NBN delivers boring, solid result for 2015/2016

nbnTM, the entity building and operating Australia's National Broadband Network, has delivered a pretty dull set of annual results. The headline numbers are straightforward: there are now 1.1 million active customers (compared to 486,000 last year), and ready-for-service premises hit 2.9 million. Revenue is up to AU$421 …

[mathew42]

82% at 25Mbps or slower

In the Full Year Results on Slide 10:

- 32% (down 3%) on 12Mbps speed tier

- 50% (up 7%) on 25Mbps speed tiers

- 4% (unchanged) on 50Mbps

- 14% (down 4%) on 100Mbps

Labor decision to introduce speed tiers justifies MTM approach since people simply aren't prepared to pay for faster speeds.

Source: http://www.nbnco.com.au/corporate-information/media-centre/media-releases/nbn-exceeds-financial-year-targets.html

[Mike Echo]

Re: 82% at 25Mbps or slower

Who would be foolish enough to pay for "up to 100Mbps" if the copper making up the last mile was in such poor condition it meant that they wouldn't get anywhere near that speed? I certainly wouldn't pay for 100 if 50 was the most I could get.

[Jasonk]

Re: 82% at 25Mbps or slower

how many labor was expecting on 12/1 waMathew42 was it 50% just need you to refresh my memory please.

So if it is 50% on 12/1 and only 32% on it atm

but then your fanboy MTM service is only expecting 29% not 32% and 3

0% and not 14% on 100Mbps btw there could even deliver 30% on 100Mbps even if they where trying

[mathew42]

Re: 82% at 25Mbps or slower

I am not a fanboi of MTM.

However only a Labor fibre fanboi could fail to acknowledge that 82% and rising on 25Mbps or slower is a worse result than Labor's plan for almost 50% on 12Mbps. 82% means that very few care about FTTP and that politicians can argue that those who want faster than 25Mbps should expect to pay.

Note also that NBNCo made 1Gbps plans available in December 2013, but 3 years later we are yet to see retail plans of speeds greater than 100Mbps. Labor switched to FTTP because Telstra refused to co-operate on building FTTN and failed to seize the opportunities that presented.

Instead we see other companies starting to offer 1Gbps services.

[Jasonk]

Re: 82% at 25Mbps or slower

Lol mathew42 there your fanboy status of the MTM right there when you claim 33% on 12mbps is worst than 50% on 12Mbps. Which means labor FTTP is making more money than they where expecting lol. Much like your other claim of fttn is faster than FTTP lol.

And you your MTM has had 3 years to do something about the 1Gbps. But then again it can offer 1Gbps on fttn now can it lol. Or the fact only 7% on fttn are either 1. Choosing 100Mbps or 2. Can get 100Mbps which either way blows up your claim fttn can doe 84Mbps with no speed teirs lol.

[mathew42]

Re: 82% at 25Mbps or slower

> claim 33% on 12mbps is worst than 50% on 12Mbps.

Compare Labor's plan with what has actually been realised. The only speed tier with higher take-up is 25Mbps and I would argue this is because Telstra don't offer 12Mbps. 100Mbps, 250Mbps & shortly 500Mbps are less than Labor expected.

> And you your MTM has had 3 years to do something about the 1Gbps.

NBNCo made wholesale 1Gbps plans available to RSPs in December 2013. I'd suggest that RSPs are not offering the plans today because customer demand doesn't exist at the price point that RSPs can viably offer the plans. When you consider that the first mover will attract significant advantage bu capturing a large part of the market, this suggests 1Gbps is not going to viable for a long time.

Labor screwed the FTTP NBN up so badly that a FTTN without speed tiers would be faster for 82% of Australians today and zero RSPs are offering plans faster than 100Mbps on 1Gbps network.

[aberglas]

Bandwidth is based on the Pricing

E.g. Internode basic plan is $50 for 12/1, $55 for 25/5.

So for most people, might as well pay an extra $5 even if they have no use for the extra bandwidth. (I would be one of those if the NBN is ever delivered to my area before the money runs out.)

It would be interesting to see what people chose if the pricing was something like $30 for 5/0.5 (ADSL speeds) $50 for 12/1, and $70 for 25/5. I reckon 5/0.5 would be over 50% except in richer suburbs.

And I do not have to reckon. When the first trial of NBN was done in Hobart, very few people took it up at all. It was a well serviced inner-city area, and people's ADSL did the job for less. That is why the NBN had to force people to cut the copper. Otherwise very few would bother with the NBN at all.

(The advent of Netflix might change that a bit, but not much. 2mbs is plenty for Netflix.)