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Australia Investigates Peering Practices

Anonymous Sniper writes "The Australian Competition and Consumer Commission today announced that it will hold a public inquiry into whether an Internet interconnection [peering] service should be regulated. This would mean the big National ISPs would have to pay smaller ISPs for traffic originating within their networks, which means everyone's routing tables would become more efficient, and cheaper for the smaller ISPs. This would also set a significant international precedent. Horray for the ACCC and Allan Fels - the same people who made Region-Free DVD players legal here."

177 comments

  1. whew by Anonymous Coward · · Score: 5, Funny

    I thought it was going to be an article telling me I can't get no more warez

    1. Re:whew by Anonymous Coward · · Score: 0

      Oi, COCKSMOKER!
      READ THE FUCKEN ARTICLE

      This has nothing to do with your pet peeve.

    2. Re:whew by Anonymous Coward · · Score: 0

      Jesus lord! It was a JOKE

  2. Death to Sprint by Cyberwlf · · Score: 5, Funny

    So long as any regulating does not remove our right to seek and destroy those who run horrendously poor peer's like Sprint.

    1. Re:Death to Sprint by Anonymous Coward · · Score: 0

      I know this probably means T reatarded now, but what is it I dont know about Sprint? Meaning why are they so terrable?

  3. I didnt get this by RTPMatt · · Score: 5, Informative

    I know i didnt get this, so i think this is the important info:
    "There are some apparent curiosities with current interconnection arrangements. If I am connected to a smaller ISP and I send an email to my friend at one of the four larger ISPs, the larger ISP will generally charge my smaller ISP for sending the email. However, when my friend at the larger ISP sends me a return email, my smaller ISP will have to pay the larger ISP once again".
    ya, that dosnt sound real fair

    1. Re:I didnt get this by $$$$$exyGal · · Score: 1, Redundant
      That part doesn't make much sense... but then there is this part:

      Internet interconnection allows customers connected to one Internet network to send and receive emails and access web sites which are connected to another Internet network. Generally it is the case that consumers connect to the Internet via an Internet service provider or ISP.

      That is unfair, and should be outlawed.

      --Saturday Night Sex

      --
      Very popular slashdot journal for adul
  4. Good thing by Anonymous Coward · · Score: 5, Interesting

    Anything that goes to help out the smaller guys is a good thing. After all, the big guys gobble the little ones up, and then give crappy service for an ever increasing price.

    Perhaps this will let these beloved little IPSs survive just a little bit longer.

    Anything to keep the internet how it should be is a good idea, and it is nice to see the Aussie gov't protecting capitolism by leveling the playing field. After all, more compeition = better experience for every consumer.

    1. Re:Good thing by jkfresh · · Score: 5, Insightful

      Anything that goes to help out the smaller guys is a good thing. After all, the big guys gobble the little ones up, and then give crappy service for an ever increasing price.

      Perhaps this will let these beloved little IPSs survive just a little bit longer.

      Anything to keep the internet how it should be is a good idea, and it is nice to see the Aussie gov't protecting capitolism by leveling the playing field. After all, more compeition = better experience for every consumer.

      Not only a better experience, but also better prices. Usually if there are only a few competitors in a market, the prices for that good/service will be very similar. A good example of this is gas. No matter who you get your internet service from its the same internet. Anybody that wants to should have a chance to compete in that market.

    2. Re:Good thing by arvindn · · Score: 4, Interesting

      I agree. And another thing: an internet with more number of smaller players is more stable than one with fewer, larger players. Remember the speculations when worldcom went down? Ideally there shouldn't be any such thing as backbones. While we can't say that of today's internet, its certainly better now than in the past.

    3. Re:Good thing by Packets · · Score: 1

      You're obviously not aware of the petrol situation here in australia (you may call it gas, but it doesn't go gaseous until after its in the engine itself).

      Petrol is expensive. Why is it expensive? its about 70/29/1 to tax, large petroleum companys (shell, bhp, etc), and the petrol station.

      Many petrol stations LOSE money on the petrol at the pump, and only make money on the tiny store they have with overpriced softdrink and chocolate. Or car servicing.

      We get ripped off, and its the government driving the prices.

      --
      A little overkill never hurt anybody.
  5. What? You mean like the teleco's here? by Anonymous Coward · · Score: 0

    Hey australia, put down the pipe and step away from the crack.

    Nationalize your network and get it over with.

  6. Fight centralization by arvindn · · Score: 5, Insightful

    Anything that leads to a more distributed internet is a Good Thing, IMHO. Lack of centralization is the biggest reason why the net has been successful, but recent trends are disturbing (eg: ICANN). OTOH, the US-centeredness of the internet has decreased greatly since the early days, which is good. Another thing: with the growth of permanent connections worldwide as against dialup, more and more of the average Joes will host their webpages on their own machine (like me :)), as against uploading it to some free server, which would typically be in the US. So maybe things are going to get better.

    1. Re:Fight centralization by Anonymous Coward · · Score: 0

      hehe arvinds us all over the internet? >> more dirstributed internet is a Good Thing>> well yeah but breaking up? tinir and tinier?. >>growth of permanent ocnnections yeah not so bad there. putting web online

    2. Re:Fight centralization by MaestroRC · · Score: 0, Offtopic

      There has been a pretty good reason why the internet has been US-centric... I think it might have something to do with the Department of Defense and a few colleges back in the late 70's, but I'm not too sure. I do host webpages on my own machine, reuben[spaceapes.com], including a few other things, like a forum[spaceapes.com] and picture gallery[spaceapes.com]. I agree that the ability to host these locally is increasing with permanent connections, but the key is that these permanent connections have greater bandwidth.

      The intention of ARPA when they created ARPANET, which evolved into the internet, was redundancy in the case of an attack on our country; this network didn't include DNS. Sure, DNS is pretty US-centric, but it works. It's Probably not as redundant as it could be, but short of a targeted attack on the DNS root servers, I think it's pretty solid.

      --
      I hate sigs...
    3. Re:Fight centralization by Anonymous Coward · · Score: 0

      You're not getting it. While this proposal is said to "level the playing field" and "eliminate unfairnes to small players, etc." it officially sets up the government, not the providers, and certainly not the consumers, as the final arbiter of IP routing.

      We all know who owns the governments, right?

      However well-intentioned, this is just window dressing for more govt. control of the 'Net. Excuse me if I'm cynical enough to think the ultimate purposes have nothing in particular to do with routing efficiency, which is only fucked up, to the extent that it is, as a result of existing govt policy and telecom regulation.

      --rgb

    4. Re:Fight centralization by mindstrm · · Score: 1

      Oh please. ICANN.. bah. AT least, insofar as they are responsible for dns.

      Yes, icann hasn't really done anything useful.. but DNS still does what it needs to do. I'm not taling about "the world wide web". I'm talking about the internet.

      The biggest problems the internet is facing are creeping ones: lack of address space/increased use of NAT and FILTERING by isps, even if they are initially for noble reasons.

      We need to get back to basic IP routing... and we need address space. IP addresses should NOT be a commodity.

  7. Uhhh... one thing you're forgetting by pr0ntab · · Score: 5, Insightful

    The small ISPs aren't paying for the large ISPs backbone, and the usage flows both ways through it.

    You don't GET PAID driving down a toll road one way, do you? :-)

    --
    Fuck Beta. Fuck Dice
    1. Re:Uhhh... one thing you're forgetting by cperciva · · Score: 4, Informative

      You don't GET PAID driving down a toll road one way, do you? :-)

      No, but you usually don't have to pay to get off the road either. The complaint here is that each packet is charged twice -- once to the ingress network, and once to the egress network.

    2. Re:Uhhh... one thing you're forgetting by Anonymous Coward · · Score: 0

      It's called double-dipping and should be outlawed. Plain and simple.

    3. Re:Uhhh... one thing you're forgetting by Anonymous Coward · · Score: 0

      You obviously have never been to Chicago...

    4. Re:Uhhh... one thing you're forgetting by mindstrm · · Score: 1

      So what?

      IT all depends on who needs who.
      Major backbones in the US can say "We don't need you, little ISP, you need us, because you need us to carry your traffic, or your service will suck.".

      If all the litte isps got together, things would be different.. as the big isp has no value if all it's customers leave.

      It is a dynamic thing, to be sure.

      If we are going to say "Internet is important" and regulate, then the actual level of service should be regulated, not the peering (in other words, don't go half way). Force ISPs to provide real, unflitered IP routing, and not block traffic in any way (or at least, have an easy way for a subscriber to turn blocking off.) Force them all to provide ipv6 space as well. Let's get rid of nat.

      ETc. etc. etc.

      Want rules that will make the net better and cooler? those are them.

    5. Re:Uhhh... one thing you're forgetting by Afty0r · · Score: 1

      The complaint here is that each packet is charged twice -- once to the ingress network, and once to the egress network.

      OK, so let's assume regulation is brought in to say you can charge only one way.

      This means the larger ISPs will only charge the smaller ISPs for each packet received, but will charge them twice as much as they currently do.

    6. Re:Uhhh... one thing you're forgetting by Anonymous Coward · · Score: 0

      Think before you post. The new regulations (if they pass) will not allow that.

    7. Re:Uhhh... one thing you're forgetting by Anonymous Coward · · Score: 0

      Amen. In Illinois, you get charged several times along the tollway, as well as whenever you use an exit.

      Likewise, if you're passing traffic through several different networks, you're costing money to several different groups, and thus you ought to compensate in some way.

    8. Re:Uhhh... one thing you're forgetting by Anonymous Coward · · Score: 0

      One think most people seem to forget is that the little ISPs don't just pay for the traffic they also pay rental on the pipe to the Large ISP. So not only are they paying twice for the traffic they are also playing a third time for the pipe.

  8. ghuh? by reconn · · Score: 5, Funny

    Slashdot poster.... in favor of regulation...... brain melting....

    --
    Everything that was once directly lived has receded into a representation. -debord
    1. Re:ghuh? by Sad+Loser · · Score: 5, Informative

      Australia is notoriously regulation happy (yesterday sent off $100 fine for NOT voting in the election - that's how regulated we are.)

      However we have a champion of the poor dispossessed geek in Allan Fels. The ACCC is the counterbalance to the Australian authoritarianism and big business, and actually works quite well, as it has teeth and a fearless leader.

      All credit to the ACCC for taking on a difficult and messy problem.

      --
      Humorous signatures are over-rated.
    2. Re:ghuh? by Anonvmous+Coward · · Score: 1

      "Australia is notoriously regulation happy (yesterday sent off $100 fine for NOT voting in the election - that's how regulated we are.)"

      What I'm about to ask is really off-topic, but I don't get much opporunity to learn about how other countries work. Registerred voters were fined for not voting? Are they allowed to vote 'none of the above'?

      Just curious. There's a subtle difference between not voting and voting for niether.

    3. Re:ghuh? by TeraCo · · Score: 1
      Well, if you don't show up and collect your ballot paper, you get fined.

      There is nothing stopping you walking out with it tucked into a boot, or scrawling obscenities on it before you put it into the box.

      You could eat it and walk out if you so desired. Every election we have about 4% informal votes, informal being where the paper was not filled in correctly, set on fire, voting for George Bush, etc.

      --
      Not Meta-modding due to apathy.
    4. Re:ghuh? by OverRated · · Score: 1

      Voting is compulsory in Australia. You have to (to avoid a fine) go to a polling centre, and register your vote. All federal, state and local elections/plebicites/referendums are compulsory.

      This makes voter participation rates around 85% to 90%, excluding those who refuse to vote, and those who just make their vote an invalid one.

    5. Re:ghuh? by Kierthos · · Score: 1

      Hrm... does this actually make the Australian politicians more responsive/responsible to the voters? Of course, I could also see a lot more pork barrel legislation to keep those voters happy.....

      Kierthos

      --
      Mr. Hu is not a ninja.
    6. Re:ghuh? by OverRated · · Score: 1

      Actually, you see a lot of pork barrel legislation.

      Most of it's not too bad, it's mainly tax cuts and welfare expenditure.

    7. Re:ghuh? by zsau · · Score: 2, Informative

      No. To have responsive and responsible politicians, you have to create competition. In the current duopoly+irrelevants, the situation is barely better than in the US. It's just when the Labral Party gets elected, they can say that seeing as a majority of 85%95% people voted for them, they have a Mandate to introduce things they promised never to introduce. Also, our system is essentially geared up to give a party (or coalition) an essential dictatorship for a term; this is why we're going to war with an actual dictatorship. Sounds intelligent, ja?

      --
      Look out!
    8. Re:ghuh? by ocdi · · Score: 1

      It's quite possible to get your name crossed off and then not fill in the voting form correctly (or at all) or not drop it in the voting box. I've always voted, I was forced there so I might as well.

    9. Re:ghuh? by Anonymous Coward · · Score: 1, Insightful

      I appreciate the "necessity" of a counter-balancing mechanism such as the ACCC in a rigged system, but in the end it only serves the ultimate interests of the monopolists, oligarchists, and statists, however well-intentioned, because it in fact validates the rigging, and depends on it itself. It becomes part of the problem.

      They would do more real good if they were plotting actual insurrection or something.

      --rgb

    10. Re:ghuh? by Anonymous Coward · · Score: 0

      If you dont ever register you dont have to vote, well you do, but the polling agents dont know that I exist so its kind of hard for them to send me a fine :)

    11. Re:ghuh? by Rip!ey · · Score: 2, Insightful

      ... yesterday sent off $100 fine for NOT voting in the election - that's how regulated we are.

      No. You paid a $100 fine for not attending a polling booth on election day and having your name struck of the register.

      You didn't have to vote if you didn't want to. You are however required to demonstrate that it was a conscious decision on your part.

    12. Re:ghuh? by 0x0d0a · · Score: 2, Funny

      Australia is notoriously regulation happy (yesterday sent off $100 fine for NOT voting in the election - that's how regulated we are.)

      What, paying a $100 fine for *voting* in the election would make more sense?

    13. Re:ghuh? by Anonymous Coward · · Score: 0

      >> yesterday sent off $100 fine for NOT voting in the election - that's how regulated we are

      if you never registered to vote you wouldn't have been fined

    14. Re:ghuh? by evil_roy · · Score: 1

      WRONG.

      Very commom misconception this one. The law requires you to vote. Informal votes count by virtue of guaranteed confidentiality. What is not covered is the fuck-off-to-somewhere-else attitude of turning up and having some poor base-wage clerk mark your name off. YOU ARE WRONG.

      HAVE YOUR SAY OR FUCK OFF TO SOMEWHERE THAT DOESN'T CARE WHAT YOU THINK.

      If you don't care enough to vote then don't expect the rest of us to give a fuck.

    15. Re:ghuh? by Anonymous Coward · · Score: 0

      I managed to get lost in the system :D

      moved a few times and never bothered changing my details, they sent some letters asking me to do stuff then they sent one saying I was no longer on the register.

    16. Re:ghuh? by Anonymous Coward · · Score: 0

      Donkey votes are allowed and cost you nothing, while making the ame political statement.

      You were fined for being too lazy to even show up.

    17. Re:ghuh? by Rip!ey · · Score: 2, Interesting

      No. You are the one with the mis-conception.

      I can, if I choose, place all voting slips in the bin provided on the way out. I don't have to fill them out. I don't have to put them in the boxes provided. There is no electoral offence that I can be charged with if I choose to do this. It is counted as a vote.

      And yes, I have done this. I even smiled at the scrutineers and electoral officials as I did so. They can't do anything about it and they know it. I don't hide behind an informal donkey vote (forms submitted but not valid) by virtue of guaranteed confidentiality. I do it in an obvious manner, in plain view of multiple witnesses. And they can't touch me.

      Please, take your attitude and **** off. If I am ever in the position again where I look at the candidates and find myself choosing the lesser of two evils, I will do the same again. No political party shall ever be given a 'mandate' by me because they were simply the best of the worst.

    18. Re:ghuh? by Rip!ey · · Score: 1

      If you never registered to vote you wouldn't have been fined.

      Then you will be fined for failing to register. It's an offence under the Australian Electoral Act.

      When they finally catch up with you that is.

    19. Re:ghuh? by suss · · Score: 0, Troll

      Australia is notoriously regulation happy (yesterday sent off $100 fine for NOT voting in the election - that's how regulated we are.)

      If only they did the same in the USA, there wouldn't be a warmongering moron at the helm there now, for sure...

      Voting should be your duty, not just your right.

    20. Re:ghuh? by jameshowison · · Score: 1

      Obviously it is illegal not to register (or change your address) and it gets randomly cross-checked against other government records, including drivers licences and tax.

      Good luck hiding ... hope it is worth it for you :)

    21. Re:ghuh? by Anonymous Coward · · Score: 0

      A: to an extent, so long as it doesn't go against any orders from Washington.

    22. Re:ghuh? by cranos · · Score: 1

      Its people like you that make me glad voting is compulsory. You live here, enjoy the benifits of living in this country, and yet you couldn't be bothered getting off your butt to go and vote?

      I bet you bitch and moan as much as the rest of us when it comes to our government (and believe me there is lots to bitch and moan about) but you don't vote?

      When you become a citizen you take on a certain set of rights and responsibilities, voting is both, you have the right to have your say but you also have the responibility to become involved in what happens in your country.

    23. Re:ghuh? by Anonymous Coward · · Score: 0

      Actually it is NOT illegal to not register to vote. I don't know where you get that other cross checking bunk either. You are _supposed_ to register and (re "register" if you move) in your local electorate. I never have. It barely matters with Australia's mobile population.

    24. Re:ghuh? by Anonymous Coward · · Score: 0

      By not voting he is voting. It is you, who can not see that.

    25. Re:ghuh? by cranos · · Score: 1

      No he isn't he is contributing nothing. Thats the problem.

    26. Re:ghuh? by Anonymous Coward · · Score: 0

      Yep, and when you do you will be fined for all the years you dodged. My next door neighbour had to pay a couple of fines because he didn't register to vote until he was 27, then the mail started arriving...

    27. Re:ghuh? by Alan_Exs · · Score: 2, Funny

      >does this actually make the Australian politicians more responsive/responsible to the voters?

      Unfortunately they are entirely responsive/responsible to the American President

    28. Re:ghuh? by eyegone · · Score: 1
      If you weren't being sarcastic, you're vastly overestimating the intelligence of the average U.S. citizen. As unbelieveable as it may seem, the people in the U.S. who do vote are probably more intelligent and informed than the average citizen (generally speaking, of course).

      --
      "They that can give up essential liberty to obtain a little temporary safety deserve neither liberty nor safety."
    29. Re:ghuh? by Anonymous Coward · · Score: 0

      Interesting, due to external reasons I ended up getting a fine notice. The maximum payable fine was $50. Not that I care, as they accepted my reason for failure to vote.

    30. Re:ghuh? by Trongy · · Score: 1

      You have to attend a polling place to have your name marked off. You have to legally dispose of the ballot papers that you are given (i.e. put them in the ballot box). How you mark the ballot paper (or whether you mark it at all is up to you.

    31. Re:ghuh? by drsmithy · · Score: 1
      Australia is notoriously regulation happy (yesterday sent off $100 fine for NOT voting in the election - that's how regulated we are.)

      There's a pretty easy way to avoid being fined for not turning up to vote...

    32. Re:ghuh? by srn_test · · Score: 1

      You have to turn up to vote. What you do write on the balot paper(s) is secret.

      Everyong over 18 at the time of an election must register to vote.

    33. Re:ghuh? by chriskenrick · · Score: 1

      What I'm about to ask is really off-topic, but I don't get much opporunity to learn about how other countries work. Registerred voters were fined for not voting? Are they allowed to vote 'none of the above'?

      Actually, yes. As long as you turn up to a polling place and have your name ticked off, what you put on the piece of paper (eg nothing), is up to you.

    34. Re:ghuh? by Anonymous Coward · · Score: 0

      Only compulsory if you have registerd on to be on the Electoral role, which is not compulsory.

    35. Re:ghuh? by Anonymous Coward · · Score: 0

      It's probably higher than that too - in the last two state elections members of my family have got "you didn't vote, pay $50" letters even though we did.

      Of course, if you just tick the box saying "yes I did, you fucking morons, go back and check your stupid lists" and send it back, it goes no further (well, I wish that's what the box said). I don't know if they even bother to check...

    36. Re:ghuh? by Anonymous Coward · · Score: 0

      But if you forget about reregistering, you'll never get elected...

    37. Re:ghuh? by newt · · Score: 1
      What I'm about to ask is really off-topic, but I don't get much opporunity to learn about how other countries work. Registerred voters were fined for not voting? Are they allowed to vote 'none of the above'?
      The original poster is over-exaggerating. He didn't get fined for not voting, he got fined for not attending a voting booth on election day.

      It's mandatory to register to vote in Australia. And, once registered, it's mandatory to get your name ticked-off on the electoral roll each time there's a State or Federal election. But once your name is ticked off you can leave if you don't want to vote.

      The fine was for laziness, not for not voting.

      --

      -----
      I tried an internal modem, but it hurt when I walked.

    38. Re:ghuh? by Rip!ey · · Score: 1

      I bet you bitch and moan as much as the rest of us when it comes to our government but you don't vote?

      As above, I repeat.

      If I am ever in the position again where I look at the candidates and find myself choosing the lesser of two evils, I will do the same again. No political party shall ever be given a 'mandate' by me because they were simply the best of the worst.

      To imply that I never vote is to imply that there has never been a worthy candidate contesting any election in the 15 years that I have been a registered voter.

      Would you like to consider that implication as insightful? Many would.

    39. Re:ghuh? by Anonymous Coward · · Score: 0

      Voting my arse. Iraq gets to "vote" between one dictator. We get to "vote" between two. Those who see it for the sham it is would rather not waste their time choosing one monkey over the other.

    40. Re:ghuh? by Anonymous Coward · · Score: 0

      You are in error, I always vote. Make no attempt to accuse me again.

  9. This needs investigation? by Paradise+Pete · · Score: 1, Funny

    What's the big deal? Most people pee into a toilet or urinal when they have to go. What they ought to be investigating is why so many people don't wash their hands afterward. Now that's something worth looking into.

    1. Re:This needs investigation? by ArmyOfFun · · Score: 0, Offtopic

      I'd like to state first of all that I always wash my hands after going pee. However, my penis has been in my pants all day (usually). Who the hell knows what my hands have been coming into contact with while touching doors, handles, lab keyboards, etc... If anything, I should wash my hands BEFORE, not after I go pee. What we should investigate instead, is why so many people don't wash their hands before going pee.

    2. Re:This needs investigation? by Anonymous Coward · · Score: 0

      At the Yale-Harvard football game, a Harvard man was horrified to see a Yaley leaving the men's room without washing his hands.
      "At Harvard," he said haughtily, "we learn to wash our hands after urinating."
      "At Yale," the other retorted, "we learn not to urinate on our hands."

    3. Re:This needs investigation? by Anonymous Coward · · Score: 0

      what the fuck are you talking about?

    4. Re:This needs investigation? by Anonymous Coward · · Score: 0

      Haha. Fuck thats funny.

    5. Re:This needs investigation? by Anonymous Coward · · Score: 0

      At Yale, apparently, they don't teach courses in fluid flow...

    6. Re:This needs investigation? by Alphtoo · · Score: 1

      Most of us are bright enough to avoid peeing on our hands. As for the others, they're too stupid to operate soap and water.

  10. Re:booo by divide+overflow · · Score: 5, Insightful

    This is just more commie market regulation.
    Everyone knows Free Markets means Freedom!
    Market regulation is bad right?


    No, market regulation is neither bad nor good...it is simply a necessity, much as police are a necessity when large numbers of individuals are involved. Like civilized society, markets need rules too. When properly formulated and enforced, regulations ensure that everyone has a level playing field.

    Regulations can be good or bad, or neither, or both simultaneously. It all depends on how well the regulations achieve their goals...and whether you agree with them.

  11. Old issue! Remember Africa? by npendleton · · Score: 5, Interesting

    Remember the slashdot story on African ISPs having to foot the connection bill? The fundamental problem is that peripheral networks foot the bill to connect to larger networks, which foot the bill to connect to themselves (via backbones) and which connect to yet larger networks.

    So why should governments regulate this? What kind of abuse is going on? If the edge players did not buy the connection, they would die.

    Large players (e.g. AOL and MCI) are the ones vulnerable to bankruptcy for spending too heavily on infrastructure, that is quickly out of date.

    Mac Refugee, paper MCSE, linux wanna be

    1. Re:Old issue! Remember Africa? by rat_herder · · Score: 1
      So why should governments regulate this? What kind of abuse is going on?
      If only one or two companies own the pipes out of the contry they can behave baddly. As the article says, this all stems from a "broadband enquirey". It was highly critical of bigger players protecting their older investments by slowing rollout of broadband technologies.
      This is a positive development because decentralised infrastructure will, amongst other things prevent larger organisations from monopolising bandwidth.
    2. Re:Old issue! Remember Africa? by thogard · · Score: 2, Interesting

      Last year you could buy a 155mb link from Calif to Sydney for about AU$60,000/mo (US$25k). Since there are now several other compaines that have upgraded their lines, the costs have gone down.

      However years ago, Telstra (the phone compnay) set the rate for 64k ISND link to be about AU$.20/megabyte. When they did that, the rate to get a US carrier to call Australia and ship a 64k stream over was about the same. Also for that 64 K channel, you get to pay about au$300/mo if you transfer 0 bytes. The result of their high prices is that no one else would need cut their prices so the "discount" services are now charging amounts about the same. Now that Telstra has cut prices, the discount services are typically more expensive than going with the monoploy.

      Today the prices are dropping. The Kiwis (who share the link to the US) now can get 2 mb shared unlimited services for a only about NZ$500/mo (us$200ish).

    3. Re:Old issue! Remember Africa? by EverDense · · Score: 1

      The Government used to own the ONLY Australian Telecom company (at the time), now called "Telstra".
      They own all infrastructure, there is no competition in the backbone network. Telstra owns it all, and abuses
      its position.

      --
      http://jesus.everdense.com/
  12. Allan Fels by Anonymous Coward · · Score: 1, Informative

    Consumer Lapdog, not watchdog.

    1. Re:Allan Fels by cranos · · Score: 1

      Thankyou Ziggy Switowski - for those not in the know, Ziggy is the CEO of the dominant player in the Australian Telco market(Telstra) and has been slapped down many times by the ACCC for predatory business practices, as well as screwing his customers to the wall.

    2. Re:Allan Fels by cafeman · · Score: 1

      Don't blame Ziggy. Blame the board and all the current shareholders. He's limited by what they tell him to do.

      --
      This is your life, and it's ending one minute at a time.
    3. Re:Allan Fels by cranos · · Score: 1

      Yeah and Nick Whitlam is a nice guy who did what the shareholders wanted him to do.

    4. Re:Allan Fels by Anonymous Coward · · Score: 0

      Never said Ziggy was a nice guy, just that he's hamstrung. He's got the government (majority shareholders) on one side pushing for equal access, he's got the public on the other side (pushing for profits), he's got the board blocking him (they won't give him the authority to do anything significant), he's got the organisation under him (with a ridiculous amount of legacy crap and fiefdoms), and he's got the ACCC as well. The organisation is also so big that internal control is poor. I doubt Ziggy really knows exactly what's going on at a detailed level.

      A CEO is meant to be able to manage all of that, but he's sure got a harder position than most enterprise CEOs. I don't envy him.

      What I'm trying to say is that the board should be blamed as well as Ziggy. They won't let him act, and I don't know whether he's got courage to do anything significant. They're both to blame. Blame Ziggy for being unable to control the organisation and blame the board for not letting Ziggy do what he needs to. Then, blame Telstra as an organisation for profiteering - it's not Ziggy in particular, it's an organisational culture thing. They've been a monopoly for too long.

      The biggest problem is that what's good for the shareholders isn't what's good for the country.

    5. Re:Allan Fels by cranos · · Score: 1

      Good point, but as Ziggy is the public face of Telstra he is going to cop a lot of flack.

    6. Re:Allan Fels by cafeman · · Score: 1

      Very true :)

      If he's guilty of anything, it's of being a bad leader.

      --
      This is your life, and it's ending one minute at a time.
  13. Re:Allan Fells retired ages ago? by mcbridematt · · Score: 0, Offtopic

    We all know everytime someone says it, Allan Fells says it's bullshit.

  14. Null-routing? by mcbridematt · · Score: 4, Insightful

    Does this mean that ISP's with a huge number of Geek users will try null-routing slashdot and sites like it to prevent having to pay the cost when someone elses site gets slashdotted?

  15. Regulation is not the answer! by Anonymous Coward · · Score: 2, Insightful

    Australia really needs some not-for-profit (government sponsored?) peering points (IX's) like they do here in the UK (Linx, Lipex). Having large ISP's in control of the peering game will inevitably make the rules unfair.

    1. Re:Regulation is not the answer! by pflodo · · Score: 1

      This actually exists (not-for-profit & non-government) and is called AusBONE, they are getting close to critical mass in terms of the number and size of members (ISPs), to take on the big boys in town, not to say that they can't use some help.

    2. Re:Regulation is not the answer! by Gavin+Tweedie · · Score: 3, Informative

      Actually there are a few not-for-profit peering points in Australia. I am the Technical Manager of WAIX (West Australian Internet eXchange) and we are the largest public IX in Australia (by number of participants AND amount of data exchanged) and we are non-profit. WAIX (www.waia.asn.au/waix) is run by the WA Internet Association (www.waia.asn.au), a non profit association for the Internet community in WA. The South Australian Internet Association runs SAIX (www.saia.asn.au), a smaller not for profit exchange in Adelaide, SA. Ausbone (www.ausbone.net) is also non-profit and has points in Brisbane, Melbourne and Sydney. There is now also a new company running peering points in a few states, Pipe Networks (www.pipenetworks.com) are present in Brisbane, Adelaide and Sydney iirc - however they are not run on a non-profit basis but are proving to be fairly popular. Over here at WAIX we have *every* ISP in WA peered either directly or via another participant with the exception of Telstra, Primus and Worldcom. Our large peers include the likes of iiNet/Eftel/Westnet who are by far the largest three ISPs in WA, the entire WA Government, all WA Universities, Singapore Telecom (and Optus via Singtel), Comindico, Connect.com.au, Pacific Internet, Netspace and Swiftel. (Complete list at http://mrtg.waia.asn.au/mrtg) So I guess in short, no we do not need more exchanges - we can work with what we have now, but we do need pressure applied to the large national backbones to force them into peering - how they could possibly justify not peering with WAIX with its massive number of peers I don't see. As a side not we (WAIX) are attending an industry forum on Internet Interconnection this week in Sydney to discuss peering matters with the various telcos and large ISPs, all substantially large ISPs in .au have been invited, as have the major exchanges. Interesting enough this meeting was instigated by Telstra via ACIF (The Australian Communications Industry Forum) prior to this announcement from the ACCC, so I think its fair to assume Telstra is aware that they are going to have to take a bit of a more serious look at peering - or at least look as if they are interested! Also worth a mention is that we do not expect the major backbones to peer their entire network, strictly speaking we require people to peer what is financially viable for them - for some peers (Comindico & Singtel for example) actually do make their entire networks visible to the exchange, but we would be more than happy with a WA-only Telstra peer with WAIX, and I'm sure SAIX would be happy with a SA-Only telstra connection. Gavin

    3. Re:Regulation is not the answer! by Gavin+Tweedie · · Score: 1

      EEk, sorry about the lack of formating - didnt realise I had the html formatting option on.

      Gav

  16. In Australia.... by banka · · Score: 3, Funny

    ...National ISP pays YOU!

  17. On Slashdot... by Anonymous Coward · · Score: 0

    ...Michael pays to reject better stories in favor of Australian ones!

  18. Re:Allan Fells retired ages ago? by modme2 · · Score: 1, Offtopic

    He announced intention to retire at the end of his contract.

  19. Re:In Australia... by Palarran · · Score: 0, Offtopic

    On Slashdot, roads troll you.

  20. What happened to BGP? by umofomia · · Score: 5, Interesting
    There are some apparent curiosities with current interconnection arrangements. If I am connected to a smaller ISP and I send an email to my friend at one of the four larger ISPs, the larger ISP will generally charge my smaller ISP for sending the email. However, when my friend at the larger ISP sends me a return email, my smaller ISP will have to pay the larger ISP once again.
    Umm... this was the way BGP (Border Gateway Protocol: the protocol that basically routes the entire Internet, more info here) was designed to work. It's what gives ISPs incentive to cooperate yet still compete with one another. I don't see how the Australian government can do anything to change this since under BGP, there is no incentive to charge depending on which way information is flowing.

    BGP already provides some of these benefits for smaller ISPs by allowing peering relationships. Let's say there is a parent ISP A, with smaller ISPs B and C in a transit relationship to A (in other words, they pay A). If B wants to send to C, it normally has to go through A, and both B and C end up paying for it. If there is significant traffic between B and C, they may decide to set up a peering relationship, sending packets directly between one another and bypassing A. Many peering relationships are set up such that B and C don't pay each other anything, since they both end up saving money by bypassing A.

    Also, if you think about it, if A charges B for anything going from B to A and B charges A for anything going from A to B, you end up cancelling much of the money they make from one another. Granted, the larger ISP will most likely come out ahead, but it still needs to pay its bills. So it raise prices anyway in order to recoup the money that was cancelled out. In effect, the amount that the larger ISP charges will be unchanged, but there is extra work involved in keeping track of all this information. To make an analogy, does it make sense for you to charge your ISP for packets that go one way and not the other? No, you're paying them for the connection that they provide.

    Finally, how do we determine in what situations do charges apply? If an e-mail goes from A to B, it seems logical that A should pay. But if B makes a request for a web page and the web page is transferred from A to B, should A still pay? If we make different payment rules for different protocols, this will become a mess.

    In summary, I don't see how this regulation will effect anything except to make everyones lives harder.

    1. Re:What happened to BGP? by newt · · Score: 5, Informative
      BGP already provides some of these benefits for smaller ISPs by allowing peering relationships. Let's say there is a parent ISP A, with smaller ISPs B and C in a transit relationship to A (in other words, they pay A). If B wants to send to C, it normally has to go through A, and both B and C end up paying for it. If there is significant traffic between B and C, they may decide to set up a peering relationship, sending packets directly between one another and bypassing A. Many peering relationships are set up such that B and C don't pay each other anything, since they both end up saving money by bypassing A.

      The situation in Australia is that A is "Telstra", and B and C are "everyone else".

      Telstra also owns 100% of the installed base of copper lines in Australia, and about 90% of the installed base of fibre optic capacity, so if B and C decide that they want to talk to each other directly they almost always have to lease carrier services from Telstra... which has set the tarrifs so that the cost of directly linking is very similar to the cost of sending transit through Telstra in the first place.

      The monopoly sitation with respect to installed telecommunications infrastructure distorts the way the peering arrangements you have described occur. The Australian situation is similar to what you would have had in the US if AT&T were never broken up.

      For long-haul and metropolitan peering, US ISPs can obtain competitive bids from any of a number of CLECs and national carriers, or they can dig-up the sidewalks and install their own fibre. In Australia, digging up the sidewalk for laying cable is illegal without a Government-sanctioned carrier license, and there is very little in the way of competitive telecommunications infrastructure, so Telstra effectively becomes the sole provider.

      The situation is slowly changing, but it's a very fragile ecosystem at the moment. Almost all of the Telstra competitors are either in the infancy or in bankruptcy... so if you were a major ISP, would you think that peering was an economically viable long-term option?

      Finally, Telstra themselves never peer with anyone -- As far as they're concerned, every single other ISP in Australia, including the likes of Worldcom, falls into the "customer" category. Oh, hang on, there is one exception: about five years ago, the ACCC forced Telstra into peering arrangements with OzEmail and Optus (the number-2 and number-3 ISPs at the time). The terms of those arrangements remain a commercial secret, and no further peering arrangements have ever been entered by Telstra.

      - mark

      --

      -----
      I tried an internal modem, but it hurt when I walked.

    2. Re:What happened to BGP? by LarsG · · Score: 1

      The situation in Australia is that A is "Telstra", and B and C are "everyone else".

      The monopoly sitation with respect to installed telecommunications infrastructure distorts the way the peering arrangements you have described occur. The Australian situation is similar to what you would have had in the US if AT&T were never broken up.

      The Australian situation is no different from the situation in most countries where you had an old telecom monopoly - like in most of Europe. I'm wondering whether Open Spectrum and small ISPs deploying wireless technology both for last-mile and backbone links would accelerate the dismantling of the old monopolies.

      --
      If J.K.R wrote Windows: Puteulanus fenestra mortalis!
    3. Re:What happened to BGP? by Spunk · · Score: 1

      Good summary, thanks.

    4. Re:What happened to BGP? by mindstrm · · Score: 2

      Umm.. but BGP has nothign to do with who pays who.. it's just the mechanism by which routing decisions can be made.

      Here, we are talking about a large, huge, national ISP that charges EVERYONE for traffic....

      This is about forcing a peering relationship betwen a large isp and smaller ones.... not about routing protocols.

    5. Re:What happened to BGP? by newt · · Score: 1
      The Australian situation is no different from the situation in most countries where you had an old telecom monopoly - like in most of Europe.

      Yup -- And Europe is the canonical example of a place where regulation is used to curb the excesses of the free market. I mean, you don't seriously think that the likes of Sprint and WorldCom compete with European telcos on an equal footing, do you? Of course not - the local regulators restrict the activities of the incumbent telcos to give the new entrants (mainly US companies) assistance.

      (There is regulation like that in Australia: For example, Telstra is not permitted to give geographically-specific discounts off its published price schedule. So they can't react to a small carrier which is only operating in Sydney by lowering their Sydney prices, unless they also lower their prices everywhere else in Australia. Other carriers don't have that restriction. In market spaces where there is no competition, most of the restrictions on Telstra are pretty useless -- which gets us back to the peering situation, and the suppression of same by high monopoly rents)

      As for last mile technologies -- You're missing the point completely. Peering between ISPs has very little to do with last-mile links, unless the ISPs are within a few miles of each other. In many countries you also have the Government regulating the rollout of wireless gear, because the regulatory treatment which a wireless link receives is exactly the same as the regulatory treatment a wired link receives -- And if you can't dig-up the road to install fibre without a Government license, then you damn-well can't stick up a pair of antennae to achieve the same result wirelessly either. It's not the fibre which matters to the lawmakers, it's the fact that you've built a link which the Govt doesn't know about and can't wiretap.

      - mark

      --

      -----
      I tried an internal modem, but it hurt when I walked.

    6. Re:What happened to BGP? by npendleton · · Score: 1

      Also, if you think about it, if A charges B for anything going from B to A and B charges A for anything going from A to B, you end up cancelling much of the money they make from one another. Granted, the larger ISP will most likely come out ahead, but it still needs to pay its bills.

      I wish you could count! Request and ACK packets are small, so all traffic from B to A would earn A small fees. Yet reply traffic (images, iso, mp3s) is huge, so A pays B? Are you nuts?!?

      Mac Refugee, Paper MCSE, Linux Wanna be

    7. Re:What happened to BGP? by LarsG · · Score: 1

      As for last mile technologies -- You're missing the point completely. Peering between ISPs has very little to do with last-mile links, unless the ISPs are within a few miles of each other.

      I was thinking about the general difference between the old telcos and new entrants in the ISP market. The old telcos also own most of the last-mile copper in the ground, so wireless is an alternative for circumventing that.

      In many countries you also have the Government regulating the rollout of wireless gear, because the regulatory treatment which a wireless link receives is exactly the same as the regulatory treatment a wired link receives -- And if you can't dig-up the road to install fibre without a Government license, then you damn-well can't stick up a pair of antennae to achieve the same result wirelessly either.

      Can you give me examples of this? In the US, you have the FCC regulating frequency allocation, allowed emitted power. You have similar structures in EU, Japan, etc. As long as you use the bands reserved for unlicensed use (mainly 2.4GHz - i.e. 802.11/b/g), there are no restrictions on setting up a wireless link as long as you stay within allowed emitted power. Also, getting a license for using, say, 3.5GHz equipment for backbone links isn't impossible where I live.

      It's not the fibre which matters to the lawmakers, it's the fact that you've built a link which the Govt doesn't know about and can't wiretap.

      I'd love to get some background material on this. I happen to run a wireless ISP in an EU country, and I have yet to see the black helicopters arrive because the covernment can't tap my links.

      --
      If J.K.R wrote Windows: Puteulanus fenestra mortalis!
    8. Re:What happened to BGP? by Anonymous Coward · · Score: 0

      At present most major cities and some rural areas have alternatives to Telstra. Although the capacity is not huge it is there and it is being used. Optus has installed a large cap inter city network and has a couple of the other carriers. And the copper access in Australia has been deregulated, so we are seeing ADSL offered by the smaller companies. Peer to Peer should make it very easy to by-pass the Telstra backbone and decrease the cost to consumers. The big savers will be big business, the little guy will see very little change. It should be noted that Telstra ISP users generally rate Telstra internet highly.

  21. The current state of .au peering... by ghostrider_one · · Score: 5, Insightful
    ... isn't as bad as one might expect from the article. Quite a number of small and medium-sized ISPs peer, as do larger ISPs. The problem is that larger ISPs (ie Telstra, Optus, Connect.com etc) will only peer among themselves, and not with anyone further down the foodchain. Peering groups such as Pipe networks and ausbone have had good results getting the smaller ISPs to peer with eachother, and varying results with medium-sized ISPs, but the carte^H^H^H^H^Hclique of large-sized ISPs (ie have non-trivial amounts of International bandwidth, and large amounts of content on their network) just wont play ball, and the ACCC will have a fight on their hands if they want to make them.

    Complicating things is the fact that probably the biggest content host in Australia (no names, no pack drill) steadfastly refuses to peer. Of course, they're owned by $tier_1_ISP. If they peer, they give away the traffic. If they don't peer, they charge money for the traffic. What do you think they're going to do?

    1. Re:The current state of .au peering... by roybadami · · Score: 1

      The problem is that larger ISPs (ie Telstra, Optus, Connect.com etc) will only peer among themselves, and not with anyone further down the foodchain.

      I thought that was pretty much the case the world over... The largest ISPs peer with each other, and the smaller ISPs are forced to buy transit.

  22. hmmm...... by kinema · · Score: 0, Offtopic

    Sounds like a good idea now. I'll have to wait till I'm sober to make a "reasonable" decision.

  23. Build a exchange point by Openadvocate · · Score: 4, Interesting

    Kids, when I got on the internet here in Denmark, there was no world wide web. You paid for an expensive account on a unix box you could dial into. You could then access Gopher, Veronica, etc. Not that it made it less interesting, because the noise-floor on the "sigal" was very low

    Anyway, there were only one place to get connected in the beginning, then came providers and the problem that our local(inside the country) traffic, got routed half across Europe only to end up on the other side of the street. Then in 1994 came the DIX, Danish Internet eXchange point. Horray. So all a provider has to do, is to get a connection to the DIX and they can make peering agreements with other providers to route to each other networks via the DIX.
    Now if you visit their site, you can see the prices clearly stated on the page(divide by 7 to get $(damn is going down)).

    I(of course) can't see how the entire network in Australia is built, but I'd say a Exchange point would be good. I can't imagine forcing someone to pay for traffic the way the article mentions here, can be good.
    But if you set up a exchange point in a major city where everybody is represented, and the cost to get connected to it, is the cable and a small fee to keep it running. Even smaller ISP's can join.
    But then again I can't get the complete picture by just reading one article.

    --
    my sig
    1. Re:Build a exchange point by Bishop · · Score: 2, Interesting

      The first problem is that Australia is much much bigger then Denmark. The second (and bigger) problem is that for two smaller ISPs to peer they usually must buy a link from the monopoly Telstra at a cost where basically the two smaller companies would pay for every bit twice.

      We are starting to see some exchange points similar to DIX in Canada. Finally. We used to have similar problems to you where traffic going to your next door neighbour could travel a thousand kms, across timezones, and through the US.

  24. I'm from the government and I am here to help by MerlynEmrys67 · · Score: 4, Interesting
    Can someone show me a single example of the government regulating a service and the cost going DOWN. I know quite a few that the government has STOPPED regulating and the cost has gone down (see airlines, power - except for california's Dumbassed approach, banking, phones) contrast that with my cable service that seems to have a rate increase 3-4 times a year, or local phone service

    Oh well

    --
    I have mod points and I am not afraid to use them
    1. Re:I'm from the government and I am here to help by njdj · · Score: 3, Insightful

      Can someone show me a single example of the government regulating a service and the cost going DOWN

      Basically you're right about what regulation of a product or service does, but be careful - this isn't about regulating the service, it's about regulating the anti-competitive behavior of a cartel. If you look at the countries where internet access is most expensive, they have either a monopoly ISP or a cartel which prevents small companies from entering the market.

    2. Re:I'm from the government and I am here to help by Anonymous Coward · · Score: 0

      You blame California for the energy crisis when companies like Enron and William's Energy were deliberately taking energy off the market so that California would have to pay higher prices? Check out the report on CBS.com.

    3. Re:I'm from the government and I am here to help by Kierthos · · Score: 1

      Yes and no. It's not California's fault for things like what Enron, etc. were doing. It is their fault for not having enough power plants through caving in to every special interest group that wants to protect some almost endangered field rat or type of mosquito. (I kid you not. One of the things in the way of building at a particular site was that it would disrupt the breeding ground of a particular species of mosquito.)

      Kierthos

      --
      Mr. Hu is not a ninja.
    4. Re:I'm from the government and I am here to help by thogard · · Score: 2, Insightful

      Telstra is about 51% owned by the goverment. They sold off the other 49% to retired people who will lynch the local goverment if the prices drops much more. Of course they bought at the height of the dot com bubble so its a wonder that the shares are worth anything at all.

      Telstra (and the reglators) are all tring to serve two (or more) masters and it doesn't work. Until they sell off all of Telstra but they won't do that since the rural people think once that happens, they won't be able to get service anymore.

    5. Re:I'm from the government and I am here to help by cranos · · Score: 1

      Of course they shouldn't sell off Telstra, its like selling the family silver to pay the bills, once the silver is gone what are we going to do then.

      This drive for privatisation of Telstra (infrastructure at least) really doesn't make any sense. It was one of the few government run enterprises that actually made money, and then they go and sell the damn thing.

    6. Re:I'm from the government and I am here to help by Xtifr · · Score: 2, Interesting

      Actually, phones and banks are both examples of cases where government regulation worked. Maybe you don't remember the days when you had to pay a license fee for each phone extension in your house, and when long-distance calls cost an arm and a leg, but I sure do. The government came in and broke up AT&T, and, after some initial confusion (partly caused because they nearly waited too long), prices went down. Then, after competition was established in the phone market, the gummit pulled back some of the regulations, exactly as they should have done, and prices went down again. Astonishingly (at least to anti-gummit conspiracy theorists), the gummit did the right thing in both cases, and the whole thing worked pretty damn well.

      As for banks, I'm too young to remember 1929, but I know the lessons of 1929, and the only reason I'm willing to keep any of my money in banks these days is that the banks are still heavily regulated!

      What about the medical profession? Do you think it's a bad thing that anyone who wants can no longer hang up a shingle, claim to be a doctor, and dispense alcohol- and cocaine-laced syrups as all-purpose nostrums? Oh, sure, you could probably save money, but at what cost? What about the automobile industry? Do you think it's bad that we no longer have cars that explode at a tap? I could go on and on.

      The fact is that the so-called "free market" of classical economics works by positive feedback. Anyone who's studied any basic engineering should be able to point out the flaw in such a scheme, but somehow, the lassez-faire crowd are able to ignore a few divide-by-zero cases (monopolies and cartels, where the competition is zero) in their calculations.

      Do I think overregulation is bad? Yes, it's like an overengineered solution, it's too expensive. Do I think underregulation is bad? Yes, it's like an underengineered solution, fragile, and likely to break apart in a heavy wind. Do I think the proper balance is difficult to find? Yes. Do I think that means we should give up and dump all government regulations? What kind of idiot are you?

    7. Re:I'm from the government and I am here to help by thogard · · Score: 1

      They should sell all of it or buy back all of it. The current situation is a joke and helps no one.

      Telstra making money? Of course... when your a monopoly phone company and your the most expensive phone company in any developed country, its going to be profitable. Your phone bill is simply a luxury tax.

      I hear lots of excuses like Australia has lots of rural areas and it cost too much to run lines since they have to support everyone. So does Alaska except it also has to deal with ice and a population density that makes Oz look overcrowded. Take any state in Australia and you can find one in the US that has about the same population covered over the same area. For example Missouri and Vcitoria have the same area and poulation, its just the population base in Missouri is more spread out. That makes phone service more expensive to operate but the local utilites commission (something the Aussies don't have because the phone co is the goverment). The PUC says a monopoly phone company must make a 10% profit on its investment. Thats to ensure that the company will continue to provide services and can get investors to fund that development. The result is phone costs in Missouri are much lower than Australia.

      One other gripe is I can call Missouri from Melbourne on a mobile phone for 1/2 the cost of calling a local landline. To me that says something is very wrong with the price structure. If you hunt for special deals, you can call the US on a land line cheaper than you can call a town 51km away.

      Just to put it context, bills I've seen for the last month thanks to the local phone co...
      $110 for a mobile phone. $10 for the montly fees , 10 calls (less than 2 minutes) and lots of sms messages.
      $300 for a different mobile phone for work. Used like the one I used to have the US that cost me us$29/mo.
      $115 for land line phone including local calls. There was about $20 in internatioanl calls in that.
      $90 for cable internet + $65 or so for cable tv.
      Thats nearly $700. (about us$400)

      Having lived in the US and Australia, I can say that Telstra gets a larger amount of my money than any other phone company ever has. To put it a different way, at work we would have had a extra $24,000 in the year end bonus pool if Telstra would have charged a fair price for their services.

    8. Re:I'm from the government and I am here to help by cranos · · Score: 1

      And you expect this to get better if Telstra is privatised?? Keep in mind they own nearly all of the infrastructure, and would have no incentive to open it up to competitors other than the force of law.

      If they want to sell of Telstra, fine, split off the retail section from the infrastructure and sell that. Keep the infrastructure in government hands, that way Telstra becomes just another Telco and has to compete on the same playing field as the rest of them. Not only that but the government manages to hang on to a source of income rather than blow the whole thing.

    9. Re:I'm from the government and I am here to help by divide+overflow · · Score: 1


      Excellent response, Xtifr. You've got it just right. It's rare indeed when I see a /. posting like yours that makes me wish I'd written it. Kudos!

    10. Re:I'm from the government and I am here to help by j-beda · · Score: 1
      Consumer Reports had a little side-bar article a few months back tracking prices of phone service, airlines, cable TV and something else? in the years befor and after deregulation.

      There were definite kinks in the graphs of each service in the year that deregulation was introduced. However, the kinks were all the "wrong way". Prices in each of these areas were falling before deregulation, and falling after deregulation, but there were falling faster before the deregulation occurred.

      The conclusion was that is is not as easy to say "deregulation always works to the benifit of consumers" as one might think if one just looks at prices immediately before and some time after deregulation.

  25. Re:booo by CrosbieSmith · · Score: 2, Interesting

    Why is market regulation a necessity? Your analogy with policing is a false one. The best reason for policing is to stop people from interfering with my life, e.g., through theft and murder, whereas market regulation interferes with my life. Not only are these things different, they're opposed. One increases my freedom to live my life unhindered and the other actually decreases it.

  26. Re:booo by mib · · Score: 3, Informative

    Market regulation and trade restrictions are only "commie" if you're an American, whereby you pretend you don't have any (even though you do, heavily), force everyone else to abolish them, and thus stuff your own coffers even further.

  27. deregulate and cost goes up by wadiwood · · Score: 4, Interesting

    Just ask anyone with a deregulated, privatised electricity supply. Adelaide Australia (electricity up by more than 30% for Christmas), and California.

    And I don't think deregulating our airlines (Australia) helped either. They're either about to drop out the sky like they do in the USA or we're only going to have Qantas and only football teams are going to be able to afford to fly, because the airline sponsors the competition. The internet tickets may be cheaper but the I have to fly now/tomorrow tickets, which used to be the cheapest are now more expensive than ever before.

    And banking, how that has gone to shit in Australia. The banks are making huge profits, laying off lots of staff and slugging the hell out of their customers with less than multimillion turnovers. The only way to get your money out of them is to become a director or exec and then quit. Sigh. Even the shareholders are getting a raw deal out of this highway robbery.
    Bring back regulation, I say!

    My understanding with Australian internet traffic is that there are already different rates/costs and limits for upload traffic than for download traffic, especially if you have a "permanent" connection. (anyone else get dropouts on their adsl?)

    Also when I was in NZ they had a different rate for traffic downloaded from outside the country ie USA or Australia to traffic racked up within the country.

    I think some web site hosting cost more if lots of people download (upload from your server)your site too. That's why you see some sites with pleading messages not to directly link to their url, ie they'd prefer you copied their picture to your site and let your website incur the cost of people sucking onto their computers.

    actually I'm having a hard time thinking of anything where regulation has made the cost go up, as much as deregulation or privatisation has. Even our bus tickets are more expensive. And don't get me started on the UK Rail system. Yikes.

    cost of living up, take home pay down.

    --

    -- it must be true, it's on the internet.
    1. Re:deregulate and cost goes up by geekee · · Score: 1

      Power has never been deregulated in CA in recent history for any appreciable amount of time. The final cost a consumer pays has always been set by the govt. It's regulation, not deregulation that causeed the CA power crisis. Regulation removed incentive to build power plants in CA, even though increased demand was obvious, because the profit wasn't enough to offset risk. The Govts. answer was to depend on buying power from other states. These states gouged CA, knowing they would have no alternative because they didn't have enough power of their own. Deregulation would cause a short term rise in prices, but ultimately lower prices as more competitors enter markets to compete aginst gouging monopolies.

      --
      Vote for Pedro
  28. A big fat maybe... by Goonie · · Score: 3, Interesting
    It does mean that politicians are less able to skew their policies towards those more likely to vote, which is a good thing IMHO.

    As to pork barrelling, that still occurs, but pork is aimed differently to that in the US. Our arliamentary system, particularly when you throw in proportional representation in the Senate and IRV in the lower house, are quite different to the US's presidential system, and trying to explain the different dynamics to people who've never had exposure to it is kind of complex.

    --

    Any sufficiently advanced technology is indistinguishable from a rigged demo
    --Andy Finkel (J. Klass?)
  29. Monopoly-busting... by Goonie · · Score: 2, Insightful
    This is enabling a market to work fairly (or some slightly closer approximation to fairly) by bitchslapping a 400-kilogram gorilla. This isn't imposing regulation on a working market.

    When it comes to using a monopoly position to screw competitors out of the market, Telstra makes Microsoft look like an amateur. About the only difference is that rather than Microsoft buying politicians, the government owns 51% of Telstra.

    And like Microsoft, the only way it's ever going to improve is if somebody takes a hacksaw to Telstra. They should seperate the retail business into a seperate entity, which pays the network provider just like all the other telcos.

    Labor actually suggested this on the quiet (after they got themselves into a horrible mess over telecommunications policy) but I doubt they'll ever actually implement it.

    --

    Any sufficiently advanced technology is indistinguishable from a rigged demo
    --Andy Finkel (J. Klass?)
  30. Re:booo by Anonymous Coward · · Score: 0

    No, he's right, and the circular reasoning you espouse, based on a spurious premise (external rules, and agencies such as police, governments, etc.are "necessary") is precisely what is holding back the advance of civilization.

    --rgb

  31. The deal with Australian IX (long'ish) by Ndr_Amigo · · Score: 2, Informative

    And there are many regional IXes, besides things like the AUSBONE. WAIX, the Western Australian IX, is a good example of this done fairly well. Almost every ISP with a presence in the state has a presence, as well as several other big transport providers (Singtel, Comindico, etc).

    There are a few main problems with Australian peering. First, certain big, nasty corporations profit too much from providing rip-off transit services by refusing to peer with IXs. Secondly, said companies have really stupidly designed broadband solutions involving tunneling most traffic interstate -before- providing endpoint connectivity. Thus local peering is impossible thanks to stupid design. Minus one for incentive.

    The second issue is one that this will hopefully help address - BGP size. Unfortunatly, Australian BGP feeds are notoriously poluted thanks to various hacks and tricks in our national transit networks. This causes everyone a headache, as keeping a full BGP feed on a router (for both routing -and- accounting puposes) is expensive. Route tables are pretty memory hungry, and most backbone infrastructure is still driven by Cisco routers. Extra ram is not cheap, assuming you have the grunt to hold the table anyway.

    The third problem is consumer oriented. Australian ISPs -have- to make money currently because Transit is expensive here. Even with this change, transit will still be far more expensive than in most other places in the world. While solutions to this are being worked on (new links and companies trying to bypass the traditional monopolies), this means Australian consumers are almost always traffic capped and either shaped or billed after a 3-6gb allowance.

    It's not 1gb, but it's still a pain. Now, the problem is that in Western Australia we are lucky. Most ISPs give free access to the WAIX for their customers. This is fast and a major cost cutter for everybody. The IX has a lot of excellent resources - mirrors abound for everything.

    However this does not happen in most other states. Or to a limited extent. Part of this is the age-old ingress/egress problem (just because a traceroute going OUT, eg a http -request- goes via a IX, the charged incoming data usually won't) presenting both confusion and billing problems. This leads to the second part, where most IXs, eg AusBone, do -not have a well maintained list of freely peered resources available-.

    Billing is a pain for ISPs in other states as it's very hard to tell if something is freely available, and providing this as a marketing ploy (technically IXes are good... netadmins will be happy, finance may be happy - but given the outlay for ram for BGP, etc, -somebody- has to convince marketing it's a good idea :) is difficult at best. The WAIX has several fairly well maintained lists of resources, many which local ISPs list on their websites. This provides user incentive.

    AND A MAJOR GROWTH POINT. Users, if provided with a list of resources available at a freely exchanging peering point, are more likely to try and convince their providers to participate. It's simply.

    ... and that is pretty much Australian Internet Exchanges 101... from my uneducated point of view of course :)

    1. Re:The deal with Australian IX (long'ish) by Fweeky · · Score: 1
      It's not 1gb [ntl.co.uk], but it's still a pain

      That's 1GB/day, and it's a very soft limit, mainly for hitting real abusers (200G/month weenies); I used about 3.5G in the past two days. Provided I don't do it every day, ntl don't care.

      The 3-6GB limits you're talking about are, I believe, monthly, are they not? One more reason to avoid moving to Australia (right after 1. fucking huge spiders and 2. fucking huge fires :)
    2. Re:The deal with Australian IX (long'ish) by Ndr_Amigo · · Score: 1

      Oops, yeah. :) It with my birthday yesterday, brain isn't up to speed on the difference between a day and a month yet. *g*

    3. Re:The deal with Australian IX (long'ish) by Anonymous Coward · · Score: 0

      Just to provide counterpoint to move TO australia: incredible babes

    4. Re:The deal with Australian IX (long'ish) by mitsuhama · · Score: 1

      Some are, the ISP i'm with is a rolling 30 day. Pain in the arse to get any quota back.

  32. Allan Fels' resignation by acb · · Score: 1

    Unfortunately, Allan Fels announced a while ago that he will not be seeking another term at the end of this year (it is a rather demanding job). The Liberal (i.e., pro-corporate Reaganite/Thatcherite, "what's good for big business is good for Australia") government announced its candidate for his replacement, a former leader of a business organisation. It remains to be seen just how much the new tory ACCC will champion the little guy, or whether it will adopt a more "laissez-faire" approach.

  33. Smaller ISP's Paid for Spam by queenb**ch · · Score: 1

    This is just what we need! Now, instead of being threatened with de-peering for exceeding their traffic quotas, which is usually due to SPAM, we'll get more spam since the smaller ISP's will now get paid to generate all that traffic.



    ACK!!!!



    What the hell are you people thinking?????

    --
    HDGary secures my bank :/
  34. Re:booo by Anonymous Coward · · Score: 0

    No one here in America is pretending that we have no regulation. No, in fact we make a grand show of deregulation. Deregulation is of course not the repeal of regulations but a power grab by the regulatory agencies. They will always be deregulating as long as they exist. It's sort of a standing wave in the technological pipeline.

  35. Let me see now... by BSDevil · · Score: 1

    I can think of a few right off hand. For example: the UK railways system (brilliant until it was contracted out - now it's unsafe and expensive), the energy market in just about any deregulated market (yay 18% jump in energy costs in Toronto), the Canadian aviation market (when the Fed let AC buy Canadian and didn't bail out C3000, all meaningful competition ended and fares skyrocketed), the payphones (payphones used to cost a quarter when Bell was a regulated monopoly - now they're open and cost up to 40 cents). I could easily go on, but I won't (because it's boring).

    And then there's the theoretical reason why prices should go up when unregualted, especially in an industry that requires huge amounts of overhead and capital. Companies are naturally greedy. Their duty to their shareholders/owners is to create the most revenue at the least cost to them. therefore, they raise prices until the market won't hold it anymore, and then they lower them a bit. Sure, competition will try and keep things in check, but in industries where it'd difficult for a new company to break in without sizeable investment, where is the imperitus for the companies to meaningfully compete, and not to just cartel the prices up? Contrast this to a regulated system, who's goal is to ensure a "fair" price for the consumer.

    In a privatized/unregulated system, the goal is to make more money at the lowest cost by any means, and the power lies with the corporations. In a regulated system, the goal is to make more money at the lowest cost, while maintaining a "fair" price, and the power lies with the government. While the government may not be "the people," for the most part (Bush excepted, see Chirac or Schroeder for a decent example) they're closer to the wills of "the people" than the mega-corporations are.

    --
    Cue The Sun...
  36. Re:booo by Anonymous Coward · · Score: 0

    why do you hate america so much. [it's a joke, don't be mislead by the fact it's not funny]

  37. wow... by kingkade · · Score: 0, Troll

    Gee i wonder if you're the same exact person, just decided not to sign in, eh?
    See, what I wrote is in direct response to the original posting regardless of what the article is about you half-wit. And if you're too damaged to see that then you have no business using a computer.
    Now, moron...you better go, your bus is leaving.

  38. Re:booo by divide+overflow · · Score: 1

    Why is market regulation a necessity?

    Because hundreds of years of experience with markets has shown it is. Read your history and economics textbooks.

    Your analogy with policing is a false one.

    No, it isn't, and you don't provide any justification whatsoever for saying it is false. You could at least try to convince me.

    The best reason for policing is to stop people from interfering with my life, e.g., through theft and murder, whereas market regulation interferes with my life.

    Market regulation also has its benefits, just as police can also restrict your freedoms. Large businesses depend on government setting marketplace regulations to ensure that all companies know the standards of behavior. Again, regulations aren't inherently bad.

    Not only are these things different, they're opposed. One increases my freedom to live my life unhindered and the other actually decreases it.

    Give me some examples. I can certainly come up with some good examples of how market regulation can benefit you and the marketplace. Again, just because some regulations aren't in your interest you have to avoid "throwing the baby out with the bathwater" and declaring them all to be bad.

  39. Re:booo by divide+overflow · · Score: 1

    No, he's right, and the circular reasoning you espouse, based on a spurious premise (external rules, and agencies such as police, governments, etc.are "necessary") is precisely what is holding back the advance of civilization.

    I'll ignore for the moment that this sounds like flamebait, but are you really espousing anarchism as a political model for advancing civilization? Please explain how civilization would work WITHOUT rules. Even the most primitive civilizations have rules, typically lots of rules.

  40. Investigating peeing practices by Porag_Spliffing · · Score: 1

    for one sweet moment there I thought the ozzies were going to research urination style. With their famous appetite for XXXX/Fosters/VB it felt about right.

    --
    Maybe you live in interesting times
    1. Re:Investigating peeing practices by h'biki · · Score: 1
      As an Australian I can proudly say that almost NONE of us drink Fosters. It tastes like Budweiser which means it tastes like piss.

      XXXX is mostly for the Queenslanders. I know no Sydneysiders, Melbournites or Adeladians who drink XXXX.

      Toohey's New and VB are probably the most widely drunk beer in Australia. I personally prefer Hahn Premium Larger, which actually contains some german hops, but so be it.

  41. you're wrong about california electricity by wadiwood · · Score: 1

    Geekee

    I've been reading Michael Moore's book "stupid white men", and there is a lovely chapter in it for you called "idiot nation" and the supplementatry chapter "Nice planet, nobody home".

    From the penguin australia edition c2002 of his book, chapter entitled nice planet nobody home, pg138 he says that (I've paraphrased a bit)

    califorinia's electricity was supplied by regional monopolies, rates set by state legislation. Deregulation was proposed as a way for the companies to recoup what they'd spent on nuclear power plants (What? isn't california an earthquake zone, what the hell are nuke power plants doing anywhere near there?)...

    Deregulation came into effect in 1996, including a state funded bailout to the electricity companies ($20 billion USA). 4 years prices frozen at above average cost (so you're already paying more). the deregulated companies did not build more power plants but preferred to buy power from interstate at daily spot market. "outrageously inflated prices". If you haven't got a contract for the power, what are you going to say no I don't like the price today, I think I'll turn the state fridges off?

    But it gets better: The power was available. The independent (?) system operator had access to 45000 megawatts, more than enough power to cover summer peak (for you northeners, a/c seems to use more power than heating), Power companies hold back 13000 megawatts by going off line. The result is they get more demand and higher prices. Interestingly LA still has public ownership of its electricity supply and they do not go off line (read blackout).

    Still I wouldn't want to encourage anyone to use more electricity unless it is generated by a renewable source.

    And I can't recommend the book for the faint hearted or for fans of George Bush, it will just frighten you.

    --

    -- it must be true, it's on the internet.
  42. Re:booo by CrosbieSmith · · Score: 1
    Okay, obviously Slashdot has moved on, so I suppose this is more of a private conversation now.

    Obviously citing a couple of examples cannot prove that regulation is bad in general but for what it's worth, here are two:

    The first one is minimum wage regulation. Suppose I am unemployed, but in a free market, and several people offer to employee me at £3.00 per hour. If I'm unhappy about this I might approach each potential employer and suggest I'm undecided on which offer to take up, but for £3.50 I will take it on the spot. Now if all of them refuse that might suggest it isn't worth their while to employee me at that rate. My options are to grin and bear it, or stay unemployed.

    If the state now makes it illegal to employee a person at less than £4 per hour I now have no options. It isn't worth their while to employ me at that rate. It's illegal to employee me at a lower rate. I stay unemployed.

    Another example from the E.U. is that it is illegal to price fruit and vegetables in imperial units, which strikes me as ridiculous.

  43. Peering Practices? by DickBreath · · Score: 1

    Peering practices?

    So that's what they call it in Austrailia?

    Here in the US we call it Peeping Tom practices.

    --

    I'll see your senator, and I'll raise you two judges.
  44. Re:booo by CrosbieSmith · · Score: 1

    Anarchy is the absence of rulers, not the absence of rules. One obvious difficulty with anarchy then is the question of which rules should be followed. A solution could be to adopt a fixed set of rules. An example could be law as set out in a religious text. This is one way a society could have lots of rules without any centralised political authority. Another example is medieval Europe which was quite anarchic compared to modern times, but relatively law abiding thanks to the tradition of written law passed down from Roman times.

  45. Re:booo by divide+overflow · · Score: 1

    1. So now you're arguing FOR rules when before you argued AGAINST them? I'm getting dizzy....

    2. Rules get ignored if there is no organization (formal or informal, police or posse) that adequately enforces them. I just had this discussion with a friend who moved from his old neighborhood to a new community with strict homeowner's rules and enforcement to escape the drug dealers and trogolodytes who kept him awake at 1 a.m. tuning up their off road vehicles.

    3. Please provide an example of a modern country within an order of magnitude of the size of Australia that has been able to exist for more than a generation without a centralized political authority.

    In any case, none of this is even slightly relevant when it comes to maintaining order among telecommunications providers. Capitalism is a game played to win, and every game needs rules to ensure all are satisfied that it is won fairly.

  46. Re:booo by divide+overflow · · Score: 1

    Obviously citing a couple of examples cannot prove that regulation is bad in general...

    Let me say one reason for rules is that there are people and organizations that will do unacceptable things (and often feel obligated to do them in the interests of their stakeholders) in the absence of rules to the contrary. Can we then agree that rules *might be a necessary evil*?

    You site as examples rules that affect wages and labeling requirements for commerce. These are arguably bad (or misguided or selfish) regulations but certainly don't serve as arguments dismissing the value of laws such as those against price fixing in the absence of a competitive marketplace, or ones that keep large chemical companies from freely dumping carcinogens into waterways, or ones that set minimum standards for the packaging and shipment of explosive and caustic substances.

    I know that currently it is popular to imagine that modern society got where it is without laws regulating business, or that people won't do the kind of harm with corporations that individuals can do with knives and guns. But history tells us that businesses DO need regulation, and that their power and resources allow them to cause pain and suffering to a great many more people than a single individual with a baseball bat.

    Moreover, many business laws are much less dramatic than that, most serving to make business transactions more orderly and efficient. Businesses often ASK government to pass regulations to clarify what is acceptable corporate behavior and to ensure that the rules are applied equally and fairly to all competitors. This is what I meant earlier when I spoke of "providing a level playing field." Such rules are often mutually beneficial--not harmful--to business interests. Read up on the subject of Game Theory on how cooperation with enforceable rules can maximize the benefits to all the partners in a relationship.

  47. Re:booo by CrosbieSmith · · Score: 1
    1. I'm for rules against violent conduct such as theft and murder. I'm opposed to rules against voluntary conduct such as freely entered trade.

    2. I agree there needs to enforcement. I'm just not sure enforcement need be centralized.

    3. I can't provide an example, I don't think one exists. I'd be interested to see it tried but it doesn't seem to be a very popular idea.

    I guess I don't think life is fair, or ever will be. I just want to be left in peace.

  48. Smaller ISPs some relief! by $$$$$exyGal · · Score: 1
    ... the big National ISPs would have to pay smaller ISPs for traffic originating within their networks.

    Finally, this should give the smaller ISPs some relief.

    --
    Very popular slashdot journal for adul
  49. Last Post! by alpg · · Score: 0

    Conceptual integrity in turn dictates that the design must proceed
    from one mind, or from a very small number of agreeing resonant minds.
    -- Frederick Brooks Jr., "The Mythical Man Month"

    - this post brought to you by the Automated Last Post Generator...