StarHub sees off rivals to win broadband contract

6 Apr 2009

The government of Singapore has awarded local telco StarHub the contract to develop and operate a Next Generation National Broadband Network (NGNBN) providing internet connections to businesses and residential users at speeds of up to 1Gbps once completed in 2015. Under the deal announced last Friday, Singapore’s number two operator by subscribers will become the so-called ‘Operating Company (OpCo)’, providing wholesale broadband access to other firms offering broadband access in the city-state. StarHub’s bid was selected over rival offers from Singapore Telecommunications (SingTel), MobileOne Asia (M1) and a consortium led by Axia-Netmedia and including Cisco Systems.

In September last year, CommsUpdate reported that the OpenNet consortium, comprising SingTel, Canada’s Axia-NetMedia, newspaper publishing group Singapore Press Holdings and Singapore Power’s telecoms unit, bagged the ‘Network Company (NetCo)’ contract to build the city-state’s proposed ultra high speed broadband network. At the time of the award, Singapore’s telecoms regulator the Infocomm Development Authority (IDA) said ‘OpenNet’s proposal offers attractive wholesale prices that can stimulate a vibrant and competitive retail market.’ The consortium will be responsible for building the fibre infrastructure of the new network. OpenNet beat rival bids from StarHub’s Infinity consortium, which includes the country’s third largest mobile operator MobileOne Asia (M1) and Middle Eastern investment group Qatar Investment Authority.

Singapore, StarHub