Smaller broadband providers have increased their market share in the NBN wholesale market in the June quarter 2022, according to the ACCC’s latest NBN Wholesale Market Indicators Report.
In the June quarter, smaller retail service providers continued the steady increase in their market share in the wholesale market compared to the top four providers, as their share increased to 12.6 per cent. The growth was led by Aussie Broadband, which increased its market share to 6.4 per cent.
In comparison, in the June quarter 2021, their combined market share was 8.2 per cent.
Wholesale market shares declined slightly for the established providers, Telstra (down to 43.3 per cent), TPG (down to 23.1 per cent), Optus (down to 13.8 per cent), and Vocus. (down to 7.2 per cent).
“The growth of smaller providers is increasing the competitive tension in broadband markets, and many Australians will see the benefit of that,” ACCC Commissioner Anna Brakey said. “Consumers have a wide range of choice for their broadband retailer, which enables them to choose the product that best suits them.”
The report also revealed that a record number of telcos now have their networks connected to the NBN at all 121 Points of Interconnection (POIs), which are the physical locations where providers can connect to the NBN.
In the June quarter, there were at least 17 providers directly acquiring NBN services at all 121 of the POIs, compared to 13 providers in the March quarter.
“More providers connected at all of the Points of Interconnection means consumers will have a wider range of broadband providers to choose from, no matter where they live,” Brakey said.
The report also noted that just over 8.7 million residential broadband services are now on the NBN, and three-quarters of those are high-speed plans of at least 50 Mbps or more.
In June 2022, the 50 Mbps service was the preferred speed tier for 55 per cent of Australians, down from 58 per cent in the March quarter.
“The popularity of the higher speed tiers means that retail competition for these customers is strong, so we recommend that consumers regularly check for new offers or newly discounted deals,” Brakey said.
