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Chunghwa Telecom to spend billions on network upgrades

Chunghwa Telecom Co (中華電信), the nation's biggest telecom operator, yesterday said it planned to spend NT$9 billion (US$294 million) this year on optical fiber deployment to provide faster data transmission service.

The investment is part of the phone company's bigger project to invest NT$120 billion on the next-generation network for fixed and mobile businesses over the five-year period ending 2012.

"Through the investment, the company hopes to provide high-speed broadband network service as well as helping the nation's communication companies," said Tu Yuan-kuang (涂元光), a senior managing director of Chunghwa Telecom's corporate planning department, at a company forum.

The spending would be about NT$9 billion, Tu said. Chunghwa Telecom has not finalized its capital spending for this year yet, but it usually spends NT$30 billion on new equipment each year.

The investment this year would be for purchasing telecom equipment mostly from local companies such as Zyxel Communications Corp (合勤) and D-Link Corp (友訊科技), which are Chunghwa Telecom's suppliers now.
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