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To: cfoe who wrote (2785)	10/28/1999 2:32:00 AM
From: LBstocks	Respond to of 13582

Details of Australian spending on CDMA networks> October 28, 1999 01:09 FACTBOX - Australian telcos spend up on networks MELBOURNE, Oct 28 (Reuters) - Australian telecommunications companies are spending billions of dollars on new customer access networks and upgrading old ones to cater for increasing demand for data transfer and mobile communications. Following are the key points on the major infrastructure investments: MOBILE Telstra Corp Ltd , Cable & Wireless Optus Ltd and Vodafone Australia Holdings Ltd operate Australia's three existing GSM (global system for mobile communications networks). A number of companies are investing in a new mobile network called CDMA, or code divisional multiple access, while a fourth GSM network is being rolled out. CDMA will compete against or complement the existing GSM network. CDMA has a wider coverage than GSM, so is particularly useful in the vast sparsely populated areas of Australia. Telstra Corp Ltd Spending A$600 million on CDMA in 1999, 2000, 2001 financial years. Coverage expected to reach 95 percent of the population. Coverage commenced in Melbourne and Sydney on August 25. Existing GSM network covers 94 percent of the population and has three million customers, or 49 percent of the market. AAPT Ltd Spending about A$350 million on CDMA. AAPT won spectrum covering Australia, excluding Sydney and Melbourne. Its initial rollout is expected to cover more than 6.5 million people but spectrum rights cover almost 10 million. Due to be operational by the third quarter of 2000. Hutchison Telecommunications (Australia) Ltd Spending about A$500 million on its CDMA network rollout over five years. Won right to spectrum covering Australia's two largest cities, Sydney and Melbourne, and about 8 million people. The network is due to be launched in the first half of 2000. Cable & Wireless Optus Ltd Did not obtain the right to any CDMA spectrum GSM covers about 93 percent of Australia's population and has about 2.2 million customers. Vodafone Holdings Australia GSM covers 92 percent of the population and has about a million customers. One.Tel Ltd Spending more than A$800 million rolling out a GSM network. Expects to have capacity to support more than 2.5 million subscribers in five years. HYBRID FIBRE COAXIAL CABLE Hybrid fibre coaxial cable, HFC, allows broadband access using optical fibre between exchanges and hubs in streets and coaxial cable between the hubs and customers to carry services such as pay television, telephony and the Internet. Telstra Spent over A$3 billion Available to 2.5 million homes C&W Optus Spent about A$2 billion Available to 2.2 million homes ASYMMETRIC DIGITAL SUBSCIBER LOOP ADSL is a modem technology enabling copper telephone lines to support high speed broadband data applications at the same time as basic telephony services. It enables high speed internet access and interactive video. Telstra used to be a government owned monopoly so has ownership of the nation's vast copper telephone network Telstra Holding a trial on ADSL technology. Will cover 1100 users, due to be completed by July 2000. The rollout beyond the trial will be based on demand. LOCAL MULTI-POINT DISTRIBUTION SERVICE LMDS is a high frequency broadband network based on a wireless technology. Delivers voice, high speed data and Internet. AAPT is the only Australian company with access to LMDS. AAPT Initial capital expenditure A$60 million 20 nodes operational by April 120 nodes established around Australia in about two years to three years. *Expected to be cashflow positive within three years (Source:Telstra, C&W Optus, AAPT, Vodafone, One.Tel and Hutchison ASX releases and annual reports)