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Telstra signs on to the NBN

18 October, 2011
By Allison Orr

At Telstra's Annual General meeting in Sydney this week, shareholders voted in favour of the $11 billion agreement to sign onto the National Broadband Network (NBN), which will see Telstra move its customers onto the NBN.

The deal means that Telstra will decommission its copper network in the areas covered by fibre as the NBN is rolled out, disconnecting customers and transferring them onto the NBN.  Telstra will also lease its telecommunications infrastructure to the NBN for 30 years.  In return, Telstra will receive at least $11 billion.  Full details of the agreement can be read at ZDNet.

While 99 per cent of shareholders voted in favour of the deal, some shareholders were unhappy at the deal, saying that they had no option but to accept it.

The deal is contingent upon the ACCC's approval of Telstra’s structural separation undertaking and migration plan.

Also this week, the NBN Co has announced is roll out plans for the year ahead, to cover more than half a million homes and businesses in the next 12 months.  Prime Minister Gillard visited Wollongong this week to announce the plans, which will take in the Illawarra region.

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