1 Feb 2010

Vector promotes ultra-fast broadband in Auckland

5:39 pm on 1 February 2010

Listed electricity company Vector says its bid to roll out ultra-fast broadband across Auckland will result in newer and faster technology than Telecom is offering to provide.

Meanwhile, Telecom says it can roll out broadband across the country more cheaply and efficiently using its existing fibre network.

Though details are vague, Vector and Telecom are the only companies so far to have divulged any information about their bids to participate in the Government's $1.5 billion ultra fast broadband roll out.

The two companies are competing for a service contract to supply Auckland.

Vector believes its product offers a faster, cost effective solution for customers in the Auckland region.

Chief executive Simon Mackenzie says Vector will build a fibre network to the customer's premises from day one.

Telecom has submitted two proposals. The first complies with the Government's preferred commercial model, which was to have up to 33 local fibre companies creating the network separately.

But Telecom's preferred model, is to build on the existing fibre network that its network business Chorus is rolling out to roadside cabinets.

Telecom's chief executive Paul Reynolds says he is open to discussing other alternatives which achieve the government's objective.

Consortium formed

A group of 19 companies have formed a consortium, called the New Zealand Regional Fibre Group, to deliver broadband to people's homes and businesses across about 80% of the country.

The Crown Fibre Holdings unit will on Tuesday reveal the full list of companies wanting to participate in a roll out across the regions.