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nbn or wireless - what's best for small business?

02 May 2017 by Andrew Cutugno 0 Comments

Small businesses need to ask themselves if a mobile network would serve their business better than signing up for an NBN broadband connection, say industry experts.

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NBN could lose 20 percent of users to mobile

Telco industry experts have predicted that the nbn could lose 20 percent of its customers to super fast mobile networks.. 

Investments in mobile networks by Telstra, Optus, and Vodafone in recent years have resulted in Australia rising to lead APAC in terms of mobile speeds.

Successful telco entrepreneur, Bevan Slattery, has blasted the government for the way it has positioned the NBN.

“NBN Co. will be cannibalised out of the bottom 20 percent of its customer base...because people have to have a mobile phone, they don’t have to have a fixed line.

“The more people move from ADSL or cable onto the NBN and find that it sucks ... that will distort the market.”

“We have a business plan … that is not conducive to people consuming, it’s all about throttling speeds.”

Should small business opt for mobile wireless or NBN?

This is a question that all SMB’s should be asking themselves as we edge closer to NBN cut-over deadlines, according to Sydney telco specialists, VoicePlus.

Knowing the answer to this question will help your business to deliver the most cost-effective  Internet, data and voice service; and could also save time and money on fixed service disruptions and installation costs.For businesses who are using the web for email, running an EFTPOS Machine, POS system or Cloud accounting software, the alternative of a wireless mobile network may be a better option than NBN.


Ian Martin, New Street Research telco analyst agrees:

“It’s a reality that we’re seeing an increase in wireless networks, and they’re more and more capable of handling volumes of data. The bottom end of the market only download tens of gigabytes a month if that, so there’s a large part of the market that can be served by wireless”. 

Small Business should "do their sums"

Any business who is using up to 20GB in downloads could acheive significant advantages in opting for a mobile network over the NBN, according to VoicePlus.

Small business should do their sums taking into consideration set-up costs and ongoing costs.

With the NBN, the  ongoing data costs are lower at around $60 per month for 200GB, but set-up costs can add up including new NBN-compatible equipment, installation, and cabling. 

Meanwhile the connection process has been disruptive for many customers, and ongoing speeds have been disappointing with Telstra NBN only promising speed guarantees of 25 mbps - with a disclaimer.

New complaints about faults on NBN services jumped by 100% reported the Telecommunications Industry Ombudsman annual report 2016. Delays in connections to the network and faults such as unusable services and dropout of services as well as slow speed were the most common faults.  

In comparison, a small business could consider a mobile network instead of nbn. It could purchase the Netgear Nighthawk M1 for $250, capable of 1Gbps download speeds at $70 for 20GB per month and able to connect to 20 devices. 

This is a discussion VoicePlus is encouraging all our customers to have, as fixed data networks become increasingly complicated and problems take longer to fix. Because VoicePlus specialises in both Fixed and Mobile, we can help you put all the pieces together to consider which network will best suit your business needs.

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