Wednesday, August 30, 2006

Telstra Awards Contracts Valued at EUR 270 million to Alcatel

Telstra has budgeted AUD460 million (EUR 270 million) for upgrades to its fixed networks in a works program led by Alcatel.

In 2006/07, Alcatel will establish an IP network footprint in five Australian cities - Melbourne, Sydney, Brisbane, Perth and Adelaide - by supplying and deploying its IP-DSLAMs, Ethernet aggregation and optical networking solutions.

A milestone reached in the lead up to this next phase of upgrades is the establishment of Telstra's state-of-the art Integration Laboratory in Australia, which will be managed by Alcatel.

This technology upgrade is unrelated to Telstra's previous Fibre to the Node (FTTN) proposal, which was put on hold earlier this year.


  • In November 2005, Telstra announced a Network Transformation Project that will migrate its Australian voice and broadband access networks into a single IP-based infrastructure. At the time, the carrier said it aimed to have 80% of its Internet customers on broadband in three years (today 50% are on broadband). CAPEX plans for the next generation IP network called for an investment of more than A$10 billion over five years, of which A$2-3 billion is incremental over existing plans, with the IP core in place by the end of 2007. Telstra has selected three strategic vendors for this multiyear project: Alcatel, Cisco Systems, and Ericsson.

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