Australian phone giant Telstra has agreed to help build a national broadband network worth up to A$37 billion (€26.35 billion), a deal that could win votes for the government and ease uncertainty for Telstra investors.

Under the deal, Telstra agrees to convert its old copper-wire network into a superfast web of optic-fibre and then rent it out to the government’s National Broadband Network Company (NBN) in return for A$11 billion (€7.84 billion) in long-term payments.

The government had threatened to split Telstra up, unless it agreed. – (Reuters)