Telstra (ASX:TLS) to invest $1.6b in two telecom projects

Company News

by Lauren Evans

Telstra (ASX:TLS) plans to invest between $1.4 billion and $1.6 billion over the next five years in two major telecommunications infrastructure projects.

The projects aim to support the nation’s digital economy and enable more connectivity across Australia.

The first project includes building and managing the ground infrastructure and fibre network in Australia for Viasat, a global communications company. The program will support the new ViaSat-3 terabit-class global satellite system as part of the 16.5 year contract.

The second is a new fibre project to build inter-city dual fibre paths. The investment will add up to 20,000 new route kilometres to increase the capacity of Telstra’s optical fibre network.

Telstra expects to invest up to 70 per cent of the $1.4 billion to $1.6 billion across its T25 planning period, or an additional $350 million of capital expenditure per year over FY23 to FY25.

“Investing in these two truly significant nation-building projects will see us continue to have the largest intercity fibre network in the country, helping to future proof Australia’s digital economy and further improving connectivity in regional Australia,” said chief executive officer Andrew Penn.

Shares in Telstra (ASX:TLS) are trading 1.1 per cent $3.99. 

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