Why NBN might not be Suitable for Your Business

Why NBN might not be Suitable for Your Business

The National Broadband Network (NBN) has always been touted as the “next best thing”, but due to overspending and costly delays the NBN we have today is not what those in the industry had envisioned when it was first proposed.

Originally NBN was introduced to give every home and business the benefit of fast broadband internet. When the project first started, all homes were meant to be connected via fibre to the premises (FTTP) (meaning the network would have used fibre optic cable from the exchange all the way to the premises) this option was the fastest and least congested option. However, after changes in government and multiple budget increases Fibre to the node (FTTN)  (which uses an optic fibre link from the exchange to a local ‘node’, and then uses the original copper telephone wires between the node and the premises) was introduced to make the project cheaper and quicker.

This has two major flaws:

  1. NBN has delivered fibre to the node, but the last mile or so from the node is still utilising the old copper cables. In most areas this copper was laid up to 40 years ago. This means that a lot of early adaptors of FTTN have terrible speeds and if they wanted to improve them the owner has to replace their own copper from their home to the street at their cost.
  2. The node only has a certain amount of ports,  the number of ports do not equal the number of houses in the area. NBN usually works has around 50 homes per node. This is referred to as a 50:1 contention ratio. In peak times and as more homes are connected to the NBN this contention ratio will get higher and higher.

Aside from the infrastructure challenges of NBN there are also the logistical challenges of supporting and guaranteeing the connections. All consumer grade connections offered with the NBN do not have an up time guarantee. This means if it is down, you simply wait for it to get fixed with no timeline from the ISP.

Running a business with no service level agreement and no real speed guarantee is risky for any business. Instead of NBN a lot of the businesses are going for alternative fibre or even fixed wireless connections because of guaranteed speeds and 99.8% uptimes. According to a recent survey as many 42% of business were unhappy with their new NBN connection with issues ranging from poor speeds, constant drop outs, phone line issues, and general services issues.

So if you’re a business and don’t want to be one of 20,433 business that lodged an ombudsman complaint, it is advisable to use a different internet connection. Until NBN can sort out speed issues and release dedicated business grade internet plans with uptime guarantees.


How will your business benefit from a dedicated fibre to your premises ?

  • Guaranteed internet speeds
  • Improved downstream and upsteam speeds
  • A wider range of connection mediums.
  • 99.9% uptime
  • Better, Individualised, and quicker response support

Don’t get caught out with NBN, Call us today for a quote to change to fibre or fixed wireless today 93677100.

  • June 12, 2019