Swiss telecoms provider Swisscom AG (SCMN.VX) said Friday it has signed a deal to connect the city of Basel to the high speed fiber-optic network.

Swisscom will assume 60% of the 170 million Swiss franc ($176.8 million) cost with the rest being picked up by state-owned energy provider IWB. The project now requires approval from the cantonal council of Basel city.

A decision is expected by the beginning of 2011.

"The concluded contract and the ambitious expansion plans ensure that Basel will be one of the very first cities in Switzerland to enjoy city-wide, ultra high-speed services via fiber-optic connections, as early as 2017," Swisscom said in a statement.

The Basel project is part of Swisscom's plan to spend CHF2 billion upgrading bandwidth to account for around a third of all Swiss households by 2015.

Similar projects are underway in Geneva, Zurich and Berne.

-By John Revill, Dow Jones Newswires; +41 43 443 8042 ; john.revill@dowjones.com
Swisscom (PK) (USOTC:SCMWY)
Historical Stock Chart
From Jun 2024 to Jul 2024 Click Here for more Swisscom (PK) Charts.
Swisscom (PK) (USOTC:SCMWY)
Historical Stock Chart
From Jul 2023 to Jul 2024 Click Here for more Swisscom (PK) Charts.