Home Business Telecommunications Vocus, Vodafone NZ cut fibre unbundling deal

Vocus, Vodafone NZ cut fibre unbundling deal

Vodafone New Zealand chief executive Russell Stanners and his Vocus New Zealand counterpart Mark Callander at Tuesday's announcement. Vodafone New Zealand chief executive Russell Stanners and his Vocus New Zealand counterpart Mark Callander at Tuesday's announcement. Supplied

Australia's Vocus Group and Vodafone New Zealand have joined hands in a deal to unbundle the government's ultra-fast broadband fibre network.

A statement from Vodafone NZ said the deal would allow Vocus, Vodafone and other retail service providers to begin provision of telecommunications services over the UFB network.

This would reduce dependence on Chorus and other local fibre outfits, it added.

The two companies claimed unbundling would speed up broadband innovation and wholesale price competition.

Recently, a select New Zealand Government panel confirmed unbundling by 2020. This mean that Vodafone and Vocus could begin plans to launch new services by January 2020, the companies said.

The joint venture includes scoping, designing and investing in unbundling the fibre local loops of the four local fibre companies, to compete with local firms in selling wholesale fibre products to the retail market.

Vodafone NZ and Vocus on Tuesday issued a request for proposal to local fibre companies for "Layer One" wholesale services and pricing.

Vodafone New Zealand chief executive Russell Stanners said: “We are excited to work with Vocus on this project as it will result in faster innovation, more choice and competitive wholesale pricing for Kiwis.

"We don’t see any reason to delay now that the government has given the green light for unbundling to get underway from 2020.

“After six years the four LFCs have delivered a small number of retail fibre products to consumers; compare that to unbundled markets like Singapore where retailers are able to fully customise their products to meet the needs of different consumers. This level of innovation and competition is what we want to see in New Zealand.”

Vocus New Zealand chief executive Mark Callander said: “We have already seen the huge benefits of copper unbundling in New Zealand and it’s time now to turn our focus to fibre as markets overseas are already doing.

“Our brands Slingshot and Orcon invested heavily in copper unbundling, as did Vodafone, and it dramatically changed the broadband market in New Zealand. It bought real competition, innovation and price savings to Kiwi consumers. Unbundling fibre is exciting, and will bring about tangible change.

“Partnering with Vodafone is a natural fit for Vocus, bringing to the table their global fibre experience and capabilities to complement our leadership in unbundling fixed networks here and in Australia. The combined scale and market share we both bring will be a key enabler of the initiative."


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Sam Varghese

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A professional journalist with decades of experience, Sam for nine years used DOS and then Windows, which led him to start experimenting with GNU/Linux in 1998. Since then he has written widely about the use of both free and open source software, and the people behind the code. His personal blog is titled Irregular Expression.


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