still did not stop rising costs.

Perhaps it is better that Malcolm does nothing.

About the author
David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal. He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.