The NBN propose building over 200 points of interconnect around...

The NBN propose building over 200 points of interconnect around Australia. They say these points will be placed at the boundaries of already contestable backhaul.

Telstra aren't the only company with fibre backhaul. For instance Optus have their own and Leighton Holdings have a company called NextGen which not only owns fibre but is presently rolling out fibre around the country as part of the Federal Government's regional blackspots program.

NextGen were awarded the contract and expect to lay 700km of cable a month connecting Toowoomba to Darwin, Adelaide to Victor Harbor, Geraldton to Perth and etc, with a contract to operate it fo 5 years.

Duplication of backhaul cable provides a fallback position if one is damaged. Also having 2 or more providers allows for competition and potential lower prices. Less money for Telstra though if they are to remain competetive.

When there are already two competing backhaul operators NBNCo are unlikely to lay another cable alongside.

The Telstra negotiations with the Government are mostly about the last mile and compensation for moving Telstra customers onto what would become NBNCo's wholesale service.

Presumably individual ISP's would aggregate all their customers data at the points of interconnect and buy backhaul to their own premises with whichever company they reach a deal with.