Telstra's plan to significantly upgrade its wireless internet services has sparked fresh debate over the viability of the national broadband network (NBN).
The telco will use new 4G technology to boost mobile internet speeds in capital cities and some regional areas by the end of the year, plans it will unveil today.
Telstra chief executive David Thodey says the "leading-edge" technology will help the company meet growing demands for mobile data, "which is doubling every year as customers move to adopt data-hungry smartphones, mobile modems and tablets".
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The announcement comes on the back of a government-commissioned report warning uptake to its $36 billion network could be stifled by wireless technologies.
The federal opposition says wireless services do make the project less viable.
"This (wireless) is going to be a real competitive force,"opposition communications spokesman Malcolm Turnbull told ABC radio.
The NBN business case assumes the increase in demand for wireless broadband won't continue, he said.
"The problem, of course, is that wireless broadband is improving as well."
But telecommunications consultant Paul Budde doesn't think growth of wireless services will affect the long-term viability of the NBN.
Sectors such as health, education, media and energy, will favour the NBN's fibre-optic technologies.
"Yes, there will be an overlap but there are applications that are impossible to run over a wireless network," Mr Budde told ABC radio.
The federal government aims to connect 93 per cent of Australian households with high-speed optical fibres by 2020.
