SP Telemedia, owner of TPG and Soul internet service providers, has announced its intention to acquire Pipe Networks for $373 million.
Last month, Pipe Network's PPC-1 cable from Sydney to Guam carried its first light. This time, tests run with early customer, Internode, has seen the cable carry its first data packets.
Opinions are split amongst analysts, telcos and ISPs as to whether Pipe's new PPC-1 Sydney to Guam submarine cable will lead to lower broadband prices for Australians, but all agree the threat of its arrival, set for October, has had a positive impact already.
On Sunday, Pipe Networks claimed "first light" on its Sydney to Guam cable, but despite the milestone it is still some months away from being launched.
Pipe Networks, builders of the PPC-1 cable between Sydney and Guam, will pitch access to its Sydney to New Zealand PPC-2 cable to a Tasmanian infrastructure company.
As the National Broadband Network pricing debate continues, we should consider which is the most appropriate model for costing a bit that costs virtually nothing to carry.
The proposed buyout of Pipe Networks by SP Telemedia is an absolute travesty for Australia's telecommunications industry and will be overwhelmingly negative for customers, Pipe Networks staff, shareholders and the industry as a whole.
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