The wholesaler has also begun looking at ways to users could expect, based on current ABG guidelines that indicated users would receive 65 per cent of the peak speed 85 per cent of the time.

Wireless consultant Reg Coutts told that the Optus deal, which had been in negotiations for approximately six months, would likely involve Optus retailing satellite services provided on a wholesale basis by IPSTAR and other third party satellites where IPSTAR has poorer coverage.

The provider is itself in negotiations with NBN Co, but is yet to sign a contract directly with the government enterprise.

IPSTAR was unavailable for comment at time of writing.

Coutts argued that Australians as a whole had decreased demand for bandwidth speeds over current satellite offerings, compared to ADSL and wireless services, as a result of "tarnished" experiences.