Mar 7, 2007
Broadband users are continuing to rise with the number of New Zealand broadband subscribers reaching 1.4 million.
Statistics New Zealand says the number increased 30% in the six months to September last year. That has seen New Zealand jump from 22nd to 19th in OECD rankings.
Almost 98% of broadband users have a data allowance cap on their subscription.
Ihug Chief Executive Mark Rushworth says New Zealanders have always embraced technology and it is no surprise we continue to sign up for broadband. He says Kiwis use broadband to keep in touch with the rest of the world.
Rushworth says despite the uptake of broadband there will always be a place for dial-up internet.
The Internet Society of New Zealand has welcomed the improvements but advises there is still plenty of work to be done before we can experience the full benefits of broadband.
InternetNZ Executive Director Keith Davidson says he is pleased at the increase in uptake and anticipates that broadband will overtake dial-up in the next six months.
"Clearly improvements in pricing and plans for broadband are assisting in the increase in uptake.
"However, it is disappointing that 97.6% of broadband subscribers have data caps and 68.6% have a cap of less than 5Gb per month... we have a long way to go before New Zealanders are able to experience the full potential of broadband," says Davidson.
The statistics also show Internet Service Providers are happier with the government's changes to the regulatory environment. In March 2005, 73% felt the regulatory environment was a barrier to growth. This is now down to 48%.
The amount of subscribers to broadband in New Zealand have increased 30%, which also results in New Zealand jumping from 22 place to 19 in the OECD rankings, and having a total of 1.4 million Internet subscribers.

In a six-monthly survey by Statistics New Zealand, Internet Service Provider Survey, covering the six months prior to September 30, 2006, the amount of non-analog broadband subscribers reached 28.6%, more than the previous survey conducted the previous year, reaching a total of 611,600. There are currently 14.7 broadband subscribers per 100 people in New Zealand, previously nine.

Because of the increase in broadband subscribers, dial-up subscribers have dropped 5.1% since the start of April, 2006. Chief executive of ihug, an Internet service provider, Mark Rushworth said that dial-up will always have its place.

Out of all the broadband subscribers, 97.6% have a data cap, which limits the amount of monthly downloading that can occur, usually measured in multiples of gigabytes. 66.6% of all those who do have a data cap, have a limit of up to 5 gigabytes. Which the Internet Society of New Zealand's (InternetNZ) executive director, Keith Davidson, said was disappointing.

The increase in broadband subscribers rose the position of New Zealand from 22 to 19 on the Organisation for Economic Co-operation and Development (OECD) rankings for broadband uptake, dated June, 2006.

InternetNZ, has said that they welcome the survey saying that it is a good improvement, but "...with 60 percent of DSL subscribers having download speeds of less than 256Kbps and 90 percent having upload speeds of less than 256Kbps, we have a long way to go before New Zealanders are able to experience the full potential of broadband." InternetNZ also says that it will be hard for New Zealand to reach the targets set out by the Government's "Digital Strategy".

Mr Davidson said that the main reason for the uptake in broadband is the better plans and pricing for the plans.

In the 18-months leading up to the end of September, 2006, 34% of ISP's had reported that the regulatory environment had been restricting their growth.