InternetNZ welcomes New Zealand's improving broadband But a long way to go
Media Release March 7, 2007
InternetNZ (The Internet Society of New Zealand) welcomes improvements shown in the latest Internet Service Provider
survey from Statistics New Zealand but advises there is still plenty of work to be done before we can experience the
full benefits of broadband. The improvement in New Zealand's ranking in the OECD table for broadband from 22nd to 19th
is positive, but this will need further progress to reach the Government's Digital Strategy targets.
InternetNZ Executive Director Keith Davidson says he is pleased at the increase in uptake for the six month period to
September 30, 2006 of 28.6 per cent to 611,600 broadband subscribers, and anticipates that broadband will overtake
dial-up in the next six months. "Clearly improvements in pricing and plans for broadband are assisting in the increase
in uptake."
"However, it is disappointing that 97.6 percent of broadband subscribers have data caps and 68.6 percent have a cap of
less than 5Gb per month. And with 60 percent of DSL subscribers having download speeds of less than 256Kbps and 90
percent having upload speeds of less than 256Kbps, we have a long way to go before New Zealanders are able to experience
the full potential of broadband," says Davidson.
The statistics also show Internet Service Providers are happier with the Government's sweeping changes to the regulatory
environment. In March 2005, 73 percent felt the regulatory environment was a barrier to growth. This is now down to 48
percent.
The market continues to consolidate with ISPs at the smaller end showing a decrease in subscribers and those at the
larger end showing an increase. "While some rationalisation is good for the market, InternetNZ would like to see an
adequate number of providers with a broad range of services," says Davidson.
ENDS