25 May 2011

Telecom rival considers broadband project co-operation

9:03 am on 25 May 2011

One of the main rivals for the Government's ultra-fast broadband contract is keeping open the option of working with Telecom, which has been awarded the contract.

Telecom will build the fibre-optic system for Auckland, the eastern and lower North Island and most of the South Island. A condition of the contract is that it must split off its network arm, Chorus, into a new listed company.

Vaughan Baker of Regional Fibre Group told Morning Report its members remain passionate about the local delivery of the infrastructure and may possibly look at projects with Chorus.

Mr Baker says the margins for the development will be tight.