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This report provides a detailed overview of the regulatory, infrastructure, fixed network voice and VoIP sectors of the New Zealand telecommunications market.Key issues covered include:Telecom maintains a stranglehold on the local access market in fixed line voice and broadband. Telecom began a rollout of its NGN network in 2005, however a 2012 completion date will leave New Zealand well behind the rest of the developed world. From 2003 to 2005 the industry saw a significant rise in the use of wireless technologies as serious competition to the more traditional copper and fibre optic-based solutions. A number of niche fibre optic networks had also been established by late 2005. Without regulatory intervention to introduce Local Loop Unbundling, the low broadband penetration in New Zealand will not likely to get much better during 2006 and 2007.Telecom maintains a stranglehold on the local access market in fixed line voice and broadband. Telecom began a rollout of its NGN network in 2005, however a 2012 completion date will leave New Zealand well behind the rest of the developed world. From 2003 to 2005 the industry saw a significant rise in the use of wireless technologies as serious competition to the more traditional copper and fibre optic-based solutions. A number of niche fibre optic networks had also been established by late 2005.Without regulatory intervention to introduce Local Loop Unbundling, the low broadband penetration in New Zealand will not get much better during 2006 and 2007. This report provides a detailed overview of the regulatory, infrastructure, fixed network voice and VoIP sectors of the New Zealand telecommunications market.The total telecoms market in New Zealand grew by 9% from $6.7 billion in 2004 to $7.3 billion in 2005, however if this amount is adjusted for Telecom’s recent acquisitions, growth reduced to approximately 5% for the same period. Overall total telecoms market growth of around 5% to 6% is predicted for both 2006 and 2007. Total telecom services revenue growth in New Zealand for the 2005 financial year was 3%. The voice market performed poorly with negative 5% growth, whilst both the mobile and data markets performed strongly. Telecom maintains a stranglehold on the local access market in fixed line voice and broadband. Data, Internet and Valued added services grew 8% and the mobile market grew 13% during 2005. TelstraClear’s retreat from a nationwide residential rollout in late 2005 will shift the balance even further back to Telecom, however from 2006 onwards there will be a window of opportunity for another player to capitalise on the hole that has been left in the market. |