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| Adam ups DSL ante with own network | 08 Dec 2004 |
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| (Source: Australian Financial Review 08/12/04)
South Australian ISP Adam Internet will step up broadband competition in the state with a $9.6 million independent network access across Adelaide which could triple annual revenues to $50 million. Global telco Ericsson is providing DSLAM (Digital Subscriber Line Access Multiplexer) equipment for 24 Adam exchanges across the metropolitan area, which will enable Adam customers to bypass third-party networks and Telstra exchanges for faster and potentially cheaper internet access. Adam's managing director, Scott Hicks, said yesterday the new ADSL2 network could reach speeds as high as 28 megabytes a second, which was 15 times faster than present ADSL broadband technology and 500 times faster than dial-up. Mr Hicks said the company was the first Australian ISP to invest in its own infrastructure. Having its own "next generation" broadband network would enable the company to overcome present broadband restraints imposed by the major carriers and control its own costs in a highly competitive business where ADSL prices had plunged by more than 80 per cent in the last year. "Margins in broadband are very, very small at present", he said. "This should help us to improve them." Adam Internet will use the fibre optic cables of SA electricity distributor ETSA Utilities to "backhaul" its AdamDirect service to its central data centre, which will enable customers on the same exchange to use an unbundled local loop for free voice, data and video services. Telstra subsidiary NDC is helping to install and commission the new network. |
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