Monday, May 12, 2008
Musings of an Ignorant Economist, continued
In my TUANZ talk in Wellington last week, I guesstimated that NZ could pass almost 100% of homes (ignoring only homes where the density is below 10 per road-mile) with fiber (and offer a triple play package) for $4.2 Billion (plus another $2 B to build 1000x NZ's current interntional connectivity). I just found a 2008 NZ Institute study [.pdf] that proposes to pass 75% of NZ's homes for between $4 and $5 B. I think they could do it in five years, while the NZI study says 10 years. The NZI figure includes upgraded international links, while my "study" had that as an extra -- this trades against the 75% vs "almost 100%".
The NZI study and my guesstimate are remarkably aligned. (Maybe NZI is ignorant too!)
Except for the cost of the study . . . dunno what their 24-viewgraph study cost, but the study has the flavor of McKinsey-mold consultants, so I shudder to think.
Maybe this ignorant economist, AKA Prosultant(sm), is so ignorant of economics as to underprice his services.
The NZI study and my guesstimate are remarkably aligned. (Maybe NZI is ignorant too!)
Except for the cost of the study . . . dunno what their 24-viewgraph study cost, but the study has the flavor of McKinsey-mold consultants, so I shudder to think.
Maybe this ignorant economist, AKA Prosultant(sm), is so ignorant of economics as to underprice his services.
Technorati Tags: Economics, fiberoptics, FTTH, Prosultant(sm)
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