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© NBN Co Limited 20121 Disclaimer This document sets out NBN Co’s proposals in respect of certain aspects of the National Broadband Network. The contents of this document represent NBN Co’s current position on the subject matter of this document. The contents of this document should not be relied upon by our stakeholders (or any other person) as representing NBN Co’s final position on the subject matter of this document, except where stated otherwise. NBN Co’s position on the subject matter of this document may also be impacted by legislative and regulatory developments in respect of the National Broadband Network. All prices shown in this document are exclusive of any GST. © NBN Co Limited 2011 (ACN 136 533 741) Joe Dennis – Melbourne, 3 August 2012
© NBN Co Limited 20122 "I think there is a world market for maybe five computers.” - Thomas Watson, chairman of IBM, 1943
© NBN Co Limited 20123 Presentation Overview What and who is the NBN? 1 1 Where is the NBN being rolled out? 2 2 How is the NBN being constructed? 3 3 Why do we need the NBN? 4 4
© NBN Co Limited 20124 NBN in a nutshell Who we are Government Business Enterprise (GBE) – like Australia Post Staffed by professional telecommunications industry experts What we are doing Connecting broadband to every single Australian premises How we are doing it 90+% Fibre to the premises (FTTP) Fixed wireless and satellite
© NBN Co Limited 20125 NBN is a wholesaler NBN Co - Layer 2 Ethernet Access Network Wholesaler Retail Wholesale Telstra Optus iiNet TPG Wholesaler/Aggregator
© NBN Co Limited 20126 90+% Fibre Coverage Indicative map By 2020
© NBN Co Limited 20127 90+% Fibre + Wireless Indicative map By 2020
© NBN Co Limited 20128 90+% Fibre + Wireless + Satellite
© NBN Co Limited 20129 What and who is the NBN? 1 1 Where is the NBN being rolled out? 2 2 How is the NBN being constructed? 3 3 Why do we need the NBN? 4 4
© NBN Co Limited 201210 Victoria - indicative *The information in these maps is based on initial detailed modelling work done by NBN Co which may change following more detailed planning and design work
© NBN Co Limited 201211 3 year rollout 11 Work to commence by June 2015 Work to commence in 2012 Work has commenced
© NBN Co Limited 201212 3 year rollout – why we have gone where Existence of transit network in loop Availability of ‘Points of interconnect,’ telephone exchanges, dark fibre links, construction of fibre nodes Prioritising the links to support our fixed wireless and satellite networks Balance between the states, and complete Tasmania by 2015 Balance between regional and metropolitan Australia Completing the sites that we had already announced Prioritising growth corridors and new development (Greenfields) sites Sequencing the build to minimise costs and operate efficiently Ensuring the build is balanced for contractors and adjusted if likely to cause congestion in local communities
© NBN Co Limited 201213 What and who is the NBN? 1 1 Where is the NBN being rolled out? 2 2 How is the NBN being constructed? 3 3 Why do we need the NBN? 4 4
© NBN Co Limited 201214 Construction Overview – Fibre Network: Replicating Modules
© NBN Co Limited 201215 Construction Overview – Physical Infrastructure Representation
© NBN Co Limited 201216 Outline of Average Design & Construction Month12345678910111213141516 Planning & DesignNBN Detailed DesignCCC Telstra Remediation TTTT ConstructionCCCCCCC TestingNBN ActivationNBN On average 12-18 months construction process per Fibre Serving Area Module (FSAM)
© NBN Co Limited 201217 NBN Co Planning & Design Process Define a Fibre Serving Area (FSA) Maintain 93% fibre coverage across Australia. Each FSA serves approximately 33,000 to 38,000 premises. Define Fibre Serving Area Modules (FSAMs). Each FSAM serves approximately 3,200 premises. The construction timing of each FSAM will be staggered within its FSA An FSA can have up to 12 FSAM Planning and Design Input and Collaboration Plan the network to minimise cost, installation time, disruption, environmental effects, and damage or remediation requirements. Request for Information to infrastructure owners (LGA, Power Utility, etc) Network Design Document (NDD) A Network Design Document (NDD) is issued representing the preliminary planning and design for one FSAM. FSAM FAN FDA FAN Detailed Design Document (DDD) Forecast Program and Scheduling Request for Information FSA
© NBN Co Limited 201218 LGA Preparedness Infrastructure: Local environment plans Heritage sites Waterways, unstable land, contaminated land, cultural sites Future zoning/sub-divisions Capital works programs Location of existing or proposed council-owned communication infrastructure, such as ducts and pits Ratepayers database Cadastral maps Land use – schools, military sites, industrial parks Digital: Community engagement Funding programs – e.g digital hubs Local/regional digital strategies
© NBN Co Limited 201219 Home connection equipment
© NBN Co Limited 201220 Mobile Wireless vs Fixed Wireless Prescribed contention ratio = higher bandwidth
© NBN Co Limited 201221 Fixed Wireless Key Characteristics LTE technology will be used as part of the fixed wireless rollout. LTE is often referred to as “4G”. Unlike 3G, LTE is designed purely for data (e.g. voice is handled as data). Key Characteristics LTE technology will be used as part of the fixed wireless rollout. LTE is often referred to as “4G”. Unlike 3G, LTE is designed purely for data (e.g. voice is handled as data).
© NBN Co Limited 201222 Satellite – How it works
© NBN Co Limited 201223 Long Term Satellite Service − Redundant high capacity Ka Band satellites − 12/1Mbps services with VoIP Support − Typical antenna size 0.8m − Target 60GB Plans = 350kbps capacity allocation − Multiple POIs − Access to all NBN Products Interim Satellite Service −6/1Mbps services with VoIP Support −NBN responsible for NTU −Targeting 6GB Plans (Peak hours) = 30kbps capacity allocation ABG Service −Non-redundant and limited Ku band capacity −Threshold service 1M/256kbps −Typical antenna size range 0.84-1.2m −Service provider responsible for NTU −Typical 2-3GB Plans (peak hour) = 10kbps capacity allocation −Single POI 23
© NBN Co Limited 201224 Satellite engineering INTERIM SATELLITE LONG TERM SATELLITE 1National & 10 spot beams Spot beams of 1 degree look angle 101 beams per satellite Small spot beams of 0.3 degree look angle (less than 300km diameter) 24
© NBN Co Limited 201225 What and who is the NBN? 1 1 Where is the NBN being rolled out? 2 2 How is the NBN being constructed? 3 3 Why do we need the NBN? 4 4
© NBN Co Limited 201226 Changing face of communications
© NBN Co Limited 201227 Changing face of communications
© NBN Co Limited 201228 Broadband usage demand increasing Source: IBISWorld, June 2012
© NBN Co Limited 201229 IBIS/IBM Report -For every 10% increase in broadband penetration, GDP increases by 1% and doubling an economy’s broadband speed increases GDP by 0.3%. -Between $2 billion and $4 billion in benefits per year from wide-scale implementation of telehealth systems; -Up to $2.4 billion in savings for households if internet access increases by 10%. -2012 – ICT expected to deliver revenue of $131 billion in Australia through faster broadband -2050 - will generate around $1 trillion in revenue. -Australian consumers will need a monthly data allowance of almost 200GB by 2020 and potentially five terabytes (TB) by 2030 Source: IBIS World: A Snapshot of Australia’s Digital Future
© NBN Co Limited 201230 SME Facts If 10% Australians teleworked 50% of time, total annual gains of up to $1.9 billion per year Online retail – 2009 = $16.9b (50% foreign) – 2015 = $33.3b 47% of consumers expect web pages to load 3 secs YouTube video searches have surpassed Yahoo, 2 nd to Google (Oct 2011 = 1b/day, 2012 = 4b+/day) Source: http://www.nbnco.com.au/assets/documents/nbnco-smb-factsheet.pdfhttp://www.nbnco.com.au/assets/documents/nbnco-smb-factsheet.pdf
© NBN Co Limited 201231
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