New Zealand - Internet and ISP - Statistical Overview

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Last updated: 7 Aug 2008 Update History

Report Status: Archived

Report Pages: 12

Analyst: Paul Budde

Synopsis

This report has been archived. It contains material up to mid 2008. The New Zealand ISP market remains dominated by Telecom’s Xtra and TelstraClear. Between them they control around 75% of the broadband market. The next tier of providers includes ihug and CallPlus, with the remainder of the market consisting of small resellers of Telecom’s dial-up services. As this report reveals, the current group of second and third tier ISPs have remained very resilient in New Zealand. Many have developed supplementary revenue streams to mitigate dial-up to broadband substitution over the past years. This trend is likely to continue into 2008 and 2009. However most current telco products are, or soon will, be commoditised and this will make it almost impossible to survive in the absence of size and volume to successfully compete in the market. The exception here will be those companies which are able to successfully move into a profitable niche market.

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