AGL takes on Telstra for $35m

AGL takes on Telstra for $35m

The merry-go-round of corporate telco deals has gone around again, this time in Telstra’s favour.

Optus has lost its mobile service contract with The Australian Gas Light Company (AGL). The energy company has taken up a $35 million agreement with Telstra.

The “whole of business” deal will see Telstra provide voice, data and wireless connectivity to AGL.

Telstra Business and Government Group managing director, David Thodey, said AGL’s consolidation of its telco needs into the one deal was an effort to achieve significant cost savings.

Managing director of AGL, Greg Martin, said the deal would provide the opportunity to “enhance technology systems”, but the companies were unable to provide further details.

Telstra spokesman, Chris Newlan, said the telco’s contract with AGL would involve the provisioning of “innovative wireless data services”.

In announcing the customer win, Telstra announced it had also signed a three-year, $50 million contract with AGL for electricity in NSW and metering services in Victoria. The deal is similar to those already in place in other states.

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