Telus spending $800 million to upgrade broadband network
Last Updated: Friday, September 8, 2006 | 5:16 PM ET
CBC News
Telus Corp. says it is investing nearly $800 million over the next three years to beef up its broadband network so it can offer its customers a wide range of new services, including high-definition television.
The Vancouver-based company said Friday it plans to install advanced internet equipment in more than 7,000 sites in British Columbia, Alberta and eastern Quebec and run fibre optic cable closer to its customers' homes.
"Telus broadband enables Telus to further unleash the power of the internet for our customers, paving the way for exciting emerging services including high-definition Telus TV," said Darren Entwistle, Telus president and chief executive officer.
"Telus TV is really just one example" of what the company could do in the future, added Joe Grech, executive vice-president of Telus network operations.
"This paves the way for emerging multimedia applications and other services that we can deliver in the not-too-distant future."
The company said its proposed infrastructure will allow it to double internet access, to speeds of 15 or 30 megabits a second.
Telus plans to spend $190 million in 2006 to begin upgrades of its network in 38 communities in British Columbia, Alberta and eastern Quebec. It announced Friday spending of another $600 million over the ensuing three years. The project is slated for completion by 2009.
Enriching lives
It says it has invested more than $1 billion in its wireline broadband infrastructure since launching its high speed internet service in 1997.
"Access to high speed internet enriches the lives of rural Canadians by providing tremendous opportunities for economic development, education, health care and other services," Entwhistle said. "All Canadians benefit when more of our citizens have access to high speed internet services and the knowledge-based economy."
Telus and rival Shaw Communications Inc. are locked in a fierce battle in Western Canada over their rival telecom services, according to the Canadian Press.
Telus lost 44,000 customers in its latest quarter as they switched from traditional home phones to broadband phones offered by such companies as Shaw and Vonage.
Telus has responded by rolling out its TV service in Alberta, with plans to expand the service to Vancouver in coming months.
"There's two things that are converging for us. One is the availability of technology which enables these types of speeds," Grech said. "The other is compression technology which is advancing at a very rapid pace.
"The ability to send content and develop applications over the access infrastructure is increasing at a very exciting pace."
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