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No more 24Mbps ADSL!

IT Policy - Regulation

There seems to be very little chance that ISPs will be able to advertise their ADSL2+ services as delivering throughput up to 24Mbps under new guidelines issued by the ACCC.

The guidelines are contained in an information paper - Broadband Internet Speed Claims and the Trade Practices Act 1974 -  developed to assist internet service providers comply with the Trade Practices Act 1974 when advertising broadband Internet services and prevent consumers being misled as to the speeds achievable on various technologies.

Although directed at all broadband providers, it focuses primarily on ADSL2+ broadband services. Theoretically, ADSL2+ can achieve rates of 24Mbps, but the speed consumers experience is affected by a number of factors: distance from the exchange, electrical interference, the number of other users of the cable, hardware and software, wiring on the consumer's premises and even the website the consumer is trying to download.

"The purpose of the Information Paper is to encourage ISPs to provide adequate information to consumers on the factors affecting the speeds obtained and on the actual speeds or range of speeds that the ISP expects it will provide to future customers," ACCC chairman Graeme Samuel said.

Under the guidance given in the paper, it seems very unlikely that any ISP will be able to quote 24Mbps in its advertising material. It recommends that general statements such as "Broadband up to 24Mbps" and "Our 24000/1000kbps Super Plan" not be used at all, and where a maximum speed is quoted but can only be delivered to a limited number of customers, the ACCC warns that if it appears in an advertisement directed to the public at large, "there may be a contravention of the Trade Practices Act."

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