Jazztel signs agreement with ZTE for fibre optics deployment
Iñaki Ferreras | 23-11-2012
Spain's telco Jazztel has signed an agreement with ZTE Corporation, a global provider of telco equipment and network solutions with advanced technology, to deploy FTTH.
Besides providing the necessary services for fibre optics deployment to the home in order to execute the agreement signed by Jazztel and Telefónica for the access to vertical infrastructures last October, ZTE, as part of the contract signed between its subsidiary and Jazztel, will provide a finance loan to cover the costs for the deployment.
The conditions of this loan are very advantageous for Jazztel. The loan amount will be 85% of the value of the contracts up to a limit of €450 million. The loan period is seven years.
Jazztel does have the necessary funds to start off the fibre optics deployment, however, with funds of €110,9 million.
The project will allow Jazztel to reach 3 million homes with FTTH over the next few years.
The telco has a broadband market share of 11,2% in Spain.