iiNet dumps NBN satellite plan
THE NBN's ailing satellite service which has been experiencing technical problems has forced iiNet to can its 20GB plan whose popularity was too much for the network to handle.
AUSSIE telco iiNet has announced that it is dumping its 20GB National Broadband Network satellite plan effective immediately because it is too popular.
The company's chief regulatory officer Steve Dalby said that its 10GB and 20GB plans were putting "considerable strain" on the NBN, Gizmodo reported.
The satellite service has been experiencing technical problems and has degraded satellite internet speeds.
"With no possibility of a network upgrade available from NBNCo, each new customer was adversely impacting the speed and experience of our current satellite customers," Mr Dalby said.
"So we have decided after careful consideration and for the benefit of the 6000 customers already connected to iiNet's interim satellite service to only offer our very attractive 10GB plan. We will withdraw our 20GB NBN-Satellite plan for new sales effective immediately."
As of today, iiNet's $39.95 10GB deal is its sole remaining satellite plan.
The telco said it it would replace the existing satellite service with a higher-capacity satellite solution in 2015.
The popularity of the satellite plan and the burden it put on the network demonstrates how high speed broadband will become more and more essential for Australian web users as time goes by.
Australians download between 30GB and 60GB per month according to telecommunications research firm, Telsyte.
The firm's senior analyst, Rodney Gedda told news.com.au that iiNet's decision to cap satellite downloads at 10GB per month is similar to other changes in plans by ISPs.
"Parameters like download allowances, speeds, shaping and uploads can be changed by an ISP at any time," he said.
"The new NBN satellites promise to increase bandwidth to 25/5mbps which will give RSPs more options for download allowances".
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