ACCC warns ISP’s to be honest about fibre speeds

  • Calls for end to misleading marketing
  • Speeds up to 100Mbps
  • NBN being rolled out in stages over 10 years

As the National Broadband Network (NBN) continues to be laid out across the country, the Australian Competition and Consumer Commission (ACCC) has warned Australian Broadband providers to be clear about the speeds customers can expect to get on their fibre service.

In a paper released by the ACCC three days ago, the organisation raised concerns over the likelihood of ISP’s using deceptive or confusing terms such as “up to” “maximum” or “peak” in relation to advertised speeds. 

“ISP’s that under-deliver on their promises and fail to demonstrate a reasonable basis for their claims will be liable to ACCC enforcement action,” ACCC chairman Graeme Samuel said.

"The increase in the availability of high-speed broadband services can offer significant benefits to consumers and an opportunity for greater competition between retail ISP’s."

"However, for these benefits to be fully realised, ISP’s must ensure that they do not market their services in a way that misleads consumers and results in an unfair competitive advantage."

Last November Optus lost a court battle to the ACCC over their misleading advertising for their ‘supersonic’ broadband plans. The ACCC found the advertisements to be misleading because Optus hadn’t made it clear customers would have their speeds reduced to 64Kbps once they had exceeded their peak or off peak data allocation.