Home Telecoms & NBN Telstra slips as NBN hits 2m in broadband wholesale access services

Telstra slips as NBN hits 2m in broadband wholesale access services

Wholesale access services on the National Broadband Network have climbed past two million nationally, and in regional areas of Australia, Telstra maintains its dominance, but has progressively lost ground to competitors in their take-up of the wholesale services.

The latest Australian Competition and Consumer Commission Wholesale Market Indicators Report — its fifth quarterly report — covering the three months to the end of March, reveals that NBN Co was supplying 2,071,123 broadband wholesale access services, up by 365,853 since the last reporting period at the end of December.

And close to 1.2 million wholesale access services are in regional areas – compared to 733,880 in designated metro and outer metro areas.

The competition watchdog reported a progressive shift in the carve up of marketshare in regional areas of the country, with Telstra’s competitors increasing services to 46% of broadband services where the dominant telco traditionally had well over 60% marketshare.

“The NBN rollout to date has largely been in regional areas,” ACCC chairman Rod Sims said.

“Competitors to Telstra are supplying 46% of services in the regions compared with traditional market shares for broadband services where Telstra often had well over 60% market share.” The other major access seekers include TPG, Optus and Vocus Communications.

Sims says there are at least four access seeker groups acquiring NBN wholesale services directly at all 121 points of interconnection, with 55% of all services acquired at the 25/5 Mbps speed tier.

“The most popular speed tier on the NBN remains 25/5 Mbps,” Sims said.

The ACCC also reports that:

The number of HFC services in operation were 63,475, up from the 14,551 reported in the December quarter.

Demand for aggregate network capacity (Connectivity Virtual Circuit) continues to increase, with NBN Co contracted to supply 2149 gigabits per second, up 20% from 1785 gigabits per second in December 2016.

The report covers the number of NBN services in operation by access technologies — FTTP, FTTB, FTTN, HFC, fixed wireless and satellite — and also covers these services by geographic region, speed tier, and the split between voice, business and residential broadband.

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Peter Dinham

Peter Dinham is a co-founder of iTWire and a 35-year veteran journalist and corporate communications consultant. He has worked as a journalist in all forms of media – newspapers/magazines, radio, television, press agency and now, online – including with the Canberra Times, The Examiner (Tasmania), the ABC and AAP-Reuters. As a freelance journalist he also had articles published in Australian and overseas magazines. He worked in the corporate communications/public relations sector, in-house with an airline, and as a senior executive in Australia of the world’s largest communications consultancy, Burson-Marsteller. He also ran his own communications consultancy and was a co-founder in Australia of the global photographic agency, the Image Bank (now Getty Images).