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.
The first telegraph opened in New Zealand between the port of Lyttelton and Christchurch on 16 June 1862. [1] The line was constructed along the Lyttelton - Christchurch railway line. [1] The Vogel Era from 1870 saw a major expansion of the telegraph network, including an inter-island cable. [1] Telegraph lines increased from 699 miles (1,125 km) in 1866 to 3,170 miles (5,100 km) in 1876. [2] The first overseas telegraph cable between Australia and New Zealand began operation on 21 February 1876. [1]
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. [3]
Following early experiments with telephones on telegraph lines, the colonial government established a state monopoly in telephony with the Electric Telegraph Act 1875. [1] By 1900 there were 7,150 subscribers to telephone services. [4] Telephony subscriptions grew greatly over the next century, it was estimated by 1965 that 35% of New Zealanders had a telephone. [5]
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. [6]
By the 1980s there was major telephony traffic congestion on the New Zealand Post Office network. [7] In Auckland, the central exchange was overloaded and "verging on collapse" [7] elsewhere in New Zealand users often experienced network overloading and crashes. [7] Some areas still had manual telephone exchanges; Queenstown, for example, wasn't upgraded to automatic service until 1988. [8] The New Zealand Post Office was highly inefficient, being hamstrung as a government department and required to apply to the Treasury for capital investment. [7] As the Post Office was a monopoly, it had no incentive to improve customer service. [7]
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. [9] 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, [10] still owns the majority of the telecommunications infrastructure, but competition from other providers has increased. [9] 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. [11] As of 2017 [update], the United Nations International Telecommunication Union ranks New Zealand 13th in the development of information and communications infrastructure. [12]
As of May 2022 [update], there is approximately 2000 payphones in New Zealand, which few people anymore use due the abundance of cell phones. [28] Some of them offer WiFi with a reception radius of 50 metres. Most calls made on these phones are 0800 numbers. [28] 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. [29] Telecom phased these out completely in 1999, [30] which caused prices of phone cards price to drop significantly. Today, mint condition cards sell for $1. [29]
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. [32]
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.
The first telegraph opened in New Zealand between the port of Lyttelton and Christchurch on 16 June 1862. [1] The line was constructed along the Lyttelton - Christchurch railway line. [1] The Vogel Era from 1870 saw a major expansion of the telegraph network, including an inter-island cable. [1] Telegraph lines increased from 699 miles (1,125 km) in 1866 to 3,170 miles (5,100 km) in 1876. [2] The first overseas telegraph cable between Australia and New Zealand began operation on 21 February 1876. [1]
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. [3]
Following early experiments with telephones on telegraph lines, the colonial government established a state monopoly in telephony with the Electric Telegraph Act 1875. [1] By 1900 there were 7,150 subscribers to telephone services. [4] Telephony subscriptions grew greatly over the next century, it was estimated by 1965 that 35% of New Zealanders had a telephone. [5]
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. [6]
By the 1980s there was major telephony traffic congestion on the New Zealand Post Office network. [7] In Auckland, the central exchange was overloaded and "verging on collapse" [7] elsewhere in New Zealand users often experienced network overloading and crashes. [7] Some areas still had manual telephone exchanges; Queenstown, for example, wasn't upgraded to automatic service until 1988. [8] The New Zealand Post Office was highly inefficient, being hamstrung as a government department and required to apply to the Treasury for capital investment. [7] As the Post Office was a monopoly, it had no incentive to improve customer service. [7]
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. [9] 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, [10] still owns the majority of the telecommunications infrastructure, but competition from other providers has increased. [9] 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. [11] As of 2017 [update], the United Nations International Telecommunication Union ranks New Zealand 13th in the development of information and communications infrastructure. [12]
As of May 2022 [update], there is approximately 2000 payphones in New Zealand, which few people anymore use due the abundance of cell phones. [28] Some of them offer WiFi with a reception radius of 50 metres. Most calls made on these phones are 0800 numbers. [28] 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. [29] Telecom phased these out completely in 1999, [30] which caused prices of phone cards price to drop significantly. Today, mint condition cards sell for $1. [29]
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. [32]