It ain’t about plumbing

Too many people have focussed government attention on intervening in the supply of broadband facilities. Let’s face it, it is easier to look at a dozen or so suppliers to gather information and figure out who should receive a cheque to help direct their investment in broadband facilities.

On the other side of the equation, it is hard work to stimulate demand. But this is precisely where our efforts should be focussed, as was recommended by the Berkeley Research Group (the report I discussed on Friday).

A series of stories are coming out of Australia that reinforce the need to focus more attention on broadband demand, rather than supply.

Our friends down under are realizing that the $40B National Broadband Network needs to do more than just install infrastructure. An editorial is questioning the business case and another article indicates that many homes being offered free connections still aren’t signing up for service. In fact, a majority just don’t get it.

The preliminary indications are that the NBN could be a field of nightmares – what if you build it and nobody comes? The lesson is that infrastructure is a necessary, but insufficient prerequisite for a digital economy. At some point, we must turn our minds beyond the electrons.

According to CRTC figures, there are around 8 million Canadians who don’t have broadband. Consider that one in five Canadian households does not yet a computer. How many of these households are likely to suscribe to broadband?

As the CRTC begins its hearings in Timmins today, there will be some groups calling for the CRTC to continue to intervene in the supply of broadband infrastructure.

Improving broadband adoption doesn’t need government intervention in the plumbing end of the business. Service providers are investing plenty of money to make sure the pipes are in place.

What we need is help in getting more people to drink from the broadband faucet.