NBNCo Offers Service Providers Cheaper Rates to Start Up on NBN

NBN Co is now making it easier for broadband service providers to offer their services to individual consumers and businesses. NBN is offering service providers discounted rates on capacity charges to help the network sell in its initial days. These discounted rates will be helpful and beneficial for all three parties; the National Broadband Network, the service providers and the individual users/consumers, so there’s good news everywhere around.

NBN is offering to rebate the wholesale charges for the first 150Mbps/month on CVC or Connectivity Virtual Circuit, up to the point that 30, 000 premises are passed in a connectivity serving area which in turn connects to a Pol or a point of interconnect. Service providers are given the opportunity to connect to the NBN through 121 PoIs, with each point servicing between 50, 000 and 162, 000 premises. Service providers will however pay the same access charges, which start from $24/month for a wholesale broadband service which is designed to achieve 121/Mbps.

Jim Hassell, NBN Co’s head of Product Development and Sales revealed that these rebates were a step towards lowering the barriers to entry for RSPs and the lowered rates were also aimed at promoting retail competition and service innovation which would lead for numerous benefits and offers for consumers. The discounted rates are also expected to give service providers a lower-cost opportunity to get into a particular geographic area and build their customer base in the early days of the network.

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