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In April 2014 the government formally opted for the NBN to provide a multi-technology mix rather than be predominantly FttH. Under the new scheme, FttH will connect 20% of premises by 2020, while a further 38% will be served by FttN - using the VDSL technology - and another 34% of will receive services via existing HFC networks. Using this approach, the government anticipated that 91% of premises connected to fixed-line infrastructure would receive 50Mb/s by 2020. The capital cost was put at $29.5 billion (US$27.4 billion).
In December 2014 Telstra signed agreements with the NBN company setting out the terms under which their copper network will be incorporated within the NBN' FttN infrastructure.. When regions are declared ready for service, Telstra is obliged to cease advertising new retail and wholesale services, and will have an 18 month period in which its customers will be migrated to the NBN.
The roll out of FttN didn't start until late 2015 and by mid 2016 the service has 120,000 subscribers (12% of all NBN connections). However this number is set to increase rapidly over coming years.
In September 2016 the National Broadband Network announced it would entirely abandon its plan to use the Optus Hybrid Fibre Coaxial (HFC) network to deliver high-speed broadband. It is now confident it can deploy the technology in areas where it makes better sense from a customer experience, deployment efficiency and cost perspective, rather than upgrading the old network. NBN will however still be using Telstra's more extensive HFC network as planned and is still aiming for an HFC footprint of between 2.5 and 3.2 million premises by 2020.
This report follows the roll out of the FttN network and provides information on the underlying VDSL technology. We also follow the developments in Fttdp (Fibre to the distribution point) as Buddecomm believes that this technology will become more prominent in coming years.
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