NBN Co signs $635m equipment contracts

The builder of the federal government's $36 billion broadband network has signed contracts worth up to $635 million for equipment to install the high speed service in homes and businesses.

NBN Co chief executive, Mike Quigley, said the company wanted to buy as much locally-made equipment as possible.

"However, we needed to balance costs against the preference for Australian-made to arrive at a cost-effective result," Quigley said in a statement on Tuesday.

The six successful companies include two Australian-owned and operated companies — Madison Technologies and Warren & Brown.

They also include a partnership between a private Australian company Optimal and US company OFS as well as three international companies — Corning Cable Systems, TE Connectivity and 3M.

NBN Co estimates up to $150 million to be spent on in-premises gear over the next five years would be Australian-made.

This will include fibre distribution hubs for flats and offices, internal cables, wall outlets, leads and devices housing the connection of the fibre from the street to the outside of premises.

"We have now put in place most of the equipment supply arrangements that we need for the rollout initially, but plan to go to the market as the rollout ramps up to source additional suppliers for a range of our equipment needs," Quigley said.

The announcement comes after NBN Co reported on Monday it had signed contracts for the rollout of the network in South Australia and the Northern Territory.

NBN Co is building a fibre-optic cable network to 93 per cent of Australian homes, schools and business, with the rest provided by fixed-wireless and satellite technology.

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