Telecom's (NZSE: TEL) AAPT subsidiary and Lucent Technologies have agreed to a comprehensive mutual review of the roll-out of a CDMA mobile network in Australia.
Spokesman Mohan Jesudason says that after close consultation AAPT and Lucent have agreed to suspend the roll-out during the review period.
Telecom completed a full takeover of AAPT this month and is moving to form an integrated Trans-Tasman mobile business. AAPT awarded a contract earlier this year to Lucent to build the network.
Telecom has not given any major reason for the review although Mr Jesudason says the review and suspension follows delays in the roll-out.
"During the period of review, we have mutually committed to exploring all the options open to us in context of the fast evolving Australian mobile market. We can make no comment at this stage on the likely outcome of the review"
He also says there are commercial matters to be worked through between AAPT and Lucent.
Last week Telecom confirmed it is interested in the assets of another Australian telco, Cable and Wireless Optus, which already has a CDMA network in place.
Mr Jesudason said Telecom was well advanced with the roll-out of a CDMA network in NZ with the project slated for completion by the middle of next year.