Telstra attacked for fluctuating NBN estimates

T4 has criticised the company over wildly varying estimates of the final build costs, which have ranged from $10 billion up to $25 billion.

Tell the Truth Telstra (T4) has slammed Telstra for the company's wildly varying estimates of the cost of building the National Broadband Network (NBN).

Telstra CEO Sol Trujillo yesterday told reporters the NBN was likely to cost over $10 billion to build, and could run as high as $15 billion.

Yet in May Telstra's base estimate for building the network was $15 billion, and less than a month later chairman Donald McGauchie estimated the build cost to be $25 billion. T4 at the time criticised Telstra over this "Zimbabwe-like inflation rate".

T4 believes the reduced estimate is a response to prospective rival Terria's assertion to the Senate that the consortium could build the NBN for around $8-10 billion.

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Dylan Bushell-Embling

Computerworld
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