DisclaimerThis document sets out NBN Co’s proposals in respect of certain aspects of the National Broadband Network. The contents of this document represent NBN Co’s current position on the subject matter of this document. The contents of this document should not be relied upon by our stakeholders (or any other person) as representing NBN Co’s final position on the subject matter of this document, except where stated otherwise. NBN Co’s position on the subject matter of this document may also be impacted by legislative and regulatory developments in respect of the National Broadband Network. All prices shown in this document are exclusive of any GST. © NBN Co Limited 2011

NBN, Business and the Digital Economy

This document is subject to copyright and must not be used except as permitted below or under the Copyright Act 1968 (Cth). You must not reproduce or publish this document in whole or in part for commercial gain without the prior written consent of NBN Co. You may reproduce and publish this document in whole or in part for educational or non-commercial purposes as approved by NBN Co in writing. All rights reserved. Not for general distribution.

NBN Co Objectivesa Re-Cap

Coverage • Provide a wholesale service that enables competition and innovation by service providers throughout Australia

Competition • Offer open access and equivalence, creating a level competitive playing field for retail service providers

• Facilitate any to any connectivity• Promote maximum end-user choice in terms of both services

and providers Cost effective • Simplicity

• Focus on uncontested infrastructure

Customer care

• Deliver appropriate network reliability, resilience and security• Allow secure simultaneous delivery of multiple applications

with predictable levels of quality

About NBN Co

• Who we are: – Government Business Enterprise (GBE) e.g. Australia Post – We are Wholesale only - offering uniform national pricing

• What we do:– Design, build and operate a high-speed broadband network

connecting all Australians

• How we plan to do it:– 93% Fibre to the Premises (FTTP)– 7% Fixed Wireless & Satellite– 10 years, 16,000 people

• The NBN is Australia’s Largest Ever Infrastructure Project

This presentation is for informational and discussion purposes. Content is indicative only and subject to change.

NBN Co - Network Wholesaler (Layer 2 Ethernet Access)

Retail

Wholesale

Retail service provider

Retail service provider

Retail service provider

Retail service provider

Wholesaler/Aggregator

Industry Structure

This presentation is for informational and discussion purposes. Content is indicative only and subject to change.

The NBN Rollout3 Year Rollout Plan

• By June 2015, construction of the fibre network is set to be underway or completed in 1500 communities (FSAMs) containing 3.5 million premises across every state and territory in Australia – up to one third of the nation’s homes and businesses

• The average time from commence work to “ready for service” is expected to be 12 months

• At the construction peak NBN Co aims to be rolling past 6,000 premises a day• By 2021, we estimate 13 million premises will be passed• NBN Co will install fibre into new developments of 100 premises or more – an

estimated 1.9 million new premises will be constructed across Australia during the rollout

• Fixed wireless rollout is set to be completed in 2015 covering around 500,000 premises

• NBN plans to launch 2 Satellites in 2015, covering 3% of the population

This presentation is for informational and discussion purposes. Content is indicative only and subject to change.

The NBN RolloutInteractive Rollout Map

This presentation is for informational and discussion purposes. Content is indicative only and subject to change.

NBN to support key applications

Consumer BusinessSymmetrical

IndustryEg. Health

High-speed internet asymmetrical bursty

IPTV asymmetrical streaming constant

(committed rates)

VOIP constant

(committed rates)

Backup of data

Software-as-a-Service

High-definition voice and video conferencing

Online collaboration with remote workers

Online consultations

Remote diagnosis of electronic medical images

In-home monitoring of elderly and chronic disease sufferers

This presentation is for informational and discussion purposes. Content is indicative only and subject to change.

NBN Co Product Framework The NBN Co Product Roadmap

This presentation is for informational and discussion purposes. Content is indicative only and subject to change.

NBN Co Product Framework Product Roadmap

This presentation is for informational and discussion purposes. Content is indicative only and subject to change.

NBN Co Product Framework NBN Co Business Products

Business services and service enhancements (Expected in 2012)High speed broadband and multi-line telephony capability for small businesses, with service and operational enhancements for service providers.

– Potential applications:• E-learning and health applications• Small business broadband, telephony bundles • Video conferencing, video collaboration services • Multi-line telephony/small Private Automatic Branch Exchange (PABX)• Enhanced service levels and customer reporting

Medium business services (Expected in 2013)Additional traffic classes designed to support video conferencing and collaboration, data networking and additional enhanced service level options.

– Potential applications:• Video conferencing, video collaboration services • Virtual Private Networks (VPN) • e-learning and health applications• Enhanced service levels

Enterprise Ethernet Service (Expected in 2014)– Very high bandwidth options, transparency features and access redundancy, to enable service providers to serve the mission critical

sites of large enterprise customers (e.g. hospitals and banks). – Potential applications

• Very high capacity links• Virtual Private Networks (VPN) • High availability services

This presentation is for informational and discussion purposes. Content is indicative only and subject to change.

NBN is the enabler of new personal and commercial opportunities

Virtual Classrooms

Global Learning Smart Schools Collaboration

In Education

In Government E-Services Simplified

Interfaces Transparency Virtual Voting

Tele-diagnosis Research &

Development Secure health records Training of health

professionals

In Health

Commerce Manufacturing Design Transport Media

In Business In Entertainment Multiscreen Seamless

Connectivity Real 3D TV Virtual Apps

In Everything We Do

Leading edge broadband has the potential to change the way we work, live and play

You will need the right equipment, software and in-premises connection to access these services.

Opportunities for the Business MarketExtending the addressable market of...

Video Conferencing Solutions

Unified Communications

Distributed Tele-working

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Opportunities for the Business Market More and More Data in the Cloud...

• By 2015 nearly 20% of all digital information will be “touched” by Cloud Computing providers.

• Global cloud services revenue will jump by 20% per year

• Cloud Computing Services Market to reach $148.8Billion in 2014

Source: IDC , The Digital Universe Study 2011 & Gartner Forecast: Public Cloud Services, Worldwide and Regions, Industry Sectors, 2009-2014,”

Opportunities for the Business MarketEnabling Cloud Services & Private Networks across Australia...

eHealth Private Networks

Education Private Networks

Hosted business applications

Remote Backup

Enhanced Business Continuity

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Emerging Trends and final thoughts...

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• Bandwidth hungry applications are maturing• Substantial investment in Data Centre capacity• Continued explosion in consumption of digital products• Accelerating change