5G Home Internet vs NBN: Which Is Better for You?

5G internet is becoming an increasingly viable alternative to the NBN, with coverage constantly growing and more providers offering plans. If you’re thinking about making the switch, here’s what you need to know.

5G vs NBN: Price

By and large, 5G plans tend to be cheaper than the equivalent NBN alternative. For example, TPG’s NBN 50 plan will set you back $74.99 per month, while its 50Mbps 5G home internet plan will set you back $59.99 per month at full price

Here are the 50Mbps 5G home internet plans you can get:

And here’s how they compare to NBN 50 plans from the same providers:

Here are the 100Mbps 5G home internet plans you can get:

And here’s how they compare to NBN 100 plans from the same providers:

Lastly, here are the uncapped 5G plans you can get:

Here’s how they compare to NBN 250 plans:

5G vs NBN: Providers

If you’re looking at a 5G home internet connection, you’ve got a smaller number of providers to pick from. Your main options are Telstra, Optus, Vodafone, TPG, iiNet, Internode, and SpinTel. Meanwhile, there are over 30 providers offering NBN plans. Here’s a snapshot of the most popular NBN providers right now:

5G vs NBN: Speed

Both 5G and NBN can reach speeds as fast as 1Gbps, but your exact speeds will depend on what kind of plan you get.

NBN plans are available on six speed tiers: NBN 12, NBN 25, NBN 50, NBN 100, NBN 250, and NBN 1000. The number in the speed tier correlates to the maximum speeds you can get on that plan. An NBN 50 plan is limited to speeds of 50Mbps, for example. NBN 250 and NBN 1000 plans are only available to those with FTTP and HFC connections, however.

5G home internet plans now have speed tiers too. There are three main options: plans capped to 50Mbps, plans capped to 100Mbps, and uncapped plans. Uncapped plans can go as fast as network conditions allow in your area. In our testing, we’ve been able to achieve speeds over 600Mbps.

Peak-hour usage will also impact your speeds. 5G is more prone to congestion than NBN, however. While most NBN plans (other than NBN 1000) should see close to their maximum speeds at most times of the day, there’s far greater variance with 5G. For example, Telstra says you can expect speeds between 50Mbps and 600Mbps on its 5G home internet service.

Contracts

Both 5G home internet and NBN plans are largely contract-free. Just note that since 5G home internet plans come with a modem, you’ll typically need to return it when you leave to avoid paying a hardware fee.

Optus is the main exception to this. If you pick up an Optus 5G home internet plan and you change your mind, you’ll be stung by a costly exit fee. If you cancel your Optus plan within your first 36 months, you’ll pay a modem fee equivalent to $16 for each month left in your three-year term. That’s a maximum of $576.

The one way to get around Optus’ rule is if you can’t get speeds of at least 50Mbps. If that’s the case and Optus can’t help you improve them, you can return your modem and get out of the plan scot-free.

This modem fee policy is similar to what Optus has on its NBN plans.

Availability

The NBN is available to most Australians, but 5G has a smaller footprint. Telstra has the largest 5G network, but even then, it only covers around 80% of the Australian population.

Optus says it has over 1,000 live 5G sites, which cover over 1.4 million homes. Meanwhile, the Vodafone 5G network is said to reach over 1,000 suburbs across Sydney, Melbourne, Brisbane, Adelaide, Canberra, Perth, the Gold Coast, the Central Coast, Wollongong, and the Sunshine Coast.

In addition, just because 5G is in your area doesn’t mean you’ll be able to get a 5G home internet plan. Telstra, for example, will only sell a select number of 5G home internet plans per postcode, to avoid creating congestion.

Alex Choros is Managing Editor at WhistleOut, Australia’s phone and internet comparison website.