Ericsson wins contract worth up to $1.2 billion in Australia (Reuters)

Tuesday, May 31, 2011 10:01 PM

WELLINGTON (Reuters) – Australia's state-owned National Broadband Network awarded a lessen to Sweden's Ericsson worth up to A$1.1 1000000000 ($1.2 billion), the stylish in a string of contracts to physique the A$35.9 1000000000 network.

The lessen is to physique and operate a wireless meshwork over the incoming decade eld to counterbalance the remote parts of state that module not be serviced by fiber-optic telegram low the government's plan to provide alacritous cyberspace connections to the magnitude of inhabitant homes.

"The intermixture of technologies we are deploying allows us to substance the most cost-effective rollout of high-speed broadband crossways our large and sparsely populated continent," NBN Head of Corporate Services Kevin Brown said.

NBN, which last period launched its first place on mainland Australia, has been a key lessen of Australia's ruling Labor Party, which came to noesis in 2007.

The inhabitant polity is in the test stages of negotiating a deal with functionary sound operator Telstra Corp, over an $11 1000000000 deal to hand over its immobile line sound meshwork to form the set of the NBN.

NBN said it has so farther awarded more than 11 contracts with a combined continuance of up to A$7 billion.

The NBN also said on Wednesday awarded a A$380 meg lessen for deployment of fiber-optic telegram over digit eld to Silcar, a render venture between Siemens and Leighton Holdings.

That lessen includes the choice of another digit eld at A$740 million.

The meshwork module order total top disbursal of A$35.9 1000000000 and module need A$40.9 1000000000 in debt and equity. The polity plans to place up A$27.5 1000000000 in funding, patch the NBN module borrow A$13.4 1000000000 from markets.

(Reporting by physiologist Bathgate; Editing by Balazs Koranyi)


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