Telefonica reached a deal to buy back rural backhaul provider LineoX after selling the business to investment group Asterion Industrial Partners more than six years ago.

Telefonica stated LineoX operates one of Spain’s leading rural microwave link networks, providing critical backhauling infrastructure for mobile connectivity, particularly in rural and less densely populated areas.

Asterion acquired the “underlying portfolio” of microwave radio links from Telefonica in 2020 through a carve out transaction and has operated the business as an independent infrastructure platform.

It has also been integrated within a broader wholesale telecoms group alongside Axion, spanning radio links, towers, broadcasting and fibre transport.

Telefonica, which did not reveal the value of the transaction, stated it has remained a partner and anchor client of LineoX since the sale, reflecting a commitment to network performance, service continuity and reliability.

Borja Ochoa, CEO of Telefonica Spain added the deal to acquire the unit is fully aligned with its strategy.

“Our focus is to rigorously strengthen control over the capabilities that are critical to our network, our resilience and our long-term leadership, so that we can provide more and better services to our customer.”

He added LineoX is a highly relevant platform for rural connectivity in Spain, and its integration will reinforce its ability to continue investing in the evolution of its infrastructure.

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Telstra teamed up with Google to bolster digital infrastructure across Australia and Asia-Pacific, using a combination of fibre and subsea network integration to tap into growing demands for AI technology.

The partnership will see Google work with Telstra on its fibre backbone Aura network, securing inter-city dark fibre capacity, and target new opportunities “along some of Australia’s key connectivity corridors”. The increase in capacity is intended to give more Australian businesses and households the opportunity to connect faster and more securely to the rest of the world.

The Aura network is described by Telstra as the “backbone of Australia’s digital future”, run by its InfraCo division, providing ultrafast connectivity between cities and remote regions. The operator has already laid 8,000km of the network, which will increase to 14,000km when complete.

Connectivity hub
On the subsea side, Telstra will join Google’s Pacific Connect and Australia Connect initiatives to use subsea fibre pairs on the Tabua, Proa and Bulikula subsea systems, which provide the country with links to Japan, the Pacific Islands and the US, reinforcing the nation’s potential as a connectivity hub.

Through the integration of terrestrial and subsea, the duo touted benefits to security and resilience, as they can remove single points of network failure.

Telstra said it partnered with Google to further advance the technology giant’s AI capabilities in Australia, while enabling the operator to deliver “diverse and secure subsea pathways” to ensure networks are equipped to handle the growing demands of AI applications and workloads.

Telstra added underlying infrastructure must evolve to securely and reliably support data flows not only within Australia but across key international corridors.

Steve Worrall, CEO of Telstra Digital Infrastructure said “the partnership is about enhancing our national capability and ensuring that Australia remains seamlessly connected to the global economy”. 

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