Telstra to upgrade network with IP

22 Jun 2004

Australia’s dominant telco Telstra is today expected to award contracts collectively worth AUD300 million to Alcatel, Siemens and Marconi to upgrade its core copper transmission system with fibre-optic technology. Telstra is undertaking the project to meet the rapid rise in data traffic over its network and the deal is also expected to see the installation of fixed wireless links to complement the telco’s ADSL and CDMA service offerings.

Telstra initially issued a tender for the contracts six months ago, asking companies to bid for a range of projects including the upgrade of its existing 2.5Gbps synchronous digital hierarchy (SDH) and wavelength division multiplexing (WDM) infrastructure used for its inter-capital and regional transmission activities. Although it is widely anticipated that Alcatel, Siemens and Marconi will share the contracts, analysts are not discounting the possibility of one bidder receiving the whole order.