NBN awards $1.2 bn contract to Corning

WELLINGTON, NEW ZEALAND: Australia's state-owned National Broadband Network Company said on Monday it had awarded a A$1.2 billion ($1.19 billion) contract to Corning Cable Systems, a division of Corning Inc .

The contract is for a five-year supply of a fibre-optic cables and other supporting equipment, and includes an initial A$400 million order, NBN Co said in a statement.

The contract would allow Corning to significantly expand its Australian operation, employing as many as 400 additional staff, NBN Co said.

The A$40.9 billion network, a key election promise of the minority Labor Government, will bring high speed Internet services to around 13 million - or 70 per cent - of Australian households.

NBN Co also awarded a A$110 million contract to Australian firm Warren & Brown Technologies and a A$300 million contract to Italian equipment supplier Prysmian .