NBN Co in build talks with Leighton: report

NBN Co in build talks with Leighton: report

Summary: The National Broadband Network Company is reportedly talking to Leighton Holdings about constructing the network after stopping negotiations with a bevy of other companies.

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TOPICS: NBN, Broadband, Legal
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The National Broadband Network Company is reportedly talking to Leighton Holdings about constructing the network after stopping negotiations with a bevy of other companies.

The Australian reported today that NBN Co is talking to the construction company about doing work for the entire network.

NBN Co said this morning that it was suspending its tender process indefinitely to find vendors to construct the network because the prices offered were too high.

Kevin Brown told the ABC this morning that it was talking to an "alternative different party".

NBN Co declined to comment on industry speculation about tender outcomes. Leighton could not be reached for comment.

Topics: NBN, Broadband, Legal

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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10 comments
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  • So much for small to medium companies,the mega conglomerates win again.
    pete196600
  • Well all these small/medium companies had to do was ask for DECENT profits instead of HUGE profits! But apparently (or obviously) they weren't happy with DECENT profits!

    But what this does prove (completely contrary to the blithering of all those usual suspect FUDsters - no not you pete)... is that the government/NBNCo aren't quite as fiscally inept, or a pushover, or have that, build it at all costs as some had wrongly surmised (and hoped)!

    And... obviously to their own detriment/downfall!
    RS-ef540
  • In the mid 90's Optus submitted a paper to the then GOVT,estimating that it cost between $50 & $75 per meter to install 50mm pipe in a footpath,depending on existing infrastructure,ie water power & the big one, concrete path or not. In those days both telstra & optus supplied materails, so this was LABOUR & OVERHEADS COSTS ONLY.To-day,while non-disclosure agreements prevent actual $ figures,WE supply the materails & still get less than 1/3 of that,NO WONDER MANY OF US SUBBIES ARE GOING UNDER,15 yrs of pay cuts for companies while the rest of Australia got raises had to come to an end.NBN wants to get their network built by PRIVATE companies,then they have to realise eveyone of those companies has to make a profit to survive AND WE ARE NOT CHARITIES, WE DON'T WORK FOR FREE,If they don't want to allow every tier,to make a profit(and would be everybody making a little after tax),then they can build it themselves becuase no-one else will.
    pete196600
  • Well, Leighton is undervalued and its time its value is recognised by the nosayers out there, hopefully this news will put a rocket under its share price on Monday.
    Jarret-5bdd2
  • Does NBNCo know that Visionsteam (one of the companies bidding on the tender) is owned by Leightons??
    the_crane
  • Snouts in the trough everywhere. lol.
    sydneyla
  • Yes indeed Syd...

    But LOL, I think not... more a sad representation of Australia 2011 (the former land of "mates") succumbing to the opposition's money/greed obsession...!

    Ooh BTW Syd I was referred to as "pro-Telstra and one who proclaimsTelstra today"...!

    http://www.zdnet.com.au/shooting-ourselves-in-the-nbn-339312479.htm

    Check it out. If you'd like to add something to that particular thread, it would be most interesting, I'm sure!
    RS-ef540
  • Thanks for that RS, and will comment when I get a chance. At the moment we are busy watching for pirates in the Arabian Sea but I do know that, while being vicious at times, you have a good grasp of the situation and inject much food for thought.
    sydneyla
  • somebody forgot that Silcar comms are also owned by Leightons,and all 3 are owned or part ownned by German Co.. Siemens.
    pete196600
  • Oh, P.S.,
    Leightons won the recent $250m backhaul project (as, nextgen), then promptly handed the works contract to subsidiary Visionstream !!!!!!!!!!
    pete196600