A deal is in place to provide Cintas’ internet service to the nation’s biggest banks, with the first of two major fibre-to-the-home (FTTH) networks to be operational by the end of this year.
The $40m payment from the Federal Government is the first payment for the Cintawas network, which will also connect banks to customers via the National Broadband Network (NBN) rollout.
While it will take more than a decade to roll out FTTH networks across the country, Cintai’s first FTTH customers will be able to get their internet service by the middle of next year, with more to follow.
“This announcement means that our Cintah network will be fully functional by the beginning of 2020,” said Chris Durney, Chief Executive of Cintaa Networks, the company behind Cintos FTTH services.
Read more Cintayas FTTH will be rolled out over two phases.
Phase 1 will deliver a 25 megabit per second (Mbps) network, and Phase 2 will bring fibre to the home (FTHT) speeds to all Australians.
Cinta Networks will invest $1.6 billion to deliver its first FTHT network, known as the first phase.
In total, the Cintha FTTH network will cover about 12 million homes, and about 1.6 million businesses, with another 1.5 million households and 1.2 million businesses connected.
About 1.3 million premises are connected to the network at the moment, with 1.1 million of those in remote rural areas.
The NBN rollout was expected to be completed by the year 2020.
This will be Cintais first FTTT network.
It will be a new service, not a new fibre-optic line, and is the culmination of the company’s journey from an early internet provider to the global leader in FTTH and FTTN networks.
Earlier this year, Cinthaa announced it had signed a deal to sell its assets, including its fibre-based fibre optic infrastructure, to private investors.
As part of the deal, the firm agreed to sell all of its existing assets, which include fibre optic cables, to the private investors for $40 million.
Cintha is not the first to announce the launch of a new FTTH fibre network.
Cintax and Cintra were the first in Australia to launch FTTHs, with both of those services also being delivered through the NBN.
According to Cinthax, the NBN rollout in Australia has been more successful than its competitors, with almost 70 per cent of premises being connected to NBN services.
Cintax also said the first stage of the NBN was delivering speeds of up to 20 Gbps, with around 2,500 homes and businesses being connected in the first two weeks of the rollout.
Cumbah Networks chief executive Mike Durnsey said the deal with Cintac is a “significant milestone” for the company, and that the Cumbah network was in its early stages of construction.
“It’s the first step on the path to FTTH deployment across Australia,” Mr Durnee said.
Mr Durnie said Cumba would be able “deliver an average of 25Mbps, which is more than double the national average”.
“It will also offer access to more than 1.4 million premises, with approximately 700,000 households and businesses connected.”
The deal comes after NBN Co confirmed it would make the Cincan network available for the first time in 2020.
Read more “We’re thrilled to have the Cinawas brand and the Cincha brand on board, and are excited to be able provide our customers with the service and capabilities they need to take advantage of our NBN,” NBN Co’s Chief Technology Officer, Mark Williams, said.
“This is an important milestone for Cinchas FTTT deployment, and we look forward to the day that all of our FTT customers have the opportunity to take full advantage of this exciting technology.”