Retail service providers line up to use NZ's FTTH network

Stuart Corner
Tuesday, 22 March 2011 09:20

Business IT - Networking

Thirteen telecommunications service providers have indicated their interest in selling services on New Zealand's Ultra Fast Broadband Network, the equivalent of NBN Co's FTTH network in Australia.

Crown Fibre Holdings, the Government company set up to manage rollout of the UFB has released the name of companies that have signed letters of intent to retail UFB services. They are: CallPlus (Slingshot); FX Networks; Kordia; MaxNet; Orcon; Rural Link for Hamilton only; TrustPower Kinect for Tauranga; Uber Group for Whangarei; Velocity Networks for Hamilton; Vodafone; Woosh; WorldxChange and XfNet, for Whangarei.

CFH says it expects retailers' to reveal details of their product offerings and prices in coming weeks. CFH CEO, Graham Mitchell, said: "We've worked hard to make wholesale services affordable and we're delighted that's been acknowledged in the strong interest received from so many retail service providers'¦Given the attractive UFB wholesale prices, retailers will be able to offer superior Internet and voice services for much the same price as customers pay for communications over copper today.

With the UFB the government aims to connect 75 percent of New Zealand homes to fibre within 10 years. In December 2010, the Government accepted CFH's recommendations to form the first two local fibre companies in partnership with Northpower for Whangarei and with Ultrafast Fibre Ltd for the Central North Island. The UFB build commenced in Whangarei in the same month.

CFH is negotiating with Telecom NZ, Enable, Flute, Vector and the Central Fibre consortium to form LFCs for other areas.