1) How will future services charges be impacted?
The fees charged for each service will be clearly outlined within the portal at time of order. Any price increase for impacted service types will only apply to new services and will depend on the type of service.
Cross Connects
Cross Connects will no longer be differentiated between “Rack to Carrier” and “Rack to Rack” cross connects. These will be consolidated into a single Cross Connect service allowing for connectivity anywhere within a facility at a single price point.
When compared to the legacy Rack to Carrier service to the new Cross Connect service monthly charges will increase by up to 12% for any additional services ordered. When compared to the legacy Rack to Rack cross connect service, monthly charges will be lower by up to 43% for any additional services ordered.
Data Centre Interconnect Ethernet (DCIe)
Data Centre Interconnect Ethernet (DCIe) services are also now aligned to the SMOF Cross Connect service.
Data Centre Interconnect Fibre (DCIf)
Data Centre Interconnect Fibre (DCIf) services have been reduced for any additional services ordered.
Cable Licenses
All new Cable licenses will have an Establishment fee and a Make Good Review Fee applied reflecting a contribution to the costs involved in reviewing and supporting the initial installation and reviewing the removal at the end of the cable license term. The Make Good Review Fee will only apply when the service is cancelled.
Decommissioning Fees
Any new connectivity services will incur a decommissioning fee when the services are cancelled. This charge has been implemented after careful consideration and reflects a partial contribution to the operational costs of removing the cross connect. Existing cross connects established prior to 4 October 2025 will not incur any decommissioning fees irrespective of when they are cancelled.
2) Why are prices for certain services (e.g., Rack to Carrier cross connects) increasing?
This change has been made to simplify the connectivity pricing structure. While some individual line items are slightly higher, others have been reduced. Rack to Rack connectivity is a prime example where the cost is materially lower allowing for customers to more effectively leverage and connect to other ecosystem partners where previously it may have been cost prohibitive to do so.
Please note these changes do not apply to existing services - only new orders made after the 5th October.
3) Why have decommissioning fees been introduced?
Prior to making this change, a detailed review of all connectivity services was undertaken. The labour involved in commissioning and decommissioning cross connects is substantially higher than current fees being charged.
Rather than increase the initial establishment fee, we elected to assign a decommissioning fee. This approach meets several criteria:
- Delays the customer charge as long as possible.
- Better assigns partial cost recovery to the activity that generates the cost.
The maximum charge to decommission a cross connect when the new portal is launched is $153.00 ex GST and is only charged on new services ordered after 5 October, 2025. All existing services will not attract a decommissioning fee. Over a typical cross connect term of 5 years, this equates to $2.55 per month.
We acknowledge that any fee increases are not desired and aimed to minimise any increases.
4) How do these changes compare to the broader market?
Some of the changes may differ to how other providers price their services. We have carefully considered the different pricing methodologies in market and created an approach we believe allows for an optimal balance between aligning with customer’s operational requirements, cost recovery and transparency.
Several examples provide further insight into the underlying methodology to the NEXTDC price book creation.
- Cancellation date effective immediately
- Cross Connect billing is cancelled from the date of request rather than requiring a minimum of 30 days notice – a notice period that is charged to your account.
- Fee alignment to activity
- The fees charged are aligned to the costs incurred with providing the service.
- No connectivity contract terms
- All NEXTDC Cross Connects, DCIe, DCIf and AXON services are provided with no minimum contract terms at the same price point allowing maximum flexibility to adjust your requirements as your organisation changes.
5) Are there any changes to minimum connectivity contract terms?
No. All NEXTDC cross connects, Data Centre Interconnect services and Cable Licenses continue with no contract terms allowing you to terminate the services at any time offering you maximum flexibility.
6) How do I see a list of all my current Cross Connects deployed?
A key change in the new ONEDC release will enable all cross connects to be visible to authorised users within the portal to quickly and effectively audit these services.