One Meat, Two Prices

In another in the long running series of Coles pricing fails, comes this one:

One for $8.00 a kilogram, and in the same compartment, another for $9.00 a kilogram.

No prizes for guessing which one came home with me.

My Kitchen Fools

I don’t actually watch either show, but in attempt to milk some more ratings points, and therefore advertising dollars out of their ratings hit “My Kitchen Rules”, Channel Seven have decided the contestants will soon appear on a special episode of “Deal or No Deal”.

Sorry, what did she say?

“I’m feeling inspirated!”

Oh. My. God.

Fail.

2013 Clipsal 500 Review


Abbott Proven Wrong On NBN Again

In his federal budget reply speech on 10 May 2012, opposition leader Tony Abbott made a pretty bold statement on how the National Broadband Network (NBN) would hurt household budgets:

“Why spend fifty billion dollars on a National Broadband Network, just so customers can subsequently spend, almost three times their current monthly fee for speeds they might not need?”

A three times their current monthly fee? Really?

“Fears that consumers would be hit with massive bills after signing up to the national broadband network may prove groundless, with new research finding almost two-thirds of customers pay the same or less than before.”

People are spending less?

“After interviewing 282 households in Brunswick, one of the first neighbourhoods in Australia connected to the NBN, researchers from the University of Melbourne and Swinburne University of Technology found 63 per cent of households that joined the NBN reported their internet bills had either stayed the same or decreased. About 26 per cent said their bills had increased somewhat.”

Almost everyone is spending the same or less?

Interesting.

Once again, Abbott is wrong about the NBN, but since he is “no Bill Gates”, I guess that makes some kind of sense.

“Most of those surveyed (82 per cent) thought the NBN was a good idea. This supports national research showing the NBN is Labor’s most popular policy – with about 70 per cent of the population in favour of it.”

Yeah – why do something popular? Maybe there’s something more to it?

Fail.

Fail hard.

No Evidence Of NBN Threat To Music Sales

The major Fairfax Media mastheads this morning published a ridiculous article – (I know, right?) – asserting that the National Broadband Network (NBN) would provide a greater threat to the music industry with respect to pirate downloads.

“But the report also contained a grim warning for Australia: if our current levels of music piracy are not controlled now, the problem will get much worse by the time the National Broadband Network reaches 90 per cent of our population by 2015.”

Yet there is actually no evidence to support this assertion.

The biggest concern about this article is that it selectively quotes a report from the International Federation of the Phonographic Industry to support the assertion from Dan Rosen, CEO of ARIA, that all content industries in Australia will suffer, due to the arrival of the NBN, and an apparent associated increase in pirate downloading this will stimulate.

No mention is made of the evidence in the report to the contrary, which was highlighted by other online coverage of the report.

For example, the following quote from iTWeb:

“The Digital Music Report 2013, by the International Federation of the Phonographic Industry (IFPI), says global recorded music revenues are up 0.3%, boosted by downloads, subscription and other channels (such as free streaming services like Spotify and Myspace Player). According to the IFPI, digital revenues are also up 9%.”

“The report says download sales increased in volume by 12% globally in 2012 and represent around 70% of overall digital music revenues.”

“”The global recorded music industry is on a path to recovery, fuelled by licensed digital music services and rapid expansion into new markets internationally.””

So digital revenues in the music industry are up, because of legitimate, price suitable alternatives being provided by the…………music industry?

Is this the same music industry crying foul over how illegal downloading is killing their music industry?

Continuing on, is illegal music file sharing on the increase or decrease:

“Illegal music file-sharing “declined significantly,” down by 17 percent in 2012 compared to 2011, according to The NPD Group.”

“With more services available, such as Spotify, Last.fm and Pandora for streaming and buying music, and giant digital music retailers like Amazon and Apple, consumers have more choices than ever for getting music legally, easily and relatively cheaply.”

There are those convenient, price-conscious online services provided by the music industry again, rescuing the music industry from these nasty downloaders again.

What about Apple, and their current grand-daddy of online music download services, iTunes:

“The online store, which sold its 25 billionth download last month, has long been the stop [sic] music download platform. It’s [sic] revenue from music downloads continues to grow at about 10% annually. Overall iTunes revenue is estimated to be growing at 50% annually. Last year the recording industry posted its first annual revenue growth since 1999.”

While 30% of revenues from iTunes downloads stay in Apple’s pocket, it doesn’t sound like legal music downloading via iTunes is hurting the music industry too much, with the 70% cut they get.

And you know, those illegal downloaders are helping the music industry anyway:

“Also, the survey suggests users of peer-to-peer file-sharing software buy 30 percent more music than those who do not use peer-to-peer software.”

I have long argued that the reason people download content illegally is due to the broken pricing and distribution models the content industries employ:

“Here’s a better idea – drop your prices to reasonable levels, and people won’t even steal your content. As soon as the price of legally purchasing your content is effectively less than what it costs people to download it – (for free or otherwise) – people won’t want to download it for free.”

We’ve already seen that the model that services like Spotify and Pandora are actually already employing is making serious inroads into the problem of illegal downloading of content.

So what is Dan Rosen so worried about?

The solution is right before his eyes – and it is the very thing he seeks to attack.

The NBN.

People want the content, but not at the ridiculous prices the music industry wants to charge – and people want the content online.

The NBN should be an opportunity for the music industry to get things right for the future, to get decent well-priced streaming and download services running in Australia.

It shouldn’t be an opportunity to piss and moan about a problem he wants somebody else to fix for him.

The NBN is the solution, not the problem.

This is just another example of a music industry that doesn’t understand their own customers and the world in which it exists, and an Australian mainstream media outlet who seeks to bash the NBN at every possible juncture.

There is simply no evidence to support their assertions.

Do Not Drink No Teeny Bopper?

Saw this pit cover on a customer site today, and chuckled – (click for closer view):

If only it was spelt “Beiber”.

Oh well!

Disparity: The Coalition Proposal For Our Digital Future

With the apparent admission from Malcolm Turnbull last Thursday evening on Lateline, that many Australians may have to wait years to receive the alternative broadband plan that the opposition proposes in place of the NBN, and that many may receive no upgrade at all, the fears of many telecommunications professionals may indeed become reality should there by a change of government in September.

Disparity.

Stopping the current rollout, renegotiating deals with Telstra and the NBN construction companies, changing existing laws to allow for the current NBN to suit the proposed new plan – and in the end, leaving Australia with a messy, heterogeneous network, built from a range of different technologies that will prevent many Australians from getting the services many others will be able to receive.

In other words, a solution with all of the same problems we have now.

Summing it up precisely was Twitter user Gwyntaglaw, who posted this comment on Delimiter:

“Here’s the vision splendid from the Coalition then.”

“Imagine your typical Australian city.”

“Fred, who is lucky to live in one of the suburbs to get NBN fibre in the earliest rollout stages, enjoys a range of affordable, high-speed internet plans over open-access fibre from a variety of providers. He’s so impressed with the capacity of the fibre that he’s now running his own business from home, able to upload and download large, complex files in a flash.”

“Janet, who lives in the next suburb along, has had FTTN activated in her exchange. There’s a great big new cabinet taking up half the verge nearby; but because of problems with water-damaged copper, she can only get a fraction of the promised “up to 50Mbps!” And when it rains, the service is pretty much useless. She’s asked about upgrades or fixing the wiring, or (she hopes) getting fibre instead, but everyone she speaks to in the know just lowers their eyes and mutters “sorry, we’re just trying to roll out nodes as quick as we can,” before hurrying away.”

“Percy, who lives one suburb over from Janet gets to look out of his apartment window at the Telstra cables. They don’t do him any good, because his apartment block isn’t connected, and he can’t find anyone at Big Pond willing to answer his call about when (or if) his apartment ever will be hooked up. He has a lame ADSL service which can get up to 5-6 Mbps download on a good day, but is fairly hopeless at uploads. He would like to be able to work from home, but the service is too patchy and unreliable to get much real work done – and disconnections are frequent.”

“This is pretty much what we’re going to get – a patchwork quilt. What is it going to do to those little islands of fast broadband, where the tech-savvy are going to want to move? What is it going to do to the vast majority of customers who are completely confused, baffled and frustrated by a system that makes no sense and is utterly haphazard and random about what kind of broadband you might be able to get?”

This is a perfect description of what Malcolm Turnbull’s plan will deliver. It will further entrench the so-called “digital divide”.

Some will “have”, and some will “have not”.

Despite claiming to be a progressive thinker with the best interests of Australia at heart, his plan will commit Australia to this non-sensical outcome for at least another 10 years – and maybe longer.

Can Australia really afford to be left behind all the other countries where advanced fibre networks are being installed?

Countries like:

“New Zealand, Qatar, Singapore, France, Canada, Kenya, South Africa, Brunei, China, Hong Kong, India, Indonesia, Japan, Malaysia, Phillipines, South Korea, Taiwan, Thailand, Uzbekistan, Bulgaria, Croatia, Cyprus, Czech Republic, Denmark, Estonia, Finland, Greece, Hungary, Iceland, Italy, Lithuania, Macedonia, Moldova, Netherlands, Norway, Portugal, Romania, Russia, Serbia, Slovakia, Slovenia, Spain, Sweden, Switzerland, Turkey, Ukraine, United Kingdom, Israel, Jordan, Kuwait, Lebanon, Saudi Arabia, United Arab Emirates, Mexico, United States, Argentina, Brazil, Chile, and Venzuela.”

…all of which on some level are initiating FTTP/FTTH solutions.

Do we want to be behind all of these countries?

I know I don’t.

Shall we allow Australia to lead the world for once?

The Coalition don’t seem to think so.

Supermarket Maths Fail

So how exactly does this one work?

The normal price is $1.75 for a single unit, so the normal price for two units would be $3.50, right?

So at “2 for $3”, surely the saving is 50 cents, not 38 cents?

Also, at the normal price and the special price, the price per 100 grams is listed as “$3.50”. But at the normal price of $1.75, two would actually be $3.50 per 90 grams, since a single unit is shown as “45 grams”.

Not 50 grams – yet even at the reduced price, it is still $3.50 per 100 grams.

My head hurts!

The chocolate was nice though, and I saved 38 cents 50 cents.

Coalition Broadband Plan To Timeout On 30 Percent Of Australians?

In appearance on ABC TV’s Lateline program last night, shadow Communications Minister Malcolm Turnbull appeared to suggest that under his alternative national broadband plan, 30 percent of Australians may not actually receive any kind of broadband upgrade as part of his plan.

“Shadow Communications Minister Malcolm Turnbull has confirmed that metropolitan areas of Australia in the HFC cable footprint of Telstra and Optus would not immediately receive the Coalition’s planned fibre to the node upgrade if it wins Government and did not commit to deploying FTTN infrastructure in those areas in the long-term.”

HFC cable has been deployed by Telstra and Optus in areas covering about 30 percent of the Australian population, providing coverage in cherry-picked areas in Melbourne, Sydney, and Brisbane.

In many cases, Telstra built their HFC network in particular streets and neighbourhoods, for no other reason than because Optus had already covered those same locations, and it wanted to flex its monopolistic muscle to squeeze Optus.

If Optus hadn’t have built theirs, chances are Telstra wouldn’t have done so either.

There have been other HFC rollouts in Australia – notably TransACT in the ACT, and Neighbourhood Cable – (which was later purchased by TransACT) – in Geelong, Ballarat, and Mildura in Victoria. The combined TransACT/Neighbourhood Cable was then subsequently purchased by iiNet.

Austar – (now owned by Foxtel) – also deployed a small HFC network in Darwin.

So now that we’re stuck potentially only having a new – (and inferior) – network rolled out to 70% of Australians, how much will it cost?

“Although Shadow Communications Minister Malcolm Turnbull has been mum on definite costs, Citigroup Global Markets estimates that the coalition’s broadband plan would set Australian taxpayers back approximately $16.7 billion, and could be completed by the end of 2018.”

“If the Coalition wasn’t stuck with existing National Broadband Network (NBN) contracts, its network would only cost AU$15 billion, according to Shadow Communications Minister Malcolm Turnbull. Turnbull made the comments during a debate with his government counterpart, Communications Minister Stephen Conroy, on ABC1’s Lateline last night.”

Turnbull says it will cost $15 billion. Citigroup says it will cost $16.7 billion. Given Citigroup probably assumed Turnbull’s plan was to cover the same 93% of the population with FTTN that the NBN intended to cover with FTTP, lets give Turnbull the benefit of the doubt and call it $15 billion.

How would that price compare with doing the entire job?

Given $15 billion is to apparently cover 70%, 100% would cost $21.4 billion – (that’s 15,000,000,000 divided by 70 and multiplied by 100) – if the costs average out across the plan.

The current NBN plan is for $26 billion of government funding for 100% coverage, with the remainder of NBN funding to come from the debt market. If Turnbull’s plan were scaled up to 100%, it would cost around $21.4 billion.

Suddenly Rob Oakeshott’s claim that the Coalition plan might only save $5 billion sounds pretty much right on the money.

Of course, if you include the “If the Coalition wasn’t stuck with existing NBN contracts” jibe, it probably won’t be any cheaper at all.

The thing is, people have been telling Turnbull of the comparative failings of his plans for months and months, yet we know he won’t listen.

“Mr Turnbull declined to confirm or reject the Citigroup report’s findings, but used Twitter to describe it as “very ill-informed”. “Puzzled Citi would write this without speaking to us – file it in the fiction section,” he tweeted.”

“Worse, the money saved – Turnbull estimates $20 billion – can’t be spent elsewhere or used to bring down taxes, because it is capital expenditure, not operating expenditure.”

“However, there is currently no publicly available evidence that Turnbull is correct in his statement that the Coalition’s rival NBN policy would save the Federal Government billions of dollars in investment when it comes to its funding of the NBN project.”

“Pearson advised that although the initial financial outlay of an FTTN would be a lower as it would be a smaller network the cost to upgrade to an FTTP network in the future would make it substantially greater. Whilst speaking to the Joint Committee in Sydney on the NBN he advised “It is an important policy consideration that you really need to take into account if you are going to build a fibre-to-the-node network.””

So in a nutshell, basically nobody believes his plan will be cheaper, and now we find out 30% of the population might not get any kind of upgrade for the money anyway, whatever the final amount turns out to be.

Turnbull has long promised a better and cheaper solution for all.

Well, it’s not going to be cheaper – we already know that. We also know that it is certainly not better.

Even today, his plan has been described as ‘doomed to fail’.

It now may only be cheaper because maybe not everyone gets it.

The bottom line is, Turnbull simply doesn’t get it either.

Like much of the very small amounts of Coalition policy we have seen, it is all about three-year political cycles, and getting into office – and to hell with the consequences.

Australia deserves better.

The National Coffee Bean Network?

Hot on the heels of a fiery Senate Estimates hearing into the NBN the other night, in which the opposition attacked NBN Co on their usage of coffee machines – (yes, really) – came this follow up report into the matter.

Stupid right? How many workplaces offer coffee to their employees? Every single one I’ve ever worked in has.

Technology site Delimiter similarly attacked this ridiculous line of questioning, and I came up with the following comment on the alternative broadband policy which the Coalition refuses to release, and originally posted here:

“When it comes to power, the Coalition will end this silly notion that 93% of Australia’s population needs to have coffee delivered directly to their premises, replacing it with a solution that delivers coffee to a small canteen with a monkey and an organ grinder – (which will double as the apparatus to grind the beans) – which will be conveniently located within 200 metres of all premises.”

“The next 4% of the population will see their coffee projected towards them from an effigy of Malcolm Turnbull with a white elephant gun atop 40 metre high towers placed in unsightly locations around their towns, directly into a funnel mounted onto their roofs. This will channel the coffee into pots mounted on their kitchen benches. NIMBYs will complain that whenever the coffee misses the funnel, it will land on their heads and “kill them”.”

“The final 3% of the population will have their coffee dribbled on them from a fleet of brightly coloured zeppelins, emblazoned with 40 foot images of Tony Abbott saying “Shit Happens”.”

“The Coalition won’t be able to confirm the coffee download speed, but expects most people “should” get around 80 Megabeans per second.”

“The ALP will call for a CBA (Coffee Bean Analysis), just for shits and giggles…”

The NCBN? The National Coffee Bean Network?

My comparison might sound silly, or even ridiculous – but that’s the point.

It is no more ridiculous than wasting expensive parliamentary time questioning NBN Co over its office coffee policies.

NBN Co even took the time to point out how pointless the line of questioning was.

Stupid.