The company responsible for the National Broadband Network (NBN) has said it would upgrade customers from fibre to the node (FttN) to fibre to the premise (FttP) because it is cheaper than alternatives such as fibre to the curb (FttC).
Speaking to the joint parliamentary committee examining the NBN business case, CEO Stephen Rue said the reason for the traditionally more expensive FttP being cheaper than FttC was due to the latter requiring a distribution point unit (DPU) to service up to four homes, with the cost of the unit being spread across homes connected to it.
But if one home is all that connects, it does not remain cheaper.
“When we when we look at a on-demand model, fibre to the premise is more cost-effective because you simply don’t know if your neighbors are also going to sign up,” Rue said.
“If you’re upgrading … one…