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Exploring the NBN’s wholesale market

by Jessica Dickers
May 4, 2016
in News, Retail, Telecommunications
Reading Time: 2 mins read
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The Australian Competition and Consumer Commission has released its first report into the National Broadband Network (NBN) wholesale market to help service providers make informed market decisions.

The quarterly reports will provide a detailed view of the size and structure of emerging NBN wholesale access markets as the NBN becomes more widely available over NBN access technologies.

However, the reports will not provide a view over the structure of emerging retail markets, as retail service providers can choose to acquire NBN access services or resell services offered by NBN access seekers.

ACCC Commissioner Cristina Cifuentes said, “This new report will help the continued development of competitive NBN markets that benefit broadband consumers.

“In particular, providing information on the state of the market will help service providers in the NBN environment make informed planning decisions so that they are better placed to tailor their services and products to what consumers want.

“The ACCC has been working with NBN to improve the amount and quality of information that it provides to the industry and consumers.”

The key points made in the first report include:

  •  As at 31 March 2016, nbn was supplying 941,235 wholesale access services and had contracted to supply 1,004 gigabits per second of aggregate network capacity (Connectivity Virtual Circuits) over the NBN
  •  NBN access seekers were present at the 121 listed points of interconnection (POIs), of which 115 had 3 or more access seekers
  • Telstra was acquiring the most NBN wholesale access services on a national basis. Most of the remaining wholesale access services were acquired by the TPG group, Singtel Optus and the M2 group
  •  TPG group was acquiring the most higher speed NBN wholesale access services (50 Mbps and higher), closely followed by Telstra and Singtel Optus
  •  Others carriers were also acquiring NBN wholesale access services, but only met the reporting threshold of a 5 percentage point market share in respect of wireless and satellite services

The report will be published quarterly with the next report due to be published in late July 2016.

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