Predicted data spike justifies government network, NBN Co says

Cisco study shows seven-fold increase in Internet traffic by 2016.

NBN Co said a new Cisco study showing a seven-fold increase in Internet traffic by 2016 proves the urgency of deploying the NBN.

Cisco predicted Aussies will devour 708 petabytes of data monthly in 2016, 7.3 times as much as Australia consumed monthly in 2011. That’s the equivalent of 2 billion DVDs per year, and reflects a compound annual growth rate of 49 per cent, the networking company said.

Cisco made the prediction in its sixth annual Visual Networking Index Forecast (2011-2016).

"Australia's ability to participate in the digital economy is being held back by the unequal access to broadband around the country and a chronic need for faster upload speeds,” said NBN Co Chief Technology Officer, Gary McLaren.

"A National Broadband Network with fibre at its core removes these bottlenecks making it easier for families and business owners to create and send large files, work from home and participate in video chats and conferences," McLaren said. "It will enable true two-way broadband communications."

The Coalition has criticised the Labour’s fibre-to-the-home approach.

In his recent budget reply, Coalition leader Tony Abbott asked, "Why dig up every street when fibre to the node could more swiftly and more affordably deliver 21st century broadband?"

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