SYDNEY: Telstra is to build a new national broadband network after agreeing a $11 billion dollar deal with the Australian government.
The telecoms giant will shut down its ancient copper and cable networks and usher in a new age of high speed fibre optic cables, following months of negotations.
The network will be built by NBN Co, which will gain access to Telstra infrastructure including ducts, pits and backhaul fibre as it rolls out its new network.
Minister for Communications, Senator Stephen Conroy, said the "structural separation" will split Telstra's domination of both wholesale and retail communications. Instead, Telstra will concentrate on its retail, wireless and mobile divisions.
Telstra's participation is regarded as vital as the former government-owned company operates Australia's only national communications network.
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