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Brace for big Telstra broadband prices

Apex technicians

Willunga resident Raaj Menon watches Apex technicians Andrew John (on ladder) and Brad Caskey install cables linking his house with the National Broadband Network. Picture: Herald Sun Source: The Advertiser

HOUSEHOLDS will be slugged at least $73 a month for Telstra's most basic National Broadband Network plans.

The nation's biggest telco will charge customers $49.95 a month for its slowest and most basic NBN service and at least $22.95 a month to keep their telephone line as part of the deal, even if they don't want it.

The total cost of $72.90 is three times the cheapest wholesale price spruiked by the Federal Government just 14 months ago.

And the NBN offering is even slower than existing $50-a-month plans that run on the pre-NBN technology.

The new offering which has an optimum speed of 25 mbps (megabits per second) is slower than current Telstra plans that offer 30 mbps.

Consumer groups yesterday accused Telstra of betraying customers by jacking up prices for its plans under the NBN, which Australians are already funding to the tune of $38 billion.

And with Australia positioned 18th in the world in terms of broadband affordability, experts say the Telstra price offering does nothing to make things easier for consumers, despite promises from the Government that it would deliver world-class speeds to every household.

"It is disappointing that Telstra has decided not to offer a cheap, entry-level product," leading telecommunications spokeswoman Elissa Freeman says.

Ms Freeman, director of policy for the Australian Communications Consumer Action Network, said the telco "was not being upfront with its customers", by trying to keep them on the old copper network that the Government is paying it $11 billion to shut down.

"There is no good reason why customers getting internet access via a Telstra NBN service should have to keep paying Telstra line rental to use the copper network rather than simply plugging their phone into the NBN box," she said.

Telstra spokeswoman Karina Keisler yesterday said these were only the first prices to be released and they would be reviewed based on customer feedback.

"This announcement is about offering good value plans to all of our customers and keeping it simple as we roll out to NBN trial sites," she said.�

Source: http://www.news.com.au/technology/brace-for-big-telstra-broadband-prices/story-e6frfro0-1226283410412?from=public_rss

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