Comindico's director of corporate affairs, David Forman, told ZDNet Australia the outage was caused by a software glitch in an LNS, or L2TP Network Server.
The affected customers were offline between 2pm and 6:30pm yesterday, and again this morning between 8am and 8:45am.
Longer term problems caused by the dramatic slowdowns on the Comindico network have been caused by delays imposed on upgrades from Telstra. According to Forman, those problems have been caused by an embargo placed on capacity upgrades last Friday after ATM network routing tables were somehow lost.
"We were advised that this had happened... [and] we hit a congestion wall in some states," he said.
The company had planned on performing a series of rolling upgrades as it expanded its network, but the embargo had thrown a spanner in the works.
Forman says the drama has caused the IP provider to cease processing orders, but it does expect some action from Telstra soon. He remains diplomatic when discussing the crisis.
"The impression I get is that [Telstra] are certainly not ignoring us," he said. "We understand... they're putting through the first capacity upgrade today".
By the time ZDNet Australia contacted Telstra it confirmed the upgrade had already gone though.
A spokeswoman confirmed the embargo was placed on the upgrades from Friday until Monday following an "incident on the ADSL network" on the 12th of May.
"You can't always stop incidents ocurring but we do seek to fix them as quickly as possible," she said. "We're upgrading our network this week".
