Axia commits to NBN bid

Axia commits to NBN bid

Summary: Axia Netmedia has put down in black and white its intention to lodge a bid for the government's $4.7 billion national broadband network.

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Axia Netmedia has put down in black and white its intention to lodge a bid for the government's $4.7 billion national broadband network.

(Credit: Axia NetMedia Corporation)

Although it was believed to have paid the $5 million bond and had put together a regulatory submission on the network, until now there was no certainty around whether the Canadian company actually intended on bidding.

However, in a statement accompanying its first quarter results released on Friday (first reported by Communications Day), the company said a bid for the Australian national broadband network was very much on the cards.

"In the second quarter Axia intends to respond to an RFP for a Next Generation Network initiative in Australia," the company said.

Other bidders include Telstra, Terria and Acacia for national bids and TransACT and the Tasmanian government for state bids.

Axia has built a "SuperNet" in the province of Alberta, Canada linking 429 communities to an IP network. It also has 50 per cent involvement in joint venture project called Covage which is building a fibre backbone network from Paris to Montpellier in the south of France.

In Singapore, the OpenNet consortium, which Axia leads with a 30 per cent stake, was selected by the Infocomm Development Authority (IDA) of Singapore to build a fibre-to-the-premise network on 26 September 2008. Axia intends to reply to the IDA's second request for proposals for services running on the fibre.

Axia believed that knowhow gained from meeting the differing requirements of networks in Canada, France and Singapore would able to be applied to the problem of bringing fast broadband to 98 per cent of Australia's population, pointing out especially the range of population densities. "Axia's next generation network solutions are now comprised of low density rural solutions (Alberta), medium density regional solutions (France) and high density metropolitan solutions (Singapore)," the company said.

Yet Axia also admitted it was as vulnerable to financial conditions imposed by the global economic crisis as other bidders have been. "Any solution for Australia will depend upon utilising functional capital markets," the company said. There have been questions about Terria's ability to find the necessary funding for its bid for the national broadband network.

Topics: NBN, Broadband, Telcos, Telstra

Suzanne Tindal

About Suzanne Tindal

Suzanne Tindal cut her teeth at ZDNet.com.au as the site's telecommunications reporter, a role that saw her break some of the biggest stories associated with the National Broadband Network process. She then turned her attention to all matters in government and corporate ICT circles. Now she's taking on the whole gamut as news editor for the site.

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12 comments
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  • Telstra will hate life

    I am glad to see that there are more genuine competitors to Telstra's bid. Bring it on.
    anonymous
  • @Telstra will hate life

    And as Axia aren't a carrier in Australia it will mean they'll only be wholesale, that's a big plus.
    anonymous
  • quick run

    Like Soul, TransACT and AAPT, I see the above rats are also deserting the sinking Terria Titanic, and grabbing hold of anything that can even partially stay afloat. Precious aren't they.

    But what would Terria and Telstra do if a new kid on the block actually did win? I'm sure both would really prefer each other. You know what they say about the devil you know?
    anonymous
  • @quick run

    "Like Soul, TransACT and AAPT, I see the above rats are also deserting the sinking Terria Titanic, and grabbing hold of anything that can even partially stay afloat. Precious aren't they."

    Yeah, this above rat who has previously said that I would prefer a solely wholesale bidder to win the NBN over one with retail connections. In the battle of Terria vs Telstra I would prefer Terria as it is a consortium, but in the overall scheme a bidder who is solely wholesale is preferred.

    Can I suggest before you start the name calling you actual read peoples posts on where they stand on the NBN, will save you face when you start making incorrect assumptions.
    anonymous
  • @@quick run

    its not about anyone saving face, its about you jumping on the newest fad at a whim, simply because it fits into some possibly misguided misconception you have.

    you prefer the terria consortium, when strangely even their partners don't and have left. now we even have a partner that remains, iinet, saying the nbn is doomed.

    what else will it take before you actually wake up and smell the roses. terria are bs. they are optus (but a not serious optus) with a couple of hangers on, to legitimise a so called competitive consortium.

    the wholesaling model you describe is possibly superior *in theory*. however, when there are $b's involved, there needs to be a level of certainty for any investor, which just isn't there, particularly in the current financial meltdown! surely that's commonsense.

    where you miss the point is, before we worry about business models, wholesale/retail etc, if we want it built we need someone to build it, who is committed and terria aren't. you are talking about the icing when terria don't even have a ***king cake!

    as for axia, well that's perhaps a different kettle of fish??? hopefully they will add a new dimension and an actual *real* alternative to get the wind up an arrogant telstra.

    thing is, i don't claim to know everything and could be wrong. but i'm sure youre never wrong.
    anonymous
  • run ned run!

    The bushrangers be coming! the fence is a messy place to sit when the 2 camps on either side are slinging you know what... although i do agree with your views, I mean they are pretty balanced, I work for telstra, and as such I'm ridcously biased due to my personal feelings towards the big T... personally, everytime ZDnet report another competitor to the NBN i feel so much more hopeful for australias broadband future... and syd, among others, you'll probably ask, why stay with them then... this way, i get all the internal corp press releases, and when telstra starts overbuilding the F**k out of the NBN when they dont get it, I can have the press releases showing there agenda behind it and can release them to the world.... god damn telstra
    anonymous
  • Yeehaw

    Yeehaw what is the big T going to overbuild with once we CHOP right through that copper that the winner will aquire ... now that will be fun to watch .. hell i would love to go help them cut right through that copper and them watch your big T try and compete with all other isp's on a level playing field.
    anonymous
  • Telstra is a MediaComms!!!

    Try to inform yourself!!

    The key here buddy is that the NBNB will only be a "pipe" or conduit for content etc etc Who cares if its copper/glass etc etc


    This is why Telstra is ahead of the game as a vertically intergrated media comms company that can offer services ISP's can't!!
    anonymous
  • Yeehaw!!

    well, you've got internodes plan, which i like the sounds of, retain the old copper backhaul, fibre to the node, as well, and unlicense the local loop (if thats the term), the old copper backhaul will ensure competition doesnt allow the fibre to cost anymore than backhaul already does... i mean thats basically how its going already, just the fibre brings most homes into... VDSL! aha! lol, speaking of which, go exetel, the lil guy that does what the big guy wont

    and as in regards to overbuild i mean telstra will build a whole new PSTN at a loss if it means destroying a competitors NBN and maintaining monopoly.. Foxtel cable *cough cough*!
    anonymous
  • Undeniable facts.

    I would be very doubtful if any business seriously decides to build the NBN in opposition to Telstra.

    If others get the build, Telstra will obviously continue their fibre roll-out and through competition decimate all opposition.

    If our Government grants the NBN build to other than Telstra they would demonstrate serious financial inability and probably be a single term Government.
    anonymous
  • @@quick run

    I haven't jumped onto the latest fad on a whim, from day 1 I've said that a bidder who concentrated solely on the wholesale side would be better for the NBN. Me saying that Axia fits that catagory is not me jumping up and down in support of Axia, it's merely me saying they fit that catagory.

    "you prefer the terria consortium, when strangely even their partners don't and have left. now we even have a partner that remains, iinet, saying the nbn is doomed."

    That's where we disagree, I still believe that Terria has a valid bid and are a serious contender.. And regarding iiNet's comments in the current economic climate they're probably right, but that's in the entire scheme of the NBN, no matter who gets the bid.
    anonymous
  • Syd, you worry me

    when i first came into these forums you seemed pro telstra but, at the same time could recognise a degree of social injustice... now, you are so pro telstra you would love nothing more than to see telstra burn everything down and to be the last one standing... if axia does get the bid, what is so terribly bad about that? agreed, incorporated in canada so not aussie, but it'll hire aussie workers to dig the trenches, aussie staff to man the call centres, aussie customers to buy the internet, and hell aussies can invest in the comany, so everything except incorporated headquarters has a very good potential of been aussie... I mean hell even telstra isnt fully aussie, I had to call through to Bigpond the other day, its now run by teletech, as the lady said "an international company working on behalf of telstra", you put 2 and 2 together and I'll bet you can guess what accent i was hearing :P
    anonymous