Tuesday, 23 June 2020 10:28

Dodo, iPrimus to front court over alleged misleading broadband speed claims Featured

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Australia’s competition watchdog the ACCC is taking court action against retail service providers Dodo and iPrimus alleging they made false or misleading claims about the NBN broadband speeds their customers could achieve during busy evening hours.

The Australian Competition and Consumer Commission has instituted proceedings in the Federal Court alleging that, between March 2018 and April 2019, Dodo and iPrimus made false or misleading claims on their websites about the speeds consumers could expect if they signed up to their NBN broadband services.

“We believe many of Dodo and iPrimus’ NBN customers would have been unable to regularly receive the advertised speeds during the busy evening period of between 7pm–11pm,” ACCC Chair Rod Sims said.

“The ACCC will argue that Dodo and iPrimus - both owned by Vocus Group - used a fundamentally flawed testing methodology, developed by Vocus, which was not a reasonable basis for their advertising claims about certain typical evening speeds.”

“It is alleged that the testing methodology determined the ‘typical evening speed’ claims by using only the daily 75 fastest speeds observed across Vocus’ entire network in the busy period, excluding slower speeds where a connection was more likely to be impacted by congestion.”

“Consumers need reliable broadband speed information in order to decide which provider to get an NBN service from. How broadband speeds hold up during busy evening periods is a critical issue for many consumers, and all service providers must have a reasonable basis for the broadband speed claims that they make,” Sims said.

The ACCC says that since February 2019, the ACCC’s Measuring Broadband Australia (MBA) Program has shown Dodo and iPrimus’ broadband speeds have consistently performed towards the lower end of the nine NBN providers measured and reported on.

The ACCC is seeking declarations, penalties and costs in the Federal Court.


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Peter Dinham

Peter Dinham - retired and is a "volunteer" writer for iTWire. He is a veteran journalist and corporate communications consultant. He has worked as a journalist in all forms of media – newspapers/magazines, radio, television, press agency and now, online – including with the Canberra Times, The Examiner (Tasmania), the ABC and AAP-Reuters. As a freelance journalist he also had articles published in Australian and overseas magazines. He worked in the corporate communications/public relations sector, in-house with an airline, and as a senior executive in Australia of the world’s largest communications consultancy, Burson-Marsteller. He also ran his own communications consultancy and was a co-founder in Australia of the global photographic agency, the Image Bank (now Getty Images).

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