TPG to provide cable network for Vodafone

TPG Telecom Ltd will provide a high-speed, fibre-based network for Vodafone to meet the growing demand for data on mobile devices.

TPG subsidiary PIPE Networks signed an agreement with Vodafone Hutchison Australia Ltd (VHA) to provide extra capacity on its existing 1500km network and roll out about 900km of new dark-fibre over two years.

That will provide connectivity between select VHA sites in Queensland, New South Wales and Victoria.

The additional rollout will cement PIPE's position as the country's third biggest metro dark-fibre provider.

"The growth in mobile internet devices and associated data usage in recent years has seen mobile carriers invest heavily in their networks to enhance their customers' mobile experience," PIPE chief executive Jason Sinclair said in a statement on Wednesday.

The size of the network build would increase capital expenditure in financial years 2011 to 2013 but otherwise was not expected to have a material impact on TPG's results for 2011.

VHA is the joint venture between Vodafone and Hutchison Telecommunications (Australia) Ltd, and operates the Vodafone and 3 mobile networks.

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