The federal government has allocated an additional AU$20 million to cover a shortfall in funding for the Broadband Connect rural broadband subsidy.
Telstra will not participate as a wholesale provider in the federal government's new AU$878 million subsidised rural broadband scheme, leaving a number of smaller ISPs unable to provide new government-subsidised broadband to the bush without building their own infrastructure.
Internet service provider Internode will re-commence selling subsidised broadband services to rural areas where Telstra has ADSL infrastructure, under the federal government's AU$878 million Broadband Connect (BC) scheme.
Internet service provider Westnet plans to continue selling subsidised broadband services to rural areas under the federal government's Broadband Connect (BC) program, despite the decision of its wholesale provider, Telstra, not to participate in the scheme.
update: Communications Minister Senator Helen Coonan will allow regional Internet service providers left in the lurch by the sudden closure of a federal subsidy to claim funds under a replacement program.
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