New Zealanders Are Switched On When It Comes To Telecommunications

New Zealanders know what they like when it comes to telecommunications, and they like new technology, and the ability to use it flexibly.

“Kiwis are enthusiastic adopters of telecommunications technology,” said Telecommunications Commissioner Tristan Gilbertson. “In 2021, we have seen that they increasingly expect telecommunication products and services to offer high levels of flexibility alongside functionality and connectivity.”

Released today, the Commerce Commission’s 15th Annual Telecommunications Monitoring Report shows increasing uptake of uncapped mobile plans, and steady increases in both fixed and mobile data usage. The average amount of data used on a fixed line connection rose from 284 GB to 330 GB per month, and for mobile connections, from 3.29 GB to 4.21 GB per month.

Meanwhile, the number of copper connections has dropped by 30 percent in the last year. Most consumers coming off copper have moved to fibre, but some are moving to wireless broadband. New Zealand has one of the highest levels of wireless broadband uptake in the OECD, with 15 percent of broadband connections now on this technology.

“In 2020, we noticed that COVID-19 lockdown restrictions were accelerating the growth in fixed broadband data usage. While we have seen this trend continue, it has eased this year, with a shift towards products that enable greater flexibility in the way Kiwis work, study, play and stay connected.”

In 2021, there were big jumps in the number of residential and business consumers choosing uncapped ‘endless’ mobile plans – up 143 percent and 165 percent respectively on the previous year. Mobile is moving in the same direction as fixed broadband, where 79 percent of households are on ‘unlimited’ data plans.

“We have all had to adapt our routines and lifestyles to deal with the range of disruptions and challenges that the pandemic has created. Telecommunications can go a long way to help us adapt, so the findings and trends we have seen in our monitoring report this year reflect the shifting priorities of our purchasing choices.”

The Annual Telecommunications Monitoring Report measures and identifies trends in the competition, development and performance of New Zealand’s telecommunications markets. The report also includes fixed broadband and mobile market share figures, which are largely unchanged from 2020.

The Commission is looking to improve the format and contents of the Annual Telecommunications Monitoring Report in future to ensure that it remains relevant and fit for purpose. A consultation process to seek views will kick off later this year.

The full 2021 Annual Telecommunications Market Monitoring Report is available on the Commission’s website. 
 

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