NBN in talks with Telstra

A board member of the National Broadband Network Company has said the company and Telstra are now in negotiations “at the highest level” regarding Telstra’s relationship with the massive broadband project.

Doug Campbell, who is chair of the Tasmanian National Broadband Network Company, as well as a board member of the Federal National Broadband Network Company, told ABC Tasmania’s Stateline that Telstra is now involved in talks with the NBN Co. regarding their involvement in the network.

“They are indicating that they are prepared to enter into those discussions and talk to us, but I don’t think we would use them for the build itself. We would do that independent of Telstra. But we do want Telstra to adopt the network and use it as if it was their own and to eventually migrate their customers onto it. And I believe that will eventually happen as we go through these negotiations that are starting right now,” he said.

“We are very anxious to have Telstra become part of this NBN rollout and we are negotiating with Telstra at the highest levels right now as I sit here and talk to you to have them come on board and use the NBN as their primary backbone network for all of Australia.”

Regarding Telstra’s potential stake in the company, Campbell would not speak in much detail but said a number of other companies are interested in obtaining shares, including the Aurora Energy group from Tasmania.

“That has yet to be determined. They certainly won’t get more than 49%, that is the upper limit. And they won’t get anywhere near that because a lot of other people want to buy in. Optus wants a part of it, other ISPs want a part of it and probably Foxtel wants a part of it, so the upper limit for Telstra will likely be 25 to 30%.”

Campbell also said the NBN Co. is negotiating with Telstra and Basslink about accessing fibre-optic cables in the Bass Strait, and apart from three test sites, the rest of Tasmania will be connected to the network within five years.