15 October 2012: CNT Corp Pty Ltd has paid infringement notices and offered an enforceable undertaking to the Australian Competition and Consumer Commission (ACCC) after it was found that it offered and charged for wholesale fibre to the premises (FTTP) broadband internet services at data transfer rates that its network could not support. The three infringement notices totalled $19,800.
CNT Corp provides construction and operation of FTTP networks in new housing estates. CNT Corp represented that it could supply wholesale FTTP broadband internet services with downstream data transfer rates of 25, 50 and 100 megabits per second in the Eden Brook housing estate located in Pakenham, Victoria. This was not the case.
ACCC chairman Rod Sims issued the following statement:
All suppliers of broadband services must make sure they accurately represent the performance of their services. This is a cautionary tale for the telecommunications industry as it transitions to technologies that are capable of delivering faster broadband services. If you make claims about the speed of your services, you must ensure that real-world performance matches what is promised.
You can read more about these undertakings from the ACCC here.