More than 11,000 customers of ISPs iiNet and Internode will be given compensation after an investigation by the Australian Competition and Consumer Commission (ACCC) found that the internet speeds promised in their NBN contracts were not reached. The bulk of the affected customers are with fourth largest telco by subscribers iiNet, with more than 8,000 users experiencing slower than promised internet connection speeds. In addition, over 3,000 Internode customers also did not receive the NBN speeds advertised by the company. The ACCC explained that both firms advertised their highest NBN speed plan delivering a connection rate of up to 100Mbps, which subscribers of both telcos could not reach.
ACCC Commissioner Sarah Court said: ‘iiNet and Internode have admitted that between 2015 and mid-2017 they both likely engaged in misleading or deceptive conduct, or made false or misleading representations by promoting and offering NBN plans with maximum speeds that could not be delivered.’ Both iiNet and Internode will contact affected customers by email or letter by 27 April, setting out what maximum speed their NBN connection can achieve and also explain the compensation options available to them.