Monday, August 01, 2011

Australia - The proposal for 121 interconnection points seems to raise the costs for ISPs and may favour larger players

[it wire] Internode founder Simon Hackett was the first to sound the warning about the potential anti-competitive elements of the National Broadband Network, citing the massive cost impost on smaller ISPs wishing to provide national coverage who would have to pay to connect to the 121 points of interconnect (POI). Now, a second ISP has joined the fray, saying that providing equivalent services they already provide using the NBN would multiply their costs 15-fold - and it has a point.

NBN 121 POI will raise costs and lessen competition

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