Adelaide taps TPG for 10Gbps network build

Adelaide taps TPG for 10Gbps network build

TPG will progressively roll out the network across the South Australian capital from early 2018

The City of Adelaide

The City of Adelaide

TPG Telecom (ASX:TPM) has been tasked with rolling out Adelaide’s proposed 10Gbps city-wide fibre-optic network after being appointed the official network partner for the project.

The so-called Ten Gigabit Adelaide project deal will see TPG progressively roll out the network across the South Australian capital from early 2018.

Specifically, TPG will install the fibre optic network via ducts and pits in the ground and will run the cable direct to individual buildings, with a connection point installed in each building.

According to the City of Adelaide, there will be no charge for the installation of network access point in buildings, with this aspect of the project being provided free of charge by the City of Adelaide and TPG.

Additionally, unique fibre extensions will be made for each business customer within the connected buildings, providing a direct access point to a symmetrical 10Gbps transmission link.

Businesses will be able to purchase a service, or several services, via the Ten Gigabit Adelaide network access point, according to the City of Adelaide. Large businesses, meanwhile, will be able to choose to have multiple access points.

(City of Adelaide)
(City of Adelaide)

“TPG is pleased to be partnering with the City of Adelaide to deliver Ten Gigabit Adelaide,” TPG’s government and wholesale group executive of corporate, Mark Rafferty, said. “This will be the first network of its kind in Australia and the possibilities for innovation and investment for Adelaide will be endless.

“This network will leverage TPG’s infrastructure expertise and provide some very exciting products and services to the Adelaide Business community.

“We are proud to partner with the City of Adelaide and compliment their vision in driving innovation for local industry,” he said.

The City of Adelaide claims the cost for accessing the individual services via the network will be less than what is currently on offer in the local marketplace.

It is estimated that the Ten Gigabit Adelaide network could generate between 1,400 and 2,500 jobs over the first six years of the fibre infrastructure’s life.

Meanwhile, 40 full-time or equivalent jobs per year are expected to be created during the construction period alone.

The appointment of TPG to build, manage and own the new network comes as the company's executive chairman, David Teoh, expresses disappointment over the "margin headwinds" the company is currently facing as a result of the National Broadband Network (NBN) rollout.

"However, I am confident that the strategies we are implementing will continue to create excellent value for shareholders over the long term," Teoh told shareholders on 6 December.

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