The NBN Co advises that download caps are to remain

Oct 20 2009 / By Richard Patterson

The NBN Co recently announce that the introduction of fatter pipes to allow larger amounts of data to move across its network was unlikely to allow data download caps to be removed from internet pricing, which is something many broadband users had hoped would happen.

The NBN Co currently believe that the download restrictions that Australia implement are likely to be eventually taken up by the rest of the world even though, as many consumer through Australia have repeatedly pointed out, it is the only country in the world to have these kind of caps in place.

Speeds of at least 100Mbps will be offering to 90 percent of the Australian population, whilst the remaining 10 percent will be able to receive a minimum of 12Mbps using the NBN Co, which will be a wholesale only open access broadband network.

Pricing models for access to this new broadband network are currently only in the early stages of development and even when the price structure is decided upon the final decision will still ultimately rest with the regulator. NBN Co have, however, stated that it is not assuming that these download caps will be removed during the building of its pricing models.

The Australian model of download restrictions is currently being looked into by the rest of the world and it is likely that other countries will follow Australia’s lead, according to management at the NBN Co.

A number of telecommunications companies and offshore regulators have been revealed by the company to be watching the possible access pricing of the NBN and looking at whether it will impact the download cap model put in place in Australia.

The implementation of uncapped plans is unsustainable as investment into infrastructure has to be paid for and the most efficient method of ensuring investment in the future is to charge for usage say the management at the NBN Co.

Source – It Wire

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