No line rental costs with new business-grade NBN: Macquarie Telecom

Telco responds to rival price increases

Telco service provider, Macquarie Telecom (ASX: MAQ), has said it will charge no line rental for up to four phone lines as part of its newly-launched “Business-Grade NBN” service.

Macquarie Telecom’s announcement is in response to Telstra’s recent announcement to increase line rental for both business and consumer products, the company noted in a statement

In a statement, Macquarie Telecom group executive, Chris Greig, said Telstra’s price increases are opportunistic and hit businesses at a time when many are already fighting to compete.

The business grade-NBN service combines four standard telephone lines with a NBN business broadband service, providing significantly enhanced bandwidth, uptime and support over typical consumer-focused packages. Businesses on the service pay no line rental charges for the four included lines, the company said in a statement.

“The NBN is more than a broadband network for more entertainment and faster Internet downloads. It’s transformational for businesses seeking to not only extend where and how they work through teleworking and other applications, but also develop innovative products and services that harness connectivity and high bandwidth in a manner not previously possible,” Greig said.

“Despite the seismic opportunities offered by the NBN, the telephone is still a business critical service: the telephone number will be part of a business’s identity for the foreseeable future. But by offering integrated services taking advantage of the NBN and Voice, we can deliver increased network flexibility and functionality in the most cost-effective way possible – without having to charge the unreasonable line-rental fees of a bygone era,” he added.

Business Grade NBN will allow business to cost effectively network branch offices and sites via either their existing MPLS IP-VPN network or the Internet, according to the statement.

All plans under the enterprise-tailored service include a router and extended business-hours service level guarantees, using always-on Ethernet connections for improved reliability and performance.

Business Grade NBN is available to businesses in Tasmania, the first state to connect to the NBN with some of the country’s highest penetration rates for fast broadband. Macquarie Telecom will roll out the service to all other states in the coming months.

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