TELECOM COMMITS TO TOUGH UNDERTAKINGS ON OPERATIONAL SEPARATION AND BRINGING FAST BROADBAND TO EVERY NEW ZEALAND TOWN
AND CITY
Telecom CEO Paul Reynolds announced today that over the next four years Telecom would deliver fast broadband to every
town and city in New Zealand, based on a world-class next generation network.
Paul Reynolds was speaking following the submission of Telecom’s Undertakings for operational separation.
“Operational separation brings some tough requirements, but is good for customers because it promises more choice; good
for New Zealand because it promises new investment; and good for Telecom because we can compete in an environment in
which the need for any future regulation is greatly reduced.
“Operational separation has given Telecom the opportunity to re-plan its broadband strategy and accelerate the upgrade
of the existing network in ways that will support New Zealanders’ aspirations for the digital age.
“Specifically, we plan to install more fast ADSL2+ technology, more fibre to the street, and create a next generation
network capable of supporting a wide range of world class Internet Protocol-based services for our wholesale and retail
customers.
“A key element of the Undertakings we submitted yesterday is our proposal to accelerate the first phase of an enhanced,
next generation fixed network IP footprint to all towns with 500 or more lines, across rural and urban New Zealand.
“This enhanced network is world-class and will support the provision of sophisticated offerings, including faster
broadband up to 20 Mbps, and VoIP services.
“And investment in fibre can support new technologies and services reliant on even faster speeds in the future.”
Examples of townships that will benefit from the enhanced access network include Edgecumbe and Ngatea in the North
Island, and Methven, Riverton, Pleasant Point and Waikouiati in the South Island.
“Great Britain and New Zealand are among the very first countries to grapple with the opportunities that operational
separation brings, and over time other countries may well head down a similar path.
“The bold proposals in our Undertakings show that Telecom New Zealand is serious about seizing the opportunities that
operational separation brings, serious about building a world-class network to support the broadband experience New
Zealanders are rightly demanding and serious about providing the basis for more customer choice.
“And we are serious about investing the money required to support this vision.
“Over the next five years, we anticipate that total expenditure on our next generation network and fast broadband will
amount to some NZD$1.4 billion.”
ENDS