BUSINESS INTERNET CONNECTIVITY IN NEW ZEALAND

AVAILABLE SERVICES IN NEW ZEALAND

New Zealand’s telecom sector is being transformed by the Ultra-Fast Broadband (UFB) program. This initiative is underpinning the digital economy as well as the emerging digital media sector. UFB is scheduled to be completed by 2020, and by early 2016 about 540,000 premises had been connected. This infrastructure will enable the residential and business segments to make far better use of the potential for IP-delivered services and content, and will help the country maintain its position at the forefront of the digital future. Though some of these deployments may not be complete for a few years yet, they will certainly set the stage for many new and promising developments in the future.

DETAILS

The Internet penetration rate almost reached 91% in 2018. LTE rates are among the fastest in the world. Investment and development of infrastructure enable network capabilities to propel the digital economy, digital media sector, e-government, and e-commerce across the country. Three fibre providers have launched wholesale 1Gb/s services.

TELECOMS MARKET

New Zealand’s fixed-line voice market continues to lose overall share of the telecom services market, partly caused by the drop in call prices and volumes as the uptake of mobile and other services continues. New Zealand’s mobile market continues to grow, with remarkable gains made in LTE services. Coverage from LTE networks has expanded considerably, thanks to the Rural Broadband Initiative rollout which is adding a large number of mobile cells to new or underserved areas. This has bolstered the uptake of mobile broadband. The overall number of broadband subscribers in New Zealand increased steadily in recent years, though at a slower pace in line with higher market penetration. The principal growth areas have been in the mobile broadband and fibre sectors. The Broadcasting Standards Authority (BSA) oversees the entire broadcasting system in New Zealand, including TV and radio.

BUSINESS ENVIRONMENT

Over the past 40 years, the government has transformed New Zealand from an agrarian economy, dependent on concessionary British market access, to a more industrialized, free market economy that can compete globally. This dynamic growth has boosted real incomes, but left behind some at the bottom of the ladder and broadened and deepened the technological capabilities of the industrial sector. Rising house prices, especially in Auckland, have become a political issue in recent years, as well as a policy challenge in 2016 and 2017, as the ability to afford housing has declined for many.

Expanding New Zealand’s network of free trade agreements remains a top foreign policy priority. New Zealand was an early promoter of the Trans-Pacific Partnership (TPP) and was the second country to ratify the agreement in May 2017. Following the United States’ withdrawal from the TPP in January 2017, on 10 November 2017 the remaining 11 countries agreed on the core elements of a modified agreement, which they renamed the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP). In November 2016, New Zealand opened negotiations to upgrade its FTA with China; China is one of New Zealand’s most important trading partners.

LOCAL PROVIDERS

RELEVANT INTERNET EXCHANGE POINTS

• APE – Auckland Peering Exchange
• WIX-NZ – Wellington Internet Exchange

DATACENTERS IN NEW ZEALAND