Updated: Telstra Wholesale rolls out $16M deal with Telcoinabox

Australian-owned telecommunications reseller goes with Telstra Wholesale for ADSL2+ bandwidth.

The $16million deal will mean Telcoinabox will roll-out ADSL2+ bandwidth to its business customers nationally, through Telstra Wholesale.

In an interview with CRN, Damian Kay, managing director of Telcoinablox said the main reason it chose Telstra Wholesale for the delivery of ADSL2+ services was its coverage (1400+ exchanges).

The reseller was already fully integrated with Telstra's provisioning and management gateways (LOLIG) so very little work required to launch the product from a system point of view

The reseller has been a Telstra partner for around five years and currently resells the telco's fixed wire services and 2G mobile network - after renewing its three-year contract earlier in 2008.

The two deals combined will generate $80m - $100 million in landline, mobile and data business for Telcoinabox over the next three years.

Kay said it has been looking for opportunities with products like ADSL2+ and 3G mobile for some time.

"The business market demands a one-stop-shop environment where they can get all their telecommunications at one place and at competitive prices," he said.

"As we edge closer to a recession, business owners are watching their spending and telecommunication is often the first cost centre they review."

He said the reseller had also looked at AAPT and Optus. 

Kay said the telco products adds to its existing portfolio and provides further penetration into the SME and corporate markets.

The contract duration has been agreed for 24 months, he said.