Telecommunications in New Zealand explained

Telecommunications in New Zealand are fairly typical for an industrialised country.

Fixed-line broadband and telephone services were largely provided through copper-based networks, but fibre-based services now represent the majority of connections. Spark New Zealand, One NZ, and 2degrees provide most services, while a number of smaller mobile virtual network operators also exist.

History

The first telegraph opened in New Zealand between the port of Lyttelton and Christchurch on 16 June 1862. The line was constructed along the Lyttelton - Christchurch railway line. The Vogel Era from 1870 saw a major expansion of the telegraph network, including an inter-island cable. Telegraph lines increased from 699miles in 1866 to 3170miles in 1876. The first overseas telegraph cable between Australia and New Zealand began operation on 21 February 1876.

The Electric Telegraph Department formed to manage the growing telegraph network was merged with Post Office Department to form the New Zealand Post and Telegraph Department in 1881.^[1]

Following early experiments with telephones on telegraph lines, the colonial government established a state monopoly in telephony with the Electric Telegraph Act 1875. By 1900 there were 7,150 subscribers to telephone services.^[2] Telephony subscriptions grew greatly over the next century, it was estimated by 1965 that 35% of New Zealanders had a telephone.^[3]

New Zealand's first payphones were installed in 1910, which was 21 years after the first ones in the United States. They were originally bright red.

By the 1980s there was major telephony traffic congestion on the New Zealand Post Office network. In Auckland, the central exchange was overloaded and "verging on collapse" elsewhere in New Zealand users often experienced network overloading and crashes. Some areas still had manual telephone exchanges; Queenstown, for example, wasn't upgraded to automatic service until 1988.^[4] The New Zealand Post Office was highly inefficient, being hamstrung as a government department and required to apply to the Treasury for capital investment. As the Post Office was a monopoly, it had no incentive to improve customer service.

The monopoly over telecommunications came to an end in 1987 when Telecom New Zealand was formed, initially as a state-owned enterprise and then privatised in 1990.^[5] Competition began in the early 1990s, greatly reducing prices. The first competitor to market was Clear Communications, a consortium of North American and New Zealand businesses. Chorus, which was split from Telecom (now Spark) in 2011,^[6] still owns the majority of the telecommunications infrastructure, but competition from other providers has increased.^[5] A large-scale rollout of gigabit-capable fibre to the premises, branded as Ultra-Fast Broadband, began in 2009 with a target of being available to 87% of the population by 2022, which was achieved.^[7], the United Nations International Telecommunication Union ranks New Zealand 13th in the development of information and communications infrastructure.^[8]

Telephones

• Country calling code

64

• • The same code is also used to reach Scott Base in Antarctica and the United States base McMurdo Station nearby.

Mobile phone system

• Number of mobile connections: 5.8 million (2021)^[9]
• Coverage available to approx 98% of the population.
  • Operators:
    • 2degrees (operating UMTS and LTE)
      • Virtual network operators

Warehouse Mobile (owned by The Warehouse Group),^[10] Nova Energy,^[11] Orcon (owned by 2degrees),^[12] Slingshot (owned by 2degrees), and Electric Kiwi.^[13]

• • • One NZ (operating GSM, UMTS, HSDPA and LTE)^[14]
      • Virtual network operators: Flexiroam, Kogan Mobile NZ,^[15] Mighty Mobile (owned by Mighty Ape),^[16] and Rocket Mobile (formerly MyRepublic).^[17]
    • Spark New Zealand (operating UMTS, HSDPA and LTE)^[18]
      • Virtual network operators: Skinny (owned by Spark NZ), Digital Island,^[19] Compass,^[20] and Flexiroam.^[21]

Fixed-line telephone system

• Number of fixed line connections: 1.92 million (2000)
• Individual lines available to 99% of residences.
• VoIP Cloud Based Voice services are now mainstream.
• Traditional Copper line Operators:
  • Chorus Limited

A large numbers of ISPs (referred to as "retail service providers") retail Chorus' connections to personal and business customers. As a wholesaler, Chorus does not retail internet connections to end users.

Cable and microwave links

• Domestic:
  • Optical fibre and microwave links between cities
  • Submarine optical fibre cables between the North Island and the South Island
• International:
  • Submarine cables:
    • Hawaiki Cable (launched July 2018)^[22]
    • Southern Cross Cable (to Australia and Hawaii)
    • TASMAN 2 (to Australia)
    • Tasman Global Access (to Australia, completed March 2017)^[23]
    • Moana Cable (proposed)^[24]
  • Satellite earth stations: 2 Intelsat (Pacific Ocean)

Payphones

, there is approximately 2000 payphones in New Zealand, which few people anymore use due the abundance of cell phones.^[25] Some of them offer WiFi with a reception radius of 50 metres. Most calls made on these phones are 0800 numbers. Telecom previously made phone cards, which had various designs such as New Zealand plants and birds. They were a fad for collectors; some cards would sell for up to $14,000. Telecom phased these out completely in 1999,^[26] which caused prices of phone cards price to drop significantly. Today, mint condition cards sell for $1.^[27]

Radio

• Radio broadcast stations: AM 124, FM 290, shortwave 4 (1998), 4 on Freeview digital satellite.
  • See also: List of radio stations in New Zealand
• Radios: 3.75 million (1997)

Television

See main article: Television in New Zealand.

• Television broadcast stations: 41 (plus 52 medium-power repeaters and over 650 low-power repeaters) (1997)
  • These transmit 4 nationwide free-to-air networks and a few regional or local single transmitter stations. Analogue was phased out between September 2012 and December 2013
  • Digital Satellite pay TV is also available and carries most terrestrial networks.
  • Freeview digital free satellite with a dozen SD channels, with SD feeds of the terrestrial HD freeview channels.
  • Freeview, free-to-air digital terrestrial HD and SD content.
  • See also: List of New Zealand television channels
• Televisions: 1.926 million (1997)

Internet

See also: Internet in New Zealand.

• Internet Service Providers (ISPs): 36 (2000)
• Internet users: 4.55 million (2021)^[28]
• Fixed internet connections: 1.24 million (2013)
• Country code (Top level domain): .nz

Telecommunications Development Levy

See main article: Telecommunications Development Levy. The government charges a $50 million Telecommunications Development Levy annually to fund improvements to communications infrastructure such as the Rural Broadband Initiative. It is payable by telecommunications firms with an operating revenue of over $10 million, in proportion to their qualified revenue.^[29]

See also

• Economy of New Zealand

Further reading

• Book: Lloyd Pritchard, Muriel F. . An Economic History of New Zealand to 1939 . 1970 . Collins . Auckland .
• Book: Newman, Keith . Keith Newman (writer) . Connecting the Clouds - the Internet in New Zealand. Activity Press. 2008. 9780958263443.

Notes and References

1. Encyclopedia: Mail and couriers – Mail in the steam era, 1850s–1890s . Tim . Shoebridge . Te Ara – the Encyclopedia of New Zealand . 11 March 2010 . 5 January 2019.
2. Web site: An Encyclopaedia of New Zealand - Post Office. . 1966. 28 April 2019.
3. Web site: An Encyclopaedia of New Zealand - Post Office - Inland Telecommunications. . 1966. 28 April 2019.
4. Web site: Reunion 30 years after Queenstown telephone exchange closes. 2020-05-20. Stuff. 27 March 2018. en.
5. Encyclopedia: Wilson. A. C.. Telecommunications - Telecom. Te Ara: The Encyclopedia of New Zealand. 11 August 2017. March 2010.
6. Web site: Telecom separation. Ministry of Business, Innovation and Employment. 11 August 2017. en. 14 September 2015. 11 August 2017. https://web.archive.org/web/20170811055739/http://www.mbie.govt.nz/info-services/sectors-industries/technology-communications/communications/previous-reviews-and-consultations/telecom-separation. dead.
7. Web site: Broadband and mobile programmes - Ministry of Business, Innovation & Employment. www.mbie.govt.nz.
8. Web site: 2017 Global ICT Development Index. International Telecommunication Union (ITU). 18 September 2018. en. 2018.
9. Web site: Annual Telecommunications Monitoring Report - 2021 .
10. Web site: Warehouse Mobile.
11. Web site: Endless Mobile, Nova Energy . 15 May 2023.
12. Web site: 2022-06-01 . 2degrees and Vocus NZ merger completes 2degrees . 2023-12-27 . www.2degrees.nz . en-NZ.
13. Web site: Electric Kiwi Expand Services with Kiwi Mobile . 2024-07-31 . www.geekzone.co.nz . en.
14. Web site: Coverage at your location over 5G, 4G, 3G and even 2G. Look for Coverage everywhere. One NZ. .
15. Web site: Kogan Mobile Prepay Plans .
16. News: Mighty Mobile: Mighty Ape, One NZ partnership offers unlimited high-speed prepay mobile plans .
17. Web site: Rocket Mobile: Unlimited mobile data plans . 2023-12-27 . Rocket Mobile . en-US.
18. Web site: https://web.archive.org/web/20090308003415/http://www.telecom.co.nz/newnetwork/ . Telecom New Zealand Website – Information about mobile network. 8 March 2009. 15 August 2014.
19. Web site: Digital Island.
20. Web site: Mobile plans . 2024-04-18.
21. Web site: New Zealand Flexiroam . 2024-04-18. Flexiroam. en-US.
22. News: Hawaiki opens new subsea route to the US with direct access to LA . 25 June 2019 . . 23 March 2021.
23. News: Tasman Global Access cable lights up . Rob . O'Neill . ResellerNews . 30 March 2017 . 12 April 2017.
24. News: Here's what New Zealand's internet looks like . Sophie . Ryan . . 9 December 2015 . 12 December 2015.
25. Web site: 2022-05-22 . The reminders of a telco past still standing today . 2023-11-18 . RNZ . en-nz.
26. Web site: Telecom folds hand in phone card battle . 2023-11-18 . NZ Herald . en-NZ.
27. Web site: Edmunds . Susan . 2016-11-10 . Collectible fad collapses leave buyers out of pocket . 2023-11-18 . Stuff . en.
28. Web site: Digital 2021: New Zealand . DataReportal – Global Digital Insights . 19 December 2022.
29. Web site: 2012/13 Telecommunications Development Levy | Commerce Commission . 2014-03-06 . dead . https://web.archive.org/web/20140306100912/http://www.comcom.govt.nz/regulated-industries/telecommunications/tdl/2012-13-telecommunications-development-levy/ . 6 March 2014.