WILL I PAY MORE ON THE NATIONAL BROADBAND NETWORK?

Many pundits are making claims that the National Broadband Network …the NBN is more expensive than the current ADSL networks, typically run over Telstra Copper. One thing is for certain it will be significantly faster, but will the customer have to fork our more each month for their internet access? We think not and here’s why.

At the moment most customers, about 90+% of the population that want to have an ADSL connection have to have a Phone Line to run it over. And this adds about $30 a month to a residential bill and about $40 a month to a Business bill, whether they want  the phone line or not. If you want a fast Internet connection, most locations in Australia are forced to have a Phone line to get ADSL.

Here’s a short comparison using the Telaustralia Internet and Phone bundles for comparison.

ADSL 2 delivers typical speeds of just under 10mbps, we will compare price on the 50, 100 and 250Gb plans. While around 10Mb is the average speed achieved in real life on ADSL 2, the range of speeds is between 20Mbps and 4Mbps depending on how far you are from the exchange and a host of other factors that effect ADSL speeds over copper. Maximum upload speed is 1Mb but similarly the typical upload speed is nearly half the theoretical maximum.

With NBN over Fibre to the Premises (FTP), you will get nearly 100% of your advertised speed, so if you buy a 50Mbps plan you will get very closer to that speed … currently on new NBN connections, speeds of within 5-10% of the advertised speeds are being achieved very consistently.

Currently, for comparison purposes, a 50Gb bundle on ADSL 2 is $89 a month, a 100Gb bundle is $99 and a 250Gb Bundle is $109.

The NBN will have 4 different speeds so its worth comparing all.

12Mb Download speed with 1Mb upload speed and 50Gb $60 a month, 100Gb $70 and 400Gb (no 250gb plans) would be $80 a month….so on average around $30 a month cheaper and with guaranteed speeds.

25Mb Download speed with 5Mb upload speed and 50Gb $65 a month, 100Gb $75 and 400Gb (no 250gb plans) would be $90 a month….so on average around $20-25 a month cheaper and with guaranteed speeds around double the typical ADSL connection.

50Mb Download speed with 20Mb upload speed and 50Gb $75 a month, 100Gb $85 and 400Gb (no 250gb plans) would be $100 a month….so on average around $10-15 a month cheaper and with guaranteed speeds around 5 times faster than current speeds.

100Mb Download speed with 40Mb upload speed and 50Gb $80 a month, 100Gb $90 and 400Gb (no 250gb plans) would be $105 a month….so on average around $10 a month cheaper and with speeds far in excess of current ADSL speeds…around 10 times faster and with a higher data allowance on higher end plans.

Ok but what if you want a phone plan? A average VoIP connection is $10 a month with very low rate calls so even when the access for the Phone is added in at worst your costs will be around the same and you will be getting a Super Fast Internet Connection.

THE NBN Will be cheaper for most users. The answer to the questions is , no ….you will not pay more using the NBN.