Naked DSL, Freedom From Added Cost Of Landline

Asher Moses

A number of Australian ADSL broadband providers are gearing up to launch "naked DSL" plans, enabling users to for the first time bypass costly line rental charges.

iiNet's plans are scheduled to launch in November, while Engin's will debut during the first quarter of next year. TPG and Internode have also indicated they will unveil naked DSL plans in the near future.

Today, those looking for an internet connection without the added cost of a landline are for the most part limited to either cable, which has limited coverage, or slower wireless broadband.

The naked DSL plans will be marginally more expensive than current DSL offerings, but the added cost will be outstripped by the fact that the user can forego paying between $20-$30 a month in line rental fees.

"Consumers will save money doing this but they won't save an amount of money equivalent to 100 per cent of their line rental," said Internode CEO Simon Hackett.

Further, some providers such as iiNet, Internode and Engin will offer naked DSL plans bundled with voice over IP (VoIP) packages, so customers can make their regular phone calls via the internet. VoIP calls are significantly cheaper than regular landline rates.

"You will save money on the combined broadband and line rental, and save further money on the phone calls," said iiNet chief operating officer Mark White.

Telstra, which makes a significant portion of its revenue selling fixed line services, has effectively blocked residential naked DSL plans from being offered in Australia earlier, said independent telecommunications analyst Paul Budde.

He said because Telstra owns the copper infrastructure and wholesales it to its competitors, the telco could previously set prices that were so high they made residential naked DSL services unviable. But a decision by the competition regulator late last year meant Telstra was forced into lowering its access prices.

"What we're seeing is there are an increasing number of people that have a mobile phone and use the mobile phone and don't need the fixed phone, but they of course do need access to broadband, and this [naked DSL], for example, allows them to buy a broadband connection without having the need to buy a telephone connection," Mr Budde said.

Mr White said iiNet was in the process of conducting naked DSL trials and would launch its services in November.

He said the entry level 4GB plan will cost $44.95, around $5 more than the ISP's equivalent regular ADSL plans.

Mr Hackett said a launch date for Internode's naked DSL plans was still to be determined but "our current rational estimate is Q1 next year".

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Deverto Systems At A Glance

The time for Next Generation Networks has arrived. Despite the several technological and organizational differentiating factors among the operators, there is one which seems to be the most important element. This is Flexibility. It is about how well the telco – regardless of the size, history in the industry, network capacity, etc. – can meet the requirements of its different users. A user may be a residential client using an ordinary telephone service but wants it cheap, an industry that needs specific, sophisticated telco services in a special bundle or a particular company in an industry who would like the standard services a “bit differently” than the others to have a market differentiator.

Deverto Systems, a successful software development company with excellent references in the NGN and IMS arena, offer a unique combination of IT and telco expertise to design, build and run an efficient and highly performing VoIP network.

The architecture of the platform and the implementation of features enable the operators to use the same software image as Class 4 or Class 5 switch, or provide IP Centrex or other Value Added Services from the same platform thus increasing flexibility and reducing the Total Cost of Ownership.

From the start, the system,is built on standards, hence the integration into the operator’s network (signaling, back office, OSS, CRM, databases, etc,) is made efficient and fast, saving money and time when launching VoIP services or new features on the VoIP network.

Deverto’s solution is a “real” softswitch i.e. there is no proprietary hardware needed to its operation but industry standard components. Therefore, the development is not hindered by bespoke hardware architectures and manufacturing bottlenecks. Moreover, the solution is meeting industry standards on all interfaces, hence the operator is not bound to purchasing and deploying specific or proprietary servers, CPEs, MTUs, Gateways, IP phones, Soft clients, set-top boxes, etc. hence enjoying the freedom to buy the best of the needed components.

The references show a large variety in access technology. They include Cable TV operators of different capacities, ISPs, ADSL resellers, Condominium complex telcos, incumbent wireline operators, challengers and even a member of one of the largest telcos of Europe who practically has all existing access technologies deployed in its access network. Due to the flexibility of the platform the size of the references range from a couple thousand lines to several ten thousand line networks.

The licensing scheme which Deverto offers is simple and is closely linked to the capacity used thus the investment is closely following the served capacity and makes the calculation of the future investment predictable.

In order to meet customer requirements in connecting the VoIP network to legacy telco networks, Deverto has selected AudioCodes to be its gateway partner in delivering signaling and media gateways.

Deverto and AudioCodes with their high quality technologies can meet high standards and can fully satisfy the needs of telcos to provide VoIP service to their clients.

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