About Telecom

Telecom Corporation of New Zealand Limited (Telecom) was formed in 1987 out of the telecommunications division of the New Zealand Post Office, a government department. In 1990 Telecom became one of the first telcos in the world to be fully privatised.

On 30 November 2011, Telecom demerged into two entirely separate, publicly listed companies; a retail services provider (Telecom) and a network services operator (Chorus). Structural separation of Telecom's retail business from the business that owns and operates the Fibre-To-The-Premise (FTTP) network was a pre-requisite for participation in the Government's Ultra-Fast Broadband scheme (UFB).

Today, Telecom has a significant level of operational scale within the New Zealand telecommunications market, with assets including;

  • the PSTN network equipment for fixed line calling;
  • the XT 3G mobile network;
  • national backhaul networks;
  • a 50% ownership interest in the Southern Cross international cable; and
  • one of Australia's most extensive fixed IP networks.

Telecom provides fixed, mobile and IT products and services to consumer, small and medium-sized enterprise (SME), corporate, enterprise and wholesale customer segments with:

  • Over 1 million fixed line residential and SME customers in New Zealand;
  • Over 2 million mobile connections (consumer and business) in New Zealand;
  • Over 800,000 fixed and mobile internet and broadband customers in New Zealand;
  • Over 3,000 business clients across Australasia using Gen-i's ICT services.

Telecom business units

Telecom Retail is responsible for providing fixed line, mobile and internet services to consumer, small/medium business and the wholesale markets.

Gen-i provides converged technology and telecommunications solutions for Telecom's business customers across New Zealand and Australia.

Telecom New Zealand International carries over two percent of global voice traffic, with over 200 voice customers/vendor relationships worldwide.

Our milestones

On 14 May 2012 we announced live customer trials of Long Term Evolution (LTE) mobile technology in late 2012 in preparation for the evolution of the XT network to 4G. We delisted from the New York Stock Exchange, with the last day of trading 9 July 2012. The CDMA network closed at midnight on 31 July 2012. Simon Moutter's first day as CEO Telecom was 13 August 2012.

On 24 May 2011, Crown Fibre Holdings chooses Chorus as its partner in 24 regions, or around 70% to build New Zealand's Ultra Fast Broadband network. In October, Telecom shareholders vote to approve the resolution to demerge Chorus on 01 December 2011, a condition of participation in the UFB process. Mark Verbiest is conditionally appointed as Chairman of New Telecom. On 1 December 2012 we announced that demerger was successfully completed, and Mark Verbiest became chairman.

We submitted a proposal to participate in the government's Ultra Fast Broadband scheme. Our new headquarters Telecom Place, in Auckland's Victoria Street is declared open in November.

We welcomed the announcement of the New Zealand Government Broadband Investment Initiative. The XT mobile phone network, the WCDMA 850 MHz is launched in June. In October, new branding is revealed, based on the blue and white 'spark' device.

Telecom was operationally separated into three distinct New Zealand operating businesses on 31 March. These units are: network and access business Chorus, Telecom Wholesale and International, and Telecom Retail and Gen-i. They are supported by the Telecom Group Corporate Centre including Technology and Shared Services. Australian business AAPT is not part of this operational separation.

We undertook a nationwide Fibre-To-The-Node(FTTN) broadband enhancement project to make high-speed broadband available to 80% of New Zealanders by 2011. We also announced we will build a new WCDMA 850 MHz mobile network, set to launch mid-2009.

We announced the sale of the Yellow Pages Group to a private equity consortium consisting of CCMP Capital and Teachers' Private Capital, the private investment arm of the Ontario Teachers' Pension Plan, for NZ$2.24 billion.

The 025 network is shut down at 6pm on 31 March.

In May, the New Zealand Government announced a comprehensive set of proposed changes to telecommunications regulation. These changes include proposals to extend the range of regulated wholesale broadband services, and introduce local loop unbundling to the New Zealand marketplace.

Telecom New Zealand International (TNZI) opens a new Singapore office to extend its next-generation soft switch network into Asia.

We launch the 'Revision A' upgrade to the EV-DO network, powering our mobile broadband service, bringing faster download and upload speeds.

We passed the 250,000 mark in residential broadband customers, and announced a project to build the IP Voice platform for Telecom's Next Generation Network with partners Alcatel.

We acquire Gen-i and Computerland and integrated them with Advanced Solutions to create a much larger Gen-i, offering a range of ICT solutions to corporate and enterprise customers.

We launch New Zealand's first Third Generation mobile phone network (T3G), using EVDO technology, and announce our 025 network will be shut down in 2007.

We have 508,000 customers connected to our 027 CDMA Network on December 31, 2003.

We form a stratetgic partner relationship with Alcatel to manage the development and integration of our trans-Tasman Next Generation Network (NGN).

Just 14 months after launching, we have more than 200,000 customers on our 027 CDMA network.

We invest NZ$38 million in a submarine cable between New Zealand's North and South Islands. We switch on the CDMA wireless network, covering more than 98% of New Zealand's populated areas.

Xtra signs up its 300,000th customer, Telecom Mobile celebrates 1,000,000 customers connected to its network and the Southern Cross cable is switched on.

esolutions, an alliance of Telecom, EDS New Zealand Limited (EDS) and Microsoft New Zealand Limited, begins developing ecommerce products.

Telecom bought 78 percent of AAPT Pty (AAPT) - Australia's third largest telco and raise our AAPT shareholding to 100 percent in December 2000. AAPT acquires 100 percent of Internet business connect.com.au Pty Ltd.

We launched a new nationwide payphone network using smart card technology.

We take EDS as our IT partner. The relationship includes a 10 year NZ$1,500 million agreement for EDS to supply all our IS services. Jetstream - Telecom's fast internet service based on ADSL technology is launched and rolled-out progressively in local exchanges.

Southern Cross Cables Limited, approximately half owned by Telecom, announces plans to build a fibre optic cable linking New Zealand with Australia and North America.

We celebrate 500,000 mobile customers connected to our network.

We establish an exchange in the United States for international traffic, and launch internet service provider XTRA, which becomes New Zealand's most popular Web portal.

We begin rolling out of a fibre-coax cable network in parts of Auckland and Wellington under a plan to launch 'FIRST MEDIA' pay television services (closed in 1998).

We switch on our National Fault and Work Management System allowing more efficient handling of, and response to, customer fault calls.

We switch on the NZ$200 million Tasman 2 fibre optic cable between Australia and New Zealand.

Telecom is sold to wholly owned subsidiaries of Bell Atlantic Corporation and Ameritech Corporation for NZ$4.25 billion. A year later, Telecom is listed on the New Zealand, Australian and New York stock exchanges.

We buy the telecommunications business of the New Zealand Post Office and become a State Owned Enterprise - a Government-owned business with a commercial focus.

The New Zealand telecommunications market is progressively deregulated and from April 1989 anyone can compete with Telecom.

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