It’s official. NBN Co released details of their amendment to the Wholesale Broadband Agreement signed by Retail Service Providers, revealing that they will lower the cost of their CVC (connectivity virtual circuit) “from $20.00 per Mbps to $17.50 per Mbps effective 1 February 2015”. In their letter to service providers, available on the NBN Co website, the company says they are “pleased to advise that it will reduce the CVC recurring Charge”.
The CVC is a product purchased by service providers, allowing a fixed amount of data (or bandwidth) to pass through from the NBN network to the ISP’s network. End users within a common point of interconnect share a common CVC to pass the data between networks. If an inadequate amount of CVC is purchased, end users may find their connection to slow drastically during peak hours.