ASX-listed IT services provider, Anittel (ASX:AYG), has connected its first commercial NBN service to Armidale Dumaresq Council.

The two-year contract was finalised late last year and the NBN connection went live in November. It is now being used by council staff.

The new service is directly connected to the Armidale Digital Hub, which is part of the federal government's Digital Hubs Program.

"The NBN is a platform for economic growth in regional Australia," Anittel managing director and executive chairman, Peter Kazacos, said. "Armidale organisations will be able to find new efficiencies through new online cloud-based services, enabling them to connect more effectively with their market opportunities."

Anittel is also in discussions with other local governments and businesses to assess NBN connectivity service options.