Townsville's Creative Services Subsector and the NBN: a Case Study
Total Page:16
File Type:pdf, Size:1020Kb
QUEENSLAND UNIVERSITY OF TECHNOLOGY, CREATIVE INDUSTRIES FACULTY, SCHOOL OF COMMUNICATION Townsville’s creative services subsector and the NBN: A case study Callum McWaters Bachelor of Business (Marketing) and Bachelor of Media & Communication (Honours). Submitted 2019, in fulfilment of the requirement for the degree of IF49 Doctor of Philosophy, School of Communication, Creative Industries Faculty, Queensland University of Technology. Keywords: Creative services subsector, Creative Industries, Townsville, National Broadband Network, NBN, Queensland, regions, creative business, regional Trident analysis, the Creative Industries Trident II, creative industries mapping, innovation, Porter’s competitive diamond. Abstract This thesis uses the regional Queensland city of Townsville as a case site for exploring the links between the creative services subsector of the creative industries and the National Broadband Network (NBN). There has been intense political debate about the social and economic benefits that the NBN might provide to the Australia. Now as the NBN nears completion there is a compelling need to evaluate the impact of the infrastructure. Business people working in the creative services subsector are uniquely positioned provide valuable insights about the impact of the NBN infrastructure. Creative services are highly intangible and are therefore likely to be conducted online, as it is easy for creative services to achieve commercial scale using the internet. Many of these types of businesses are also large broadband data consumers. Townsville was chosen as the case site because of: its status as an NBN first release site, its role as a regional hub and the difficult economic conditions endured by the city from 2011 to 2016. While the growth of Townsville’s workforce stagnated from 2011 to 2016 the city’s creative services subsector grew by six percent. This suggests that creative services are more resilient to resource driven boom-bust cycles than other parts of regional economies. Interviews showed that the NBN brought with it significant benefits. Improved business productivity was achieved through the time- and cost-saving convenience of cloud computing. This case study also suggests that if barriers to using the NBN were removed, the utility of the NBN would increase. Sub Table of Contents Abstract ................................................................................................................................................... ii List of figures ......................................................................................................................................... vii List of tables ......................................................................................................................................... viii List of abbreviations ............................................................................................................................... ix Statement of original authorship ........................................................................................................... xi Acknowledgments ................................................................................................................................. xii Chapter One: The Promise ................................................................................................................ 1 Chapter Two: The creative industries in Australia ............................................................................. 6 The creative industries ........................................................................................................................ 6 The Australian workforce .................................................................................................................... 8 Regionalism and unequal growth ................................................................................................. 10 Distance............................................................................................................................................. 13 Chapter Three: The NBN ................................................................................................................ 15 User groups and service types .......................................................................................................... 18 NBN first release sites ....................................................................................................................... 21 Broadband penetration .................................................................................................................... 22 Economic growth .......................................................................................................................... 22 Productivity ................................................................................................................................... 24 Job creation ................................................................................................................................... 24 Consumer surplus ......................................................................................................................... 24 Firm efficiency ............................................................................................................................... 25 Application to the NBN ................................................................................................................. 25 Chapter Four: Methodology ............................................................................................................. 29 Site selection ..................................................................................................................................... 29 Research design ................................................................................................................................ 31 Creative industries mapping ......................................................................................................... 32 Utilising the cluster analysis method ............................................................................................ 34 Methods ............................................................................................................................................ 35 Semi-structured interviews ........................................................................................................... 35 Creative Industries Trident II method ........................................................................................... 46 Limitations of the research design .................................................................................................... 54 Preliminary policy evaluation ........................................................................................................ 54 iii Uniqueness and transferability ..................................................................................................... 55 Chapter Five: Trident II analysis ...................................................................................................... 57 Townsville’s creative workforce 2006 to 2016 ................................................................................. 57 Pre-NBN: 2006 to 2011 ................................................................................................................. 60 Mid-NBN: 2011 to 2016 ................................................................................................................ 62 Mining in Australia and the boom-bust cycle ............................................................................... 63 Townsville’s creative economy 2016 ............................................................................................ 65 The regional Trident II ....................................................................................................................... 67 The creative economy in Queensland cities 2006–2016 .............................................................. 69 Discussion...................................................................................................................................... 72 The resilient creative services ........................................................................................................... 73 Chapter Six: Creative frontier city? ................................................................................................... 75 The political economy of Townsville (NQ) ........................................................................................ 75 Townsville’s top employing industries .......................................................................................... 76 Townsville’s development ................................................................................................................ 77 Specialisation and diversification .................................................................................................. 77 Agricultural export base ................................................................................................................ 78 Strategic military location and aviation ........................................................................................ 79 Recent growing pains ........................................................................................................................ 81 The Adani Carmichael coal mine ..................................................................................................