
The National Broadband Network (NBN) has a rich history that spans over a decade. It was first proposed in 2007 by the Australian government.
The NBN was initially planned to be a fibre-to-the-premises (FTTP) network, but due to cost blowouts and technical issues, it was scaled back to a fibre-to-the-node (FTTN) network. This change was made to save costs and speed up the rollout.
The NBN's rollout began in 2009 and was initially expected to be completed by 2016. However, delays and setbacks pushed the completion date back to 2020.
History and Development
NBN Co was established on 9 April 2009, initially trading as "National Broadband Network Company" before being officially named "NBN Co Limited" on 6 October 2009. The company was established to deliver a national broadband network to 93% of the Australian population at 100 Mbit/s.
The Rudd government announced a plan to construct a new national network combining fibre to the premises (FTTP), fixed wireless, and satellite technologies, with the first Rudd government proposing to develop a modern optical fibre telecommunications network. The project was estimated to cost $43 billion, later revised to $37.4 billion.
The first FTTP customers were connected in July 2010, with Tasmania selected as the first state for a three-stage trial FTTP rollout. The NBN Co business plan was released on 20 December 2010, including forecasts and network design incorporating priorities for regional and rural areas.
You might like: National Broadband Plan
2009

In 2009, the Rudd government announced a plan to build a new national network combining fibre to the premises, fixed wireless, and satellite technologies.
The cost estimate for the project rose to $43 billion before being revised to $37.4 billion.
A combination of a Federal Government investment of $30.4 billion and private investment was used to finance the project.
The project was expected to provide broadband access to 93% of the Australian population at 100 Mbit/s.
Tasmania was selected for a trial deployment based on the Tasmanian Government's submission to the RFP.
NBN Co was established on 9 April 2009 with Mike Quigley appointed as the chief executive officer on 25 July.
2010
The NBN Co's business plan was released on 20 December 2010, including forecasts and network design that prioritized regional and rural areas.
This was in response to the election of the Gillard government, which had a minority government and focused on supporting cross-bench MPs from these areas.

The peak speed was increased to one gigabit per second, announced in response to Google Fiber developments in the USA.
NBN Co's business plan estimated that the NBN construction would require A$27.5 billion in government equity and raise an estimated A$13.4 billion in debt funding without government support.
This total funding requirement was estimated to be A$40.9 billion up to FY2021.
NBN Co signed an agreement with Telstra on 23 June, estimated to be worth $9 billion post-tax net present value.
Telstra agreed to lease dark fibre, exchange space, and ducts to NBN Co, and would not be able to market their mobile network as an alternative to the NBN for a number of years.
The first FTTP customers were connected in July 2010, as part of a three-stage trial FTTP rollout in Tasmania.
2013
In 2013, the Liberal-National coalition selected the Multi-Technology Mix (MTM) as the approach to broadband provision in Australia.
The MTM model used a mix of fibre to the premises (FTTP), fibre to the node (FTTN), fibre to the building or basement (FTTB), and fibre to the distribution point (FTTdp), as well as hybrid fibre coaxial (HFC) in metropolitan areas.
The previous focus on FTTP was abandoned due to excessive performance specifications and costs. The MTM model aimed to achieve earlier completion and significant cost savings compared to the earlier approach.
As of November 2013, construction of the network had passed 354,793 premises, and 109,862 customer services were active.
Curious to learn more? Check out: BT Superfast Fibre
2015

By 2015, the NBN rollout was in full swing, with 1,011,973 premises able to order services. This included 571,527 brown fields, 180,796 greenfields premises, 220,917 fixed wireless, and 38,743 interim satellite services.
The network was still experiencing issues, with cost blowouts and delays that Quigley attributed to changes made by the Coalition government. He publicly attacked the NBN and the MTM, highlighting the problems.
As of 30 June 2015, 485,615 users were active on the network. This was a significant milestone, but it was clear that more work needed to be done to address the issues plaguing the rollout.
The NBN was also expanding its coverage, with more premises being added to the network. By 30 June, 64,102 premises were classed as being "service class zero", meaning they were not yet NBN serviceable but were within the footprint of the NBN Co Fibre Network.
Expand your knowledge: Managed Network Services
History
NBN Co was established on 9 April 2009, initially under its company number, "ACN 136 533 741 Limited". The company was later officially named "NBN Co Limited" on 6 October 2009.

The Australian Government started referring to the company as "National Broadband Network Company" after its establishment, which became the de facto company name. This name change occurred shortly after the company's official naming.
NBN Co developed a satellite internet program named Sky Muster aimed at rural areas, with over $620 million invested as of July 2023. Sky Muster consists of two geosynchronous satellites orbiting over 35,000 km above Earth's surface.
The program experienced fierce competition from Starlink satellites, with Starlink offering lower latency times and higher speeds. Sky Muster's latency times were around 600 milliseconds at 25 Mbps, compared to Starlink's latency of below 40 milliseconds for 100-200 Mbps.
NBN Co's CEO, Bill Morrow, stated in February 2017 that there is no significant demand for wired connections above 25 Mbit/s. This led to a consideration of upgrading the network, but only once demand for high-bandwidth services is proven.
The Rudd government announced in 2009 that it would bypass the existing copper network by constructing a new national network combining fibre to the premises (FTTP), fixed wireless, and satellite technologies. This new network aimed to provide broadband access to 93% of the Australian population at 100 Mbit/s.
The project's cost estimate rose to $43 billion and was later revised to $37.4 billion, with a Federal Government investment of $30.4 billion and private investment for the remainder. The project was expected to be completed in 2021, with dividends to be paid to the federal government.
Additional reading: New Spectrum Cable and Internet
Network Components
A network termination device (NTD) is a customer-side network interface device that provides multiple bridges for customers to access the NBN. It's typically used for connection types like FTTP, FTTC, and FTTB.
The NTD provides two telephony and four data channels, and it requires an external power source. You can also use an uninterruptible power supply (UPS) to maintain connection in power outages. Battery backups are available for the FTTP NTD.
The NTD provides user–network interface (UNI) connections for connection of in-premises devices, typically through multiple modular jacks. It cannot be used as a Layer 3 router for in-premises networking.
Curious to learn more? Check out: Network Interface Device
Points of Interconnect
Points of Interconnect are key components of the National Broadband Network (NBN) infrastructure. They allow retail service providers (RSPs) to connect to the main NBN infrastructure. There are 121 Points of Interconnect (POIs) across the country, mostly housed inside Telstra-owned telephone exchanges.
Not all exchanges contain POIs, so data that reaches a non-POI exchange is transmitted to the closest POI through the NBN transit network. This ensures seamless connectivity between the NBN and RSP infrastructure.
If this caught your attention, see: NBN Co
POIs provide Layer 2 network access to the backhaul networks managed by RSPs, acting as a "handover point" between NBN and RSP infrastructure.
Here's a breakdown of the key features of POIs:
The role of POIs is crucial in enabling RSPs to provide broadband services to consumers, and regulators have a key role in determining the terms and conditions of access to the NBN.
Termination Device
A network termination device (NTD) is a customer-side network interface device that provides multiple bridges for customers to access the NBN. It's used to connect in-premises devices through multiple modular jacks.
NTDs provide two telephony and four data channels, depending on the kind of link. They require an external power source, and an uninterruptible power supply (UPS) can be used to maintain connection in power outages.
In FTTP NTDs, battery backups are available to maintain connection in power outages. Power is required to be provided from the premises to the kerb for FTTC connections.
NTDs cannot be used as a Layer 3 router for in-premises networking. They provide user-network interface (UNI) connections for in-premises devices.
The NTD has different types for various technologies, and all connection types but FTTN use NTDs on premises.
FTTC
Fibre to the Curb (FTTC) is a technology used by the NBN network to connect customers to the internet. It's typically used where an optical fibre cable is already close to each home or business.
FTTC uses copper connections with existing phone plugs, and an NBN-provided mains-powered FTTC connection device provides one Ethernet port for connection to a router. This device is powered through a small distribution point unit (DPU) located near the property boundary inside a pit on the street.
Each DPU can service up to four connections. This makes FTTC a relatively efficient technology in areas where the fibre cable is already nearby.
Here's a breakdown of the FTTC setup:
FTTC is a cost-effective option for the NBN network, especially in areas where the fibre cable is already close to each home or business.
Active Connections by Access Technology
The NBN network is a complex system, but let's break down the access technologies used.
The NBN network includes a range of connection technologies, including copper, fibre optic, hybrid fibre-coaxial, satellite, and fixed wireless.
These technologies allow for both wired and radio communication, and RSPs connect to the network at points of interconnect.
The NBN "Multi Technology Mix" (MTM) consists of various network technologies, including FTTN and FTTP connections.
With FTTN and FTTP connections, voice services can be provided through Voice over IP with a suitable modem, and direct connection of an analog telephone is supported.
The speed tier percentage per NBN connection type shows that customers can choose any speed tier available for their service, with the speed tier being the maximum download/upload limit of the service.
A fresh viewpoint: Network Service Provider
Telecommunications Stakeholders
Telecommunications stakeholders were divided on the National Broadband Network (NBN).
Optus, iiNet, Internode, and Vodafone expressed support for the project.
The Australian Internet Industry Association said optical fibre solutions are "a critical part in the evolution of the internet".
Internode's managing director Simon Hackett was "glad [the NBN is] going to go ahead".
Vodafone-Hutchison CEO Nigel Dews said the NBN will "transform the competitive landscape".
However, AAPT, PIPE Networks, and Exetel expressed opposition to the NBN.
AAPT's chief executive Paul A. Broad said the NBN will "stifle competition".
PIPE Networks' founder Bevan Slattery called the NBN "economically irresponsible".
Exetel's chief executive John Linton described the NBN as a "political stunt".
Microsoft, Google, and Intel supported the NBN, with Google's head of engineering Alan Noble saying it will "be the greatest enabler of innovation".
Intel's managing director Philip Cronin said the NBN has "the potential to deliver significant long term benefits".
Broaden your view: Google Fiber
Technologies and Infrastructure
The National Broadband Network's (NBN) infrastructure is a complex mix of technologies. It includes a range of connection technologies for both wired communication, such as fibre optic, and radio communication, including satellite and fixed wireless.
The NBN network supports voice services through Voice over IP with a suitable modem. FTTN and FTTP connections also support direct connection of an analog telephone.
NBN Co contracted Space Systems/Loral to build and launch two geostationary Ka band satellites in 2015, each offering eighty gigabits per second of bandwidth. This was a significant investment, costing a total of A$2 billion.
Satellite Service
The NBN's satellite service is designed to provide internet access to remote and rural areas.
NBN Co launched interim satellite services on 1 July, providing up to six megabits per second, which was later upgraded with the launch of the Sky Muster satellite network.
The Sky Muster satellite network consists of two geostationary Ka band satellites, each offering eighty gigabits per second of bandwidth, launched at a total cost of A$2 billion.
The first satellite, Sky Muster (NBN-Co 1A), was launched on 1 October 2015 and became operational in April 2016.
Sky Muster II (NBN-Co 1B) was launched on 5 October 2016 to operate in geostationary orbit of 145° East.
A satellite dish is installed on the premises with NBN Co providing an NTD with four UNI-D ports.
Two Sky Muster satellites provide NBN services to locations outside the reach of other technologies, including Christmas Island, Lord Howe and Norfolk Islands.
Where a copper connection is available, users requiring connections during electrical power outages are encouraged to keep that.
Discover more: Sky Broadband
Technologies
The National Broadband Network (NBN) uses a range of connection technologies to provide broadband access to consumers. These technologies include copper, fibre optic, hybrid fibre-coaxial (HFC), satellite, and fixed wireless.
The NBN "Multi Technology Mix" (MTM) consists of several network technologies, including FTTN, FTTP, FTTB, and HFC. FTTN and FTTP connections support direct connection of an analog telephone.
FTTP connections use fibre optic cables to deliver high-speed internet to premises. This technology is considered to be one of the most reliable and fastest options available.
The NBN "Technology Choice Program" allows individual premises to upgrade their technology, except for HFC connections. This program had limited take-up as of 23 March 2017, with 221 applications received.
Here are some of the upgrade options available through the Technology Choice Program:
- FTTB to FTTP
- FTTN to FTTP
- Fixed wireless to FTTP
- Fixed wireless to FTTN
- Fixed wireless to FTTB
- Satellite to Fixed wireless
- Satellite to FTTP
- Satellite to FTTN
- Satellite to FTTB
Fixed wireless technology uses a network of transmission towers connected by microwave and optical fibre to exchanges. This technology is used to cover around 500,000 premises in rural areas.
The NBN regulates the wholesale access service used by retail and other service providers to deliver broadband services to consumers.
Intriguing read: Full Service Network
Retail and Customer
Over 50 Retail Service Providers offered services as of February 2017, with three (Telstra, Optus, and TPG) sharing 83% of the market.
Retail prices may vary between RSPs due to their individual costs, despite uniform pricing from NBN Co. The basic package pricing is the same across technologies and locations, but regional and rural areas are cross-subsidised with metropolitan areas.
Fibre and fixed wireless plans start from $29.90 per month for the lowest tier of 12/1 megabit per second download/upload speeds and go up to $330 per month for the highest speed tier of 1000/400.
Retail Service Providers
Retail Service Providers play a crucial role in delivering Internet access and other services to consumers. Over 50 Retail Service Providers offered services as of February 2017.
Three Retail Service Providers - Telstra, Optus, and TPG - shared 83% of the market at that time. This means that a significant portion of consumers had limited choices when it came to selecting a Retail Service Provider.
A fresh viewpoint: Broadband Integrated Services Digital Network

Retail Service Providers can charge different prices for their services, even if the underlying NBN technology is the same. This is because their costs may vary, leading to varying retail prices between providers.
The basic package pricing for NBN services is uniform across metropolitan and regional areas, with regional and rural areas being cross-subsidised by lower-cost metropolitan areas.
Here's a breakdown of the basic package pricing for NBN services:
As of February 2017, the lowest tier of 12/1 megabit per second download/upload speeds started at $29.90 per month, while the highest speed tier of 1000/400 megabit per second cost $330 per month.
Customer Uptake
Customer uptake has been a point of contention for NBN Co, with the company using the term "premises passed" to measure its progress. This definition allows NBN Co to count every household that can potentially receive NBN services, even if they haven't actually signed up.
The issue is that NBN Co's corporate plan defines "premises passed" as places where "NBN services may be ordered and purchased", which some argue is a form of "creative accounting". This has led to accusations that NBN Co is inflating its numbers.
No aggregate data is available to summarize broadband speeds for connectable premises, which is a significant issue for end users as identified by the ACCC. This lack of transparency makes it difficult for consumers to make informed decisions about their internet service.
Performance and Coverage
The National Broadband Network (NBN) has a complex coverage landscape. Some areas are considered "brownfield" and were already provided with fibre connections, but many new developments are "greenfield" and require fibre connections to be installed at a cost to the developer and homeowner.
In the NBN Corporate Plan 2011-2013, it was estimated that approximately 13 million premises would be covered, with 12 million using fibre. However, this plan was abandoned in 2013.
Premises are considered "passed" when all design, construction, and quality assurance activities are completed for the Local network and Distribution network. However, certain premises classified as "service class zero" may not be able to order services, even if they've been passed, due to requiring extra internal construction.
The lack of accurate information on broadband speeds is a significant issue for end users, according to the Australian Competition & Consumer Commission (ACCC). The ACCC initiated a broadband performance monitoring program in May 2017.
In some areas, 1.6 million premises across Australia either have no access to fixed broadband or very poor broadband connectivity, as shown on the MyBroadband website in February 2014.
Performance

Performance can be a major issue for NBN end users.
The Australian Competition & Consumer Commission (ACCC) has noted that a significant issue for end users is the lack of accurate information on broadband speeds.
This lack of information can make it difficult for customers to identify who is responsible for addressing performance issues.
NBN end users have had difficulty identifying who is responsible for addressing performance issues, due to their relationship being only with their retail service provider.
This can lead to confusion and frustration for customers who are trying to resolve performance issues.
Curious to learn more? Check out: National Information Network
Coverage
Coverage can be a bit of a mixed bag in Australia, especially when it comes to the NBN. Some areas have been provided with fibre connections, but others are still waiting.
The NBN Corporate Plan 2011–2013 aimed to cover around 13 million premises, with 12 million using fibre. However, this plan was abandoned in 2013.
New developments, known as greenfield areas, must provide fibre connections at a cost to the developer and homeowner. This is a requirement, not an option.
Regulation and Policy

The Australian government established a natural monopoly with the National Broadband Network (NBN) to ensure a reliable and efficient telecommunications service. This was done to address market failures in developing the replacement telecommunications network.
The Australian Competition and Consumer Commission (ACCC) plays a crucial role in safeguarding the interests of end-users, access seekers, and NBN Co. This is achieved through NBN Co's Special Access Undertaking, which governs aspects of NBN design, service, and charging until 2040.
The ACCC regulates the NBN wholesale access service, which is used by retail and other service providers to deliver broadband services to consumers. This service is a crucial part of the NBN's operation and is subject to the ACCC's oversight.
The ACCC can determine the terms and conditions of access to the NBN through a special access undertaking submitted by NBN Co or through direct regulatory intervention using a binding rule of conduct or an access determination.
Check this out: Telecommunications Network
ACCC
The Australian Competition and Consumer Commission (ACCC) plays a crucial role in safeguarding the interests of end users, access seekers, and NBN Co. This is achieved through a Special Access Undertaking.
NBN Co has entered into this undertaking to govern aspects of NBN design, service, and charging until 2040. This agreement was made in 2013.
This undertaking provides a framework for NBN Co to operate within, ensuring that end users and access seekers have a voice in the process. The ACCC's role is to monitor and enforce this agreement to prevent market failures.
The ACCC's oversight helps to prevent a natural monopoly from arising in the telecommunications market. By doing so, it promotes competition and fair access to services.
Regulating Services
Network access providers are not allowed to discriminate in favour of themselves or between access seekers. This means they can't give preferential treatment to their own services or to certain customers over others.
We regulate the NBN wholesale access service, which is used by retail and other service providers to deliver broadband services to consumers. This service is a key part of the telecommunications network.
The NBN wholesale access service is governed by a special access undertaking submitted by NBN Co, which expires in 2040. This undertaking sets out the terms and conditions of access to the NBN.
The Australian Competition and Consumer Commission (ACCC) plays a crucial role in safeguarding the interests of end users, access seekers, and NBN Co. This is achieved through NBN Co's Special Access Undertaking.
NBN Co contracts mainly with Retail Service Providers (RSPs) to provide wholesale broadband access. This is the primary way that RSPs get access to the NBN network to deliver services to consumers.
Here's a summary of the key players involved in regulating services:
- NBN Co: submits a special access undertaking to govern aspects of NBN design, service, and charging
- ACCC: safeguards the interests of end users, access seekers, and NBN Co through NBN Co's Special Access Undertaking
- RSPs: contract with NBN Co to provide wholesale broadband access
E-Learning and Access
The National Broadband Network (NBN) plays a crucial role in providing access to services for consumers.
We regulate the NBN wholesale access service, which is used by retail and other service providers to deliver broadband services to consumers. This regulation ensures that the terms and conditions of access to the NBN are fair and reasonable.
The NBN Co has submitted a special access undertaking, which was accepted in 2013 and expires in 2040, outlining the terms and conditions of access to the NBN.
E Learning
E Learning is a crucial aspect of the digital economy. In Australia, the National Broadband Network (NBN) can play a significant role in enabling e-learning for small and medium enterprises (SMEs).
The NBN can provide competitive advantage for Australian SMEs participating in the global digital economy. However, no national goal has been set to achieve this.
E-learning can be enhanced by merging NBN Co with InfraCo, which is a proposed solution to improve the NBN's services. This merger can help bridge the digital divide and provide equal access to e-learning opportunities for all Australians.
Related reading: E Shopping Network
Access to Services
Access to services is crucial for e-learning to thrive. We regulate the NBN wholesale access service, which is used by retail and other service providers to deliver broadband services to consumers.
Our role in determining the terms and conditions of access to the NBN is significant. We can do this through a special access undertaking submitted by NBN Co or our direct regulatory intervention using a binding rule of conduct or an access determination.
In 2013, we accepted a special access undertaking from NBN Co, which expires in 2040.
Reforms and Reactions
As the National Broadband Network rollout comes to a close, there will be an opportunity for substantive wholesale telecommunications reforms. The completion of the rollout in coming years will bring about a significant shift in the way telecommunications services are delivered and regulated.
The National Broadband Network is expected to be completed in the coming years, paving the way for wholesale telecommunications reforms. This will likely involve a thorough review of the current regulatory framework to ensure it is fit for purpose in the modern telecommunications landscape.
The introduction of wholesale telecommunications reforms will likely have far-reaching implications for the telecommunications industry, including the way services are priced and delivered to consumers.
Wholesale Telecommunications Reforms
The National Broadband Network rollout is coming to an end, and with it, there's an opportunity for wholesale telecommunications reforms.
The Australian Competition & Consumer Commission recommended 121 points of interconnect after public consultation.
The original plan for a centralized model with 14 points of interconnect was overruled by the Federal Government.
NBN Co said the centralised model would have allowed smaller RSPs to connect without going through a wholesale aggregator.
The increased number of points of interconnect led to increased costs for Internode, which warned it might have to charge more in regional areas.
The industry consolidated, resulting in four major RSPs - Telstra, Optus, TPG Telecom, and Vocus Communications - accounting for the majority of the market share.
The government promised "national uniform pricing", but Minister for Communications Stephen Conroy guaranteed uniform wholesale pricing, not retail pricing.
On a similar theme: Personal Communications Network
Political and Industry Reactions
The political and industry reactions to the latest reforms have been varied and intense. The government has announced plans to increase funding for renewable energy projects, with a focus on solar and wind power.

Many politicians have praised the move, citing its potential to create jobs and reduce the country's carbon footprint. The opposition party, however, has expressed concerns about the cost of the initiative.
Industry leaders have welcomed the increase in funding, but some have also raised concerns about the potential impact on the fossil fuel industry. The CEO of a major oil company has stated that the move could lead to job losses and economic instability.
The renewable energy sector is expected to see significant growth as a result of the increased funding. According to industry reports, the sector is projected to create over 10,000 new jobs in the next two years.
The government's decision has also sparked debate about the role of fossil fuels in the country's energy mix. Some have argued that the move is a step towards a more sustainable future, while others have expressed concerns about the potential impact on energy security.
Explore further: DECT Ultra Low Energy
Frequently Asked Questions
Who owns the national broadband network?
The national broadband network (nbn) is owned by the Australian Government, represented by two Shareholder Ministers. The Government's ownership ensures the network is managed for the benefit of all Australians.
How does a national broadband network work?
The NBN uses a combination of fibre-optic cables, HFC, fixed wireless, and satellite technologies to provide high-speed internet access. This mixed approach connects homes and businesses to the network, enabling fast and reliable internet connectivity.
Featured Images: pexels.com

