Telstra secures $318m NBN contract

Fiona Chau
22 Dec 2014

Telstra has won a contract worth A$390 million ($318 million) to assist NBN Co with the rollout of the national broadband network in Australia, said Telstra in a statement.

Under the contract, Telstra will prepare network plans and designs to support NBN Co’s multi-technology rollout which includes fiber to the node, fiber to the basement, and fiber to the premises.

The contract is expected to span four years. Its value will be subject to the rate of progress in the NBN rollout and the outcome of future price reviews, the incumbent carrier said.

“We’re pleased to have won this work in a competitive market and we look forward to working with NBN Co to help it prepare for the construction of the next phase of the NBN,” Telstra COO Kate McKenzie said in the statement.

Telstra said it remains in discussion with NBN Co on the provision of construction and maintenance services by Telstra to NBN Co on commercial terms.

The deal comes days after Telstra signed a renegotiated deal with the Australian government for the rollout of the Coalition's multi-technology NBN model, in which the incumbent carrier will progressively sell its copper and HFC networks to NBN Co.

The government and NBN Co have also negotiated a revised deal with Optus that will see NBN Co take progressive ownership of the Optus HFC network.

The Coalition's revised multi-technology model aims to provide all homes and businesses access to broadband speeds of at least 25 Mbps by 2020.

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