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[August 07, 2006]

WOOSH IN TALKS WITH INTEL TO SET UP BROADBAND NETWORK - REPORT

(New Zealand Press Association Via Thomson Dialog NewsEdge) Wellington, Aug 7 NZPA - Woosh Wireless is in talks with giant chipmaker Intel about building a new broadband network in New Zealand, the Sunday Star Times reported today.

The giant US chip maker which had third quarter earnings of $US1.12 billion ($NZ1.81 billion) has made direct investments in several wireless internet providers around the world, including $A37 million ($NZ45 million) in Sydney-based Unwired in August last year.

Woosh chairman Rod Inglis said discussions were taking place, but would not comment on whether those talks involved a direct investment by Intel.

Simon Curry, Intel's Melbourne-based group manager of communications and media, said the company had been talking to Woosh over a long period but wouldn't comment on whether those discussions included talk of a direct investment by Intel.

Woosh is due shortly to announce a new chief executive following the resignation of long-time head Bob Smith, who departs at the end of the month.

Intel is pushing a new wireless broadband networking standard called Wimax that allows mobile devices to connect to the internet and email while users are on the road. Wimax-capable chips will be included in many laptop computers next year and Intel wants networks to be available for its customers to use.

``We're interested in anything to do with Wimax,'' Mr Curry told the Sunday paper.

Last month, Woosh said it had backing to build a Wimax network.

The company plans to converge fixed and mobile voice services, broadband and content such as internet television (IPTV).

It already has a broadband network using a rival technology to Wimax called UMTS TDD.

Mr Inglis said there was no conflict with Wimax, which could be bolted on to UMTS.

Woosh has radio spectrum which could be used to deliver TV.

NZPA WGT sml ks

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