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Championing better broadband for New Zealand 2019 / ISSUE 9
Unlocking
broadband's
potential
Communications Minister Kris Faafoi
wants every New Zealander to benefit
from faster internet connections
ESPORTS FREEVIEW INSPIRE NET BROUGHT TO YOU BY
Online gaming goes Broadcast television 20 years from
professional moves online dial-up to fibreContents 2019 / ISSUE 9
REGULARS
1
Editorial
The Network is the Computer
2
In Brief
Security fears, installs peak,
UFB wireless link
9
10Gbps Fibre
Chorus is testing the world's fastest
residential broadband
10
TV MOVES ONLINE
Freeview launches a
6
streaming service
that could see an COVER STORY
end to satellite A new Telecommunications Act and issues concerning 5G will keep the
dishes and aerials Communications Minister busy. He also wants to close the digital divide
20
Re:Mobile 28
Recycling used mobile phones
22 ESPORTS
Fibre Unbundling Professional
What is it? Why might it matter? gaming has
24 become a
Inspire Net spectator sport
Twenty years of pushing at
technology's edge
12
RURAL
CONNECTIVITY GROUP
An innovative approach to filling
the gaps in rural broadband and
phone coverage
16
Rugby World Cup
The pressure is on
33
RANT
18 Bill Bennett is still
MyRepublic waiting for the virtual
Asia-Pacific's regional service provider reality revolution
thedownload.co.nzThe Download | Editorial 1
Editor
Bill Bennett
The Network is
Chorus Editorial Consultants
Ian Bonnar, Steve Pettigrew,
Holly Cushen
Contributors
the Computer
Scott Bartley, Heather Wright,
Hadyn Green, Johanna Egar,
Holly Cushen, Sarah Putt
Senior Account Director
LauraGrace McFarland
Designers
Jessie Marsh, Julian Pettitt
Account Executive
Paige Fleming
On the cover IF THE HEADLINE is familiar, it could be because they were slow. Often you would use a dial-up
Photograph by Nicola Edmonds you’ve been around networks and computers connection with a pre-digital acoustic modem.
for a long time. The term pre-dates Ultra-Fast If you were lucky and had a reasonable budget
Broadband. It even pre-dates the Internet. you might have been able to afford an ISDN
The words are almost forgotten. Yet they (Integrated Services Digital Network) line. This
Published by ICG are more relevant and more potent today than was usually a digital copper link that could run at
PO Box 77027, Mt Albert
Auckland 1350, New Zealand ever before. 64 or 128 kilobits per second.
www.icg.co.nz They date back to 1984 and a company called To put ISDN in perspective, Chorus is testing
ISSN 2624-1137 (Print) Sun Microsystems. At the time, Sun sold a range 10Gbps. It’s a technology that residential
ISSN 2624-1145 (Online)
of expensive, powerful graphics workstations. customers may soon use to move data at around
They were more powerful than that era’s 100,000 times the data speed of ISDN.
personal computers. Yet that was never enough Although the networks were slow, client-server
The Download is championed by
for the engineers computing was a huge
Chorus
PO Box 632, Wellington 6140 and scientists breakthrough. It paved
www.chorus.co.nz who used them the way for everything
The contents of The Download
to process huge 'To put ISDN in perspective, connected computers
data volumes. and phones do now.
are protected by copyright. Please
feel free to use the information In those days, Chorus is testing 10Gbps. It's a Along the way, we
in this issue of The Download,
with attribution to The Download there were small technology that residential stopped talking about
computers – PCs mainframes and
customers may soon use
by Chorus New Zealand Limited.
Opinions expressed in The Download
and graphic minicomputers. We
to move data at around
are not necessarily those of the
publisher or the editor. Information workstations – and call today’s bigger
contained in The Download is big computers, the computers ‘servers’.
correct at the time of printing and
mainframes and
100,000 times the speed' We also have server
while all due care and diligence
has been taken in the preparation minicomputers. farms and cloud
of this magazine, the publisher is
not responsible for any mistakes,
Small computers could, in theory, communicate computing. In essence, cloud computing is the
omissions, typographical errors or with big computers. It didn’t happen often. client-server’s great-grandchild.
changes to product and service Instead, the two types of machines lived most of Today, the network is very much the computer.
descriptions over time.
their working lives in different worlds. Want to know something? Use Google or
Then something emerged called client-server Wikipedia’s networked computers. Want to
computing. I’m simplifying here. The idea was process numbers? Buy cloud computer time from
that small computers could hand off heavy-duty Amazon or a local cloud vendor. Want to run
data processing to larger computers. At the same accounts? Use Xero’s networked computers.
time, big computers could hand off the graphics Sun Microsystems understood that in 1984.
processing needed to display the fruits of their The company never made it to the promised land.
labour to smaller computers. It was wiped out when rivals learned to make
Connect with us
Facebook.com/ChorusNZ Most of the time, client-server networks were servers from cheap, commoditised hardware. It
Twitter/ChorusNZ local. They might cover a single building, a got that strategy wrong, but it saw the potential of
Chorus NZ Limited on LinkedIn
factory site or a campus. networking long before anyone else.
When there were wide-area networks, they
www.thedownload.co.nz were exotic and expensive. By today’s standards Bill Bennett
2019 / Issue 92
In brief
Security fears widespread, safeguards scare
Research commissioned by InternetNZ the negatives. When asked to name those
found 94 percent of New Zealanders benefits, 83 percent named having access
are concerned about the security of to information.
their personal data. The number comes Andrew Cushen, InternetNZ's outreach
from the organisation's annual survey of and engagement director says: "As more
internet attitudes. and more of our lives are spent on the
Although New Zealanders worry about Internet, being able to access information
data security, most don't do anything online has now become a necessity.
about it. Researchers found few users "This is why it’s so important that we
take practical steps to protect themselves continue to try and close digital divides
from risk. in New Zealand. Every New Zealander
Only one-third of New Zealanders deserves the opportunity to harness the
surveyed used account authentication, power of the Internet".
either two-factor or multi-factor. Cushen says people not protecting
Meanwhile less than half make themselves online is something we need Andrew Cushen
regular backups. to improve if New Zealanders are to stay INTERNETNZ'S OUTREACH AND
There is concern about children safe online. ENGAGEMENT DIRECTOR
being able to see inappropriate content He says: "We all need to take personal
online. The survey found this worries 92 responsibility for our safety on the internet". content and what to do if they come across
percent of those questioned. There are The concern over inappropriate content anything upsetting. Cushen says: "We need
positives. Nine out of ten respondents told is a reminder that families should talk to to ensure that people of all ages feel safe
InternetNZ internet benefits outweigh each other about the different types of on the Internet."
CHORUS, NOKIA WIN
GLOBAL AWARD FOR
RBI WORK
Chorus and Nokia won the Best Broadband
Delivering Social Impact award at the Broadband
World Forum in Germany. The award is for the two
companies’ work on the Rural Broadband Initiative.
This included upgrading 1200 rural cabinets.
The pair also delivered fibre to 1000 rural
schools and upgraded internet speeds for
110,000 households.
Chorus CEO Kate McKenzie says: “Chorus’
key target of connecting all rural schools was
particularly satisfying, as this has resulted in a
major long-term benefit to the nation. We are
particularly pleased to observe the strong take
up of fibre by schools across the country."
One of the side benefits of connecting rural
schools is that it enabled Chorus to build
fibre-to-the-home connections for many
rural communities.
thedownload.co.nzThe Download | In brief 3
FIBRE INSTALLS PEAK, UPTAKE CLIMBS
Fibre connections on the Chorus There is a clear move to faster plans Most of this is down to the rise in
network peaked in the first quarter to and greater data use. The number of streaming video. This is reflected in
September 2018. During this period gigabit fibre connections on the Chorus time-of-day statistics, which show
Chorus installed a record 46,000 network now stands at 44,000. That is average throughput on the network
fibre connections. A further 38,000 up 22 percent on the previous quarter. now peaks at around 8.30pm
connections were added in the second Chorus says most connections, about in the evening.
quarter to December. 71 percent of the total, are now on
By the end of the year, fibre uptake 100Mbps or greater.
had climbed to 51 percent, with demand About seven in 10 broadband
stronger than during the same period connections are on unlimited data
in 2017. With 517,000 connections on plans. This reflects the increased
fibre, these now make up a third of all amount of data consumed per
Chorus’ 1.5 million connections. connection. In the December quarter,
Slower speed copper ADSL the average data consumed across
connections have fallen by 25 percent the network was 235GB,
for Chorus in the past year. There are up from 221GB in the
now 374,000 connections. Some of this September quarter.
is down to customers moving to the Chorus says fibre
faster VDSL (Very-high-bit-rate digital users now average
subscriber line) technology, or to fibre. 315GB per month.
BY THE BROADBAND TO REACH
NUMBERS 99.8 PERCENT IN FOUR YEARS
Extensions to phase two of the Rural Broadband
Initiative and the Mobile Black Spots programme are
7 percent set to extend New Zealand's broadband coverage
of Australian broadband users subscribed
to 100Mbps services, compared to to 99.8 percent of the population within four years.
29 percent Crown Infrastructure Partners has signed contracts
worth $130 million to provide improved broadband
of New Zealanders services for around 10,000 rural homes and businesses.
The extensions will also see another 365km of state
highways have mobile coverage. Of that, around
UFB CONNECTIONS SAW A 100km will be added on the West Coast. A further
10.5 percent 59 tourism areas around the country will also
get mobile coverage.
Eight new regional wireless internet
INCREASE BETWEEN JUNE 2018
AND SEPTEMBER 2018 service providers or WISPs will join
the nine who are already taking
part in the RBI extension
In the September 2018 Broadband
Deployment Update the UFB network programme.
reported 47.7 PERCENT uptake.
The Rural Broadband Initiative uptake was
40.4 PERCENT
Data from the S&P Global market
intelligence report June 2018.
2019 / Issue 94 The Download | In brief
CHORUS TESTS GIGABIT WIRELESS STREET-TO-HOME LINK
Chorus is testing Nokia's WPON antenna connected to their indoor Chorus says that in testing, WPON
(Wireless Passive Optical Network). router by an Ethernet cable. manages a speed of around 1.6Gbps over
It's a wireless technology that connects The system uses unlicensed 150m. The theoretical maximum speed
the fibre network in a street to a home frequencies in the 60GHz spectrum. is 3Gbps. In other words it can work
or business when a direct physical This is the mmWave or V band. Typically with any existing UFB plan although,
connection isn't practical. radio waves at these frequencies are as things stand, it is not suitable for the
Among other places WPON solves absorbed by the air and can be subject 10Gbps service that is now being tested.
many of the problems with apartment to rain fade. They are often blocked by Ed Hyde, Chorus chief customer
buildings and other multiple dwelling trees. While communications in this officer, says WPON is a useful tool in
units. It also bypasses obstacles like band are line of sight only, the distances his company's toolbox and builds on
installing fibre along rights of way or are small, a few hundred metres at most, other recent innovations such as 10Gbps
getting past difficult neighbours. Chorus which minimises the disruption from air services and lower price gigabit services.
also sees it being used for places like or water molecules.
business parks.
Nokia's WPON uses the WiGig
standard. That's 802.11ad. The same
technology is sometimes used to
extend the performance of indoor
Wi-Fi networks.
A WPON access point can be attached
to an access point on an existing
telephone pole or lamp post. This
connects direct to the fibre running in
the street. Customers need an outdoor
Provincial
Growth Fund
to connect
marae to net
Government will spend $21 million of the
Provincial Growth Fund (PGF) connecting
marae to the internet and establishing a
network of ‘regional digital hubs’.
These hubs will be places where people
who may not have internet access can
get online. They will offer Wi-Fi and
co-working spaces.
The $21 million for regional hubs is on
top of the $80 million set aside earlier
IMAGE BY SHUTTERSTOCK.COM
to boost the second phase of the Rural
Broadband Initiative and the Mobile
Blackspot fund. Prime Minister Jacinda
Ardern says it is part of the government's
commitment to bridging the digital divide.
The first marae to receive PGF funding for
digital connectivity are Oromahoe (Te Tai
Tokerau), Te Houhanga (Te Tai Tokerau) and
Raupunga Te Huki (Heretaunga).
thedownload.co.nz5
GARTNER: NZ
COMMS SPEND
WILL HIT $4.4
BILLION THIS YEAR
Research company Gartner forecasts
that New Zealanders will spend $13.5
billion on technology products and
services this year. That's up 2.6 percent
on last year. Gartner says the total will
reach $13.9 billion next year. With a
spend of $4.4 billion, communications
services, which was previously the top
category, is now second behind IT
services. Thanks to cloud computing,
IT services will be worth $4.5 billion.
2DEGREES
APPOINTS MARK
AUE AS CHIEF
EXECUTIVE
Mark Aue has replaced Stewart
Sherriff as 2degrees' new chief
executive. Sherriff has retired.
Aue has been the telco's chief
financial officer since July 2018, when
he joined the company. Before moving
to 2degrees he was the CFO at Vodafone
New Zealand. Has has previously had
management roles at Vodafone in the
UK and was a director for Vodafone Fiji.
2degrees Chairman Brad Horwitz
says Aue's appointment follows an
international search.
Commerce Commission
seeks better reporting
A new Commerce Commission paper shows how the regulator plans to monitor
how telcos perform when it comes to customer service. Telecommunications
commissioner Stephen Gale says: “Retail telecommunications is a Commission
priority, in particular in the areas of billing, switching, contract terms and marketing.
Parliament has now given us more tools to improve retail service quality and
safeguard consumers."
The recently passed Telecommunications Amendment Act means the Commission
has to monitor retail service quality. This includes performance, speed and availability,
customer service and billing and installation issues. It also means telcos must Mark Aue
provide customers with the information they need to make informed choices about 2DEGREES' CHIEF EXECUTIVE
technologies and providers.
2019 / Issue 9Closing the digital divide – it’s a commitment It’s a busy time for the minister. There is the new telecoms act, the 5G networks and the Rugby World Cup on his to-do list. But Kris Faafoi’s biggest focus is on ensuring everyone benefits from the new telecoms technologies, he tells Bill Bennett
The Download | Minister Kris Faafoi 7
K
ris Faafoi was appointed Minister where we’re happy with the settings. The to get a product out there fast, we want to
of Broadcasting, Communications Commerce Commission will then fine- get the process right in terms of spectrum
and Digital Media in early tune its approach and methodologies.” allocation and what we need to do in terms
September. By the end of November, he The minister draws parallels between of our treaty obligations. There’s also an
had shepherded the Telecommunications the telecommunications and energy educational job. That’s a piece of work for
(New Regulatory Framework) Amendment sectors. He says there was a long and the sector to do.”
Act through Parliament. complex process to go through with He says there are still outstanding
It was a busy start, yet, he says, it doesn’t the energy sector. “Hopefully, we’ve claims regarding spectrum. “We’re at the
signal the end of Government plans for the learnt some lessons from that process, stage of looking at what our options are to
portfolio. For Faafoi, the most immediate but we expect to have some complex meet them.”
and demanding challenge now is the timely conversations until everyone is happy.” Faafoi doesn’t think this will slow
down the 5G process. “We can have
conversations concurrently with iwi
while talking to the telcos about their
build timetables and their aspirations
'There is a clear link between making sure for their roll out. If we are diligent about
how we do it, all those conversations can
all New Zealanders are able to watch the happen concurrently.”
Rugby World Cup and the more serious There are politics involved. He says it is
matter of seeing everyone can access the important to have a clear focus on what the
Government can offer iwi from the start of
telecommunications networks' negotiations. At the same time, he says, “it
also depends on us talking to our coalition
partners about what’s possible. We’re
roll-out of the 5G mobile phone networks. THE PRESSURE BEGAN EARLY mindful of keeping all these people happy.”
There is also the question of closing the Faafoi’s seat was barely warm before the Fortunately, New Zealand’s
digital divide and of reaping the economic industry pressure to get moving on 5G telecommunications sector isn’t a political
benefits of both the fibre and 5G networks. started. He says: “In the very first week I football, as is often the case in Australia.
But, first, he has to nurse the Act got the portfolio, I went and engaged with Faafoi sees clear benefits in a broadly bi-
through its incubation period. Faafoi says: all the RSPs [Retail Service Providers]. partisan approach.
“In a legislation sense the regulation is I wanted to get an idea of what was He says: “If you look at the consumer
done. That’s great because it gives some important to them. Spark gave us a clear experience, such as New Zealanders’
certainty for the telecommunications message. Simon [Moutter, the Spark consumption of the likes of Netflix and
sector. Now we have to make it work. managing director] isn’t afraid of saying other content providers, the fact that
“Recently we had Telecommunications publicly what he wants.” UFB is now ubiquitous means that the
Commissioner Stephen Gale in here Moutter wants to have a Spark 5G overwhelming majority of New Zealanders
talking about how the Commerce network in place in time for the 2021 can access those services at good
Commission is going to ready themselves America’s Cup in Auckland. Because of the speeds. That’s unlocking the capability
for the deadline. We figured out the finer run up that means by late 2020, less than of broadband. 5G has the potential to
detail of implementing the legislation.” 18 months from now. The other mobile extend that.”
The Telecommunications Bill is a large network operators are in less of a rush. There has been talk of possible industry
piece of work that was started under the Faafoi has a measured approach. He co-operation on a 5G network build. Faafoi
previous Government. It, in effect, lays says: “We heard Simon, but we also thinks it’s not the minister’s job to get
out how the industry will work in the fibre listened to others. One thing is the public involved in this kind of debate at this stage.
era. With the first stage of the government- conversation about what 5G is hasn’t been He says: “If there is any concern about
sponsored UFB programme due to finish had yet, and the technology isn’t here yet. competition issues, then the Commerce
later this year and the second stage due “As well as speed, we’ve also got to Commission will take a keen interest in
to complete in another two years, we now make sure we do it properly. For us, it’s that. The industry co-operation with the
need new rules and regulations to deal about balancing the needs of the sector. RBI [Rural Broadband Initiative], most
PHOTOGRAPH BY NICOLA EDMONDS
with a transformed market. We’ve done this before with 3G and 4G. people think that has been good. Whether
Faafoi says: “It’s all new territory. There are other parts of the puzzle that we something similar could work for 5G is up
There are lots of components to deal with. have to get right.” to the telco sector and whether the benefits
From the consumer perspective, there is While he acknowledges all the work for them.
the retail service quality code and the 111 aspirations of the sector, for him the “The competition side is left to the
system. If you look at the legislation from emphasis is on getting things right so that regulator. It’s also up to the players. I’m
the telecommunications sector end, there’s New Zealand can unlock all the consumer sure if they went down that path [of co-
plenty of detail that they would still like to and economic potential of the technology. operation] the Commerce Commission
know. It will take time to get to the point He says: “While some in the sector want would keep a close eye on it.”
2019 / Issue 98 The Download | Minister Kris Faafoi
There is another regulatory issue over
who gets to build the 5G network. At the
time of writing, Huawei appears to be on
the outer. Faafoi says the company isn’t
banned. “It’s a regulatory process. The
GCSB [Government Communications
Security Bureau] has given its take on this
process. The ball is now in Spark’s court.
It can choose to mitigate some of the
GCSB’s concerns.
“All the telcos know there is a regulatory
process in the TICSA legislation [the
Telecommunications (Interception
Capability and Security) Act 2013].
Regardless of who the vendor is, they all
have to go through the same process. The
legislation has been in place for some
time, this shouldn’t come as a surprise to
them. They’ve all been through it many
times before.”
It is for this reason that Faafoi is
not worried about existing Huawei
telecommunications equipment already
in the ground or on mobile towers. “My
understanding is that this has already
been through the regulatory process. If the
regulator has said that it meets the test, it’s sure all New Zealanders are able to watch
[just] an example of where the process has the Rugby World Cup and the more serious
come to a conclusion. There’s a journey "If our future matter of seeing everyone can access the
through that process for every vendor and telecommunications networks.
we’re at the early stage of that.” sense of identity is Faafoi says one of his main goals is
delivered digitally, closing the digital divide. “The economic
SPORTING ISSUES LOOM driver we want to get out of the digital
The America’s Cup is not the only looming then we can't economy is huge and we want to make
sporting fixture likely to pressure Spark. afford to leave sure all New Zealanders have the ability to
Later this year the company will broadcast take part in that. What I see with installs is
the 2019 Rugby World Cup online.
people out" great, but it’s also about getting a handle
While some games will also be on Kris Faafoi on what we can do for under-served
free-to-air television, there are fears the MINISTER OF BROADCASTING, families that will make a difference.”
event could run into problems. After all, COMMUNICATIONS AND DIGITAL MEDIA He has taken a close personal interest in
there are precedents. Last year Optus had the issue since before he became minister.
issues streaming the football World Cup That covers the back end. When it He says: “I’ve sat on a Computers in
in Australia. comes to the end users, Faafoi says Homes’ board for a year and half in my
Faafoi says there are lessons from the education is the next step. “Not everyone own electorate. I know there are lots of
Optus experience that can be applied to has a smart TV. If New Zealanders want great community-based organisations
Spark and the Rugby World Cup. After all, to watch at home and their TV isn’t smart, doing good work to see that refugees,
rugby is important to New Zealanders. they’re going to have to get an upgrade or recent migrants and families that are
While he doesn’t think the Government find a way around this and learn how to use struggling financially can have access
needs to step in, he says his office is staying the technology before it starts. to the type of basic kit that allows them
in close contact with Simon Moutter and “Eight people in a family all huddling to take part [in the community] and,
his team at Spark. around an iPad is not going to be fun. importantly, that their kids can take part.
“We’re asking questions like will “A lot of households will have to clue “They will be working in a world that’s
everyone who wants to watch it be able to be themselves up about getting signals to their different. If they can’t get in from an
connected in time? televisions. I’d rather they figure that out early age, then they won’t be prepared
“I can’t go into detail, but I’m confident early, so they don’t have to sit there with a for the economy that is ahead of them. If
that Spark has mitigated concerns in terms cold beer at the first game and battle with a our future sense of identity is delivered
of their transmission. The problems Optus remote control or their Chromecast.” digitally, then we can't afford to leave
faced have been identified and fixed.” There is a clear link between making people out.”
thedownload.co.nzThe Download | 10Gbps 9
GETTING READY FOR
FIBRE WORLD’S FASTEST
HOME BROADBAND
by Bill Bennett
CHORUS IS TESTING a residential available in 2014. Today this is the fastest
10Gbps fibre service. It’s the fastest growing plan on our network, with more
home broadband available anywhere in than 44,000 customers.”
the world. Ana Pesovic, Nokia’s marketing director
As you might expect, 10Gbps can deliver for fixed networks, says her company has
impressive performance. There is enough 19 deployments worldwide and over 50
bandwidth to stream an 8K video alongside XGS-PON trials are underway.
four high-definition 4K videos, all from a She says industry analysts forecast that
single access point. You no longer need XGS could overtake GPON in few years
to wait to play that new 25GB Xbox game. (GPON stands for Gigabit Passive Optical
Click download and it will turn up on your Network). There are a few reasons why this
console in 20 seconds. will happen:
10Gbps is so new that most homes aren’t First, it means a service provider can
properly equipped to use it yet. Even the offer business products at the same time
best Wi-Fi router could only distribute a as domestic broadband. There is no need
fraction of its available bandwidth around Ana Pesovic for two access points. This means higher
NOKIA’S MARKETING DIRECTOR
your home. To get the most from a 10Gbps margins for service providers, allowing
connection, you would need to have a them to move up into more demanding
wired 10 gigabit Ethernet network. trial. Chorus expects others to follow. enterprise markets.
That’s still rare for domestic set-ups, and The 10Gbps trial uses Nokia’s XGS-PON Another reason is it gives a service
even then there are still bottlenecks. To technology. This upgrades Chorus’ existing provider a competitive advantage.
put 10Gbps in perspective, it is faster than fibre network to handle 10Gbps in both Pesovic says market-leading speeds and
everyday computers write data to their directions: up and down. It can sit alongside high-bandwidth upstream services are
hard drive. Most solid-state drives can’t today’s residential networks and gives increasingly popular with residential
match the speed. Chorus a straightforward upgrade path to customers demanding a premium
Around 30 users will be helping Chorus offer 10Gbps everywhere fibre is available. experience. 10Gbps offers symmetrical
with its trial. One condition for taking part Ed Hyde, Chorus’ chief customer bandwidth. That’s an important
is testers must have a device that can cope officer, says XGS-PON reinforces its ability differentiator for service providers.
with 10Gbps. Eventually, those 10Gbps to easily upgrade the world-class fibre She says: “Last, but not least, XGS is
devices will be commonplace, but not yet. infrastructure it has been building as the increasingly gaining interest for mobile
At first, the service will only be available latest technologies become available. transport. With the imminent arrival
in Avondale and Birkenhead in Auckland, Hyde says New Zealand’s broadband of 5G mobile services bringing higher
and Johnsonville in Wellington. speeds have been rising fast. “In 2011, capacity and higher mobile cell density,
Chorus is working with retail service the average broadband speed was just 10G symmetrical fibre networks can be
providers to offer 10Gbps services to 10Mbps or so. When Chorus’ fibre plans used for mobile transport. This increases
testers. 2degrees, 2Talk, Kordia, Orcon, first launched, in 2012, the top speed then the synergies between fixed and mobile
Slingshot, Stuff Fibre and Trustpower are available was 100Mbps. We were then networks, resulting in cost savings and the
among the RSPs who have signed up to the the first to make gigabit fibre broadband acceleration of 5G.”
2019 / Issue 910 The Download | Broadcasting
Freeview CEO,
Jason Foden
MOVE TO ONLINE TV
SIGNALS BIG CHANGES
IN BROADCASTING
Fibre is taking over from conventional television delivery, and Freeview is now
pushing this move with a new streaming service. Sarah Putt reports
THE DAYS OF aerials on rooftops may be It has Wi-Fi capability, and there are plans
numbered as New Zealand households sign to enable direct access to an Ethernet port.
up to fibre-based broadband services and The device has Chromecast built in, can
more television content is delivered online. stream 4K ultra high definition content
Freeview has introduced a streaming and its Bluetooth remote control includes
device called Dish TV SmartVU X, which voice search.
allows Freeview channels to be streamed Consumers with the device can access
for the first time, so there is no need to 12 channels via IPTV (Internet Protocol
use an aerial or satellite dish. It is small Television) as well as apps such as Netflix,
enough to fit into the palm of your hand Lightbox, YouTube, Stuff Pix and more via
and comes with a magnet, so users can the Google Play digital distribution service.
attach it to the back of their television set. The Freeview On Demand streaming
thedownload.co.nz11
service will be added later this year. port and a broadband connection. The longer able to access Freeview via a
Freeview was established in its current vast majority of New Zealand homes have roof-top aerial or satellite dish?
form during the ‘Digital Switchover’. those things.” Foden estimates broadcast transmission
This was the government initiative to Foden is ambitious about adding more won’t be switched off for at least another
move from analogue to digital television content – both free and subscriber-based. It 10 to 15 years. The service is owned and
transmission, from 2012 to 2014. Freeview currently has Spark’s Lightbox, and Foden managed by Kordia in New Zealand,
is a joint venture between TVNZ is in discussion with Spark about sports with broadcasting service provider JDA
(45 percent ownership), MediaWorks content, in particular the Rugby World Cup. servicing some of the country’s regions.
(33 percent), Māori TV (17 percent) and “We’re really keen to offer that service But, if the Government makes the call to
Radio NZ ( five percent). on the IP platform, so this major sporting switch off broadcast transmission, there
Freeview CEO Jason Foden describes event can be easily accessed in Kiwi will likely be a mass marketing campaign
the service’s customer demographic as homes. I can’t say 100 percent that it will advising people to take up IPTV services.
“slightly younger” when compared with happen, as we are in conversation with Chorus’ Rodgers is more bullish about
the current pay TV subscriber base. “We Spark, but we have a mutual aspiration the end to broadcast transmission – he
have engagement with over one million to broadcast a range of content to the would like to see it turned off in 2025,
households, that’s about two-thirds of broadest possible audience.” when the second phase of the Ultra-Fast
New Zealand homes, with access having Broadband roll-out will be completed.
grown nine percent since 2016,” he says. “I would have thought 2025 is a great
The move by Freeview to offer streaming time-frame to aim for. The current
services is expected to further its reach UFB will be completed in 2022, it seems
– and to deliver content from the range perfect,” he says.
of New Zealand broadcasters to more “Shut down broadcast transmission and
Kiwi audiences. Foden says 10 percent of the copper network and create a fibre-
New Zealand households currently don’t based digital society. Isn’t that the reason
have access to broadcast television via for the UFB? Broadcast transmission is
either a UHF aerial or satellite dish. only capable of doing linear TV, it can’t
There are three ‘household types’ in do 4K content, it can’t do Video On
particular that Foden says the new service Demand. You need an aerial, and, with all
will appeal to: those living in new builds the densification happening in Auckland,
where fibre has been installed and there people aren’t able to get UHF aerials and
is no television aerial; people who live in satellite dishes,” he says.
apartments or in a flatting situation, and Kurt Rodgers Other countries are considering switching
people who may want to access television CHORUS’ NETWORK off broadcast transmission, with Belgium
in other parts of the house, such as a second STRATEGY MANAGER and Switzerland being among the first to
living area with no direct aerial connection. make the call. Belgian Dutch-language
Foden says while a fibre connection Foden is also open to working with Sky public broadcaster VRT pulled the plug on
is preferable for consumers wanting to TV and would like to have its content made its service in December. It claimed it was
use streaming services, those who don’t available via the new service. “We’d love costing over €1 million a year to sustain
have access to Ultra-Fast Broadband to have Prime on board, and to have Fan and only served 45,000 viewers. And the
services can use a VDSL (Very-high-bit- Pass and Neon [movies] available on the Swiss public broadcaster SRG says it will
rate digital subscriber line) connection. platform,” he says. terminate digital terrestrial distribution of
He recommends an unlimited broadband “Our primary focus for SmartVU X is its television channels (DTT) in June. SRG
plan for “peace of mind”, and he notes that expanding the streaming channels [Prime says only 1.9 percent of households still use
Freeview is “ISP agnostic”, so it doesn’t and Choice] and getting ready for the DTT and advises those affected to move to
matter what internet service provider a Rugby World Cup,” says Foden. satellite, cable or IPTV services.
consumer subscribes to. While the most popular channels Both Foden and Rodgers agree satellite
Chorus’ network strategy manager, on Freeview are from the major New technology is likely to exist for many
Kurt Rodgers, is enthusiastic about the new Zealand broadcasters such as TVNZ more years because people living in
service. He says giving users the ability and MediaWorks, it carries a number of remote locations can’t access the high-
to switch seamlessly between traditional channels designed for niche audiences. speed broadband services needed for
broadcasters and online providers using Foden says the move to IPTV presents IPTV services.
one remote could be the “gateway drug” an opportunity for new content creators Rodgers says the end-goal for
to IPTV, especially for those viewers who who might not be able to afford broadcast New Zealand should be to push fibre out
have so far shied away from online services. transmission. The cost of IPTV delivery to 99 percent of the population (when
“It’s made for the mass market, for is cheaper because with CDN (Content UFB2 is complete it will be available to
people who aren’t tech savvy,” he says. Distribution Network) you only pay for the 87 percent). “But we would always need
“All you need is a television, a HDMI people who actually watch it. to acknowledge that there will be that last
(High-Definition Multimedia Interface) So, how long before consumers are no one to two percent.”
2019 / Issue 912 The Download | Andrew Button
FULL BROADBAND
COVERAGE IS
COMING
– and rural service choice
Rural New Zealanders will get a choice of mobile network provider
once the fibre-and-wireless broadband network covers the country.
Better services should follow. Heather Wright reports
O
nce upon a time in the world of time in rural New Zealand – it immediately as well as capital that is being provided
telecommunications, population appealed to me. Doing something good direct from government agency Crown
coverage was considered a major for the community rather than something Infrastructure Partners (CIP).
competitive advantage. Each mobile that is a business proposition is highly In December 2018, the Coalition
network would market itself as covering aspirational,” he says. Government announced a further $40
the area where the largest percentage of “With the Rural Connectivity Group, all million investment from the Provincial
New Zealanders ‘live, work and play’. One three mobile network owners are turning Growth Fund (PGF). This is overseen by
network even launched with an advertising around and saying it should be equal Infrastructure Minister Shane Jones. The
campaign featuring a Hollywood stunt- coverage for rural New Zealand, and the money will be added to the RBI2/MBSF
woman sitting on a shipping container differentiator will be the services they expansion budget. This is to extend mobile
floating in the middle of the ocean while provide on top of that network.” broadband services to more households
she talked on her mobile phone. and bring total broadband coverage
Now thanks to the Rural Connectivity WHAT IS THE RCG? up to 99.8 percent of the New Zealand
Group (RCG), coverage is no longer a key The RCG was formed in 2017 as a response population.
differentiator in the telcos’ marketing to the then National Government’s While the RCG has the lion’s share of
playbook, at least not for the three mobile decision to extend the Rural Broadband the contracts entered into by CIP, there is
network owners (MNOs) Vodafone, Spark Initiative (RBI) programme to 74,000 an additional $17.5 million in funding that
and 2degrees, who are equal shareholders rural households, delivering a broadband has been awarded to 17 regional wireless
in the RCG. service of around 20Mbps. In addition, service providers (collectively known
It’s this commitment to providing an the Government created the Mobile Black as WISPs).
equitable wholesale broadband service Spots Fund (MBSF), aimed at providing
across New Zealand that attracted Andrew better mobile coverage on rural highways THE ROLL-OUT
PHOTOGRAPH BY LARNIE NICOLSON
Button to the role of Executive Programme and at remote tourist locations. The RCG has undertaken to build a
Director of the RCG. He has previously The $225 million contract was signed minimum of 400 new sites capable of
worked for Ericsson and Nokia Siemens in September 2017. The bulk of the delivering 4G mobile broadband. There is
and, just prior to joining the RCG, worked money, $150 million, comes from three a stretch target of 454 sites to be built by
with application companies, Mobile instalments of the Telecommunications the end of 2022. And there is an expansion
Mentor and Blerter. Development Levy. This is an annual $50 programme that will see an extra 120-plus
“As soon as I read about the intent (of million industry levy that is due to come to sites built by 31 December 2023.
the RCG) and the target audience – being an end in 2019. There is also a $75 million There will be one Radio Access Network
a Taranaki guy and having spent lots of contribution from RCG’s shareholders, (RAN) unit at every site, which will deliver
thedownload.co.nz13
"All three mobile network
owners are turning around
and saying it should be
equal coverage for rural
New Zealand and the
differentiator will be
the services"
Andrew Button
RCG EXECUTIVE PROGRAMME DIRECTOR
2019 / Issue 914 The Download | Andrew Button
mobile and broadband services from than $100,000 to over $500,000 and Then there are the backhaul costs
each of the three MNOs. From the user’s depend on a range of factors such as (getting traffic from the rural sites to
perspective, this means that regardless the remoteness of the location, the telecoms hubs). Satellite is the most
of whether you subscribe to 2degrees, cost of gaining resource consent and expensive and delivers the least capacity,
Vodafone or Spark, you can use your the availability of electricity. Even the so is likely to be deployed for less than 10
mobile to make a call when you are in an wind can ratchet up the price, as Button percent of sites. Fibre will be used in up to
area covered by the RCG. 30 percent of sites and microwave radio
For urban folk this might not seem like technology for the remainder.
a big deal, but Button says being able to Button won’t comment on which
access all three networks will be a huge "The level of technology partner the RCG is in talks
step forward for people living in rural with, but it’s probably safe to assume
and remote areas. “This provides choice industry and technical that Huawei is off the list given the
for rural residents and workers, and it collaboration [two Government’s current aversion to
means rural service providers will remain its presence in New Zealand. The
connected regardless of which mobile technologies and telecommunications portfolio is now
network they are presently with.” three network part of Minister Kris Faafoi’s remit,
In addition to the MNOs’ RAN there will but Button says he works with the
be space at each site for another operator
operators] is not Government through CIP, which is also
to locate its equipment. This could be one only new for this the entity responsible for the Ultra-Fast
of the WISPs or another entity such as the Broadband roll-out.
emergency services, Kordia or business
country, it may even RCG employs up to 20 full-time staff
telco, TeamTalk. be a world first" (some are still being recruited). It boosts
Conversely, it may be that the RCG this core team with resources from its
decides to co-locate on a site owned by
Andrew Button shareholding companies, the three
RCG EXECUTIVE PROGRAMME DIRECTOR
another organisation. “If the existing MNOs. In addition, there are contractors
infrastructure is in a location that will who work on time-bound projects,
satisfy our needs and the commercial explains. “We’ve got some sites that we such as the programme to integrate the
offer is within the cost of us building our are looking at in the Tararua district and RCG’s network with the three MNOs,
own, then absolutely we will co-locate on its actually the wind loading that will drive and representatives from design and
someone else’s equipment,” Button says. the costs of those sites more than any other build partners Downer NZ, Connect 8
Individual site costs vary from less individual component.” and Broadspectrum.15
To date, the RCG has built three permanent operation for over a year, Button explains actively working on 283 sites of the 454 sites.
sites – at Raurimu in the Ruapehu district, that as a start-up organisation it had to first Button is confident that not only will the
Kaihu in Northland and Lake Wahapo on establish ‘resource and process’ before RBI2 be completed on time, it will come in
the West Coast. All three currently provide specific site acquisition could begin. ahead of schedule, a year earlier, in 2021,
3G services from each MNO. “Site acquisition is not an instantaneous although he notes there will always be that
process – identifying the location you “hard site” that takes longer to finish.
HAAST SITES wish to build a site at, understanding the Even then, the relentless march of
There are also four temporary sites located land-owners’ requirements, engaging with technology will likely mean changes are
at Haast and along State Highway 6 on the local community, iwi and government needed. By 2022, 5G is expected to be
the West Coast of the South Island. One agencies as appropriate, getting the lease operational and there might even be a
temporary tower, in the Haast township, approved and then getting the resource fourth mobile network.
is supported by three roadside sites. These consent takes many months,” he says. Button says the latest evolution in
were installed before Christmas to enable In addition, the process of integrating mobile is part of their “future thinking”,
better safety on what can be a dangerous the RCG network with the MNO networks, but a new mobile network operator is not.
section of the state highway. The roadside which each have their own unique “That doesn’t mean yes, that doesn’t mean
sites were each built in a container with a architecture, is a big piece of work that no. I honestly haven’t considered that.
pre-installed antenna, satellite dish and isn’t expected to be completed until mid- That’s a question that would need to be
diesel generator. 2019. The first permanent site delivering answered by the shareholders – Vodafone,
Once permanent sites are built at Haast, 4G connectivity can’t become fully Spark and 2degrees.”
the intention is for the container-sites operational until this work is done. Dealing with the task at hand is probably
to be deployed elsewhere. However, 3G “We will end up with a period of time enough to be getting on with. Button
connectivity will remain even after 4G is where we are building sites, and then a says the level of industry and technical
delivered, says Button, because VoLTE, number of sites will all come online at the collaboration is not only new for this
which enables voice services over 4G, same time, once the MNO integration country, it may even be a world first.
can’t be accessed by users with overseas work is completed, and then the “Shared networks have been considered
SIM cards, so the company will have to programme will flow logically from that and implemented in many other
run a 3G service as well. (VoLTE stands for point onwards,” Button says. countries, but shared networks across
Voice over Long Term Evolution and is the In January the RCG was ready to begin two technologies, across three network
technology used by 4G wireless networks.) construction on 10 sites, with another batch operators, for the geographical coverage
When asked why there aren’t more sites to follow. It had lease approval for 54 sites, we’re looking at in New Zealand? We think
established, given the RCG has been in had gained 47 resource consents and was that’s actually unique.”
2019 / Issue 916 The Download | Spark Sports
Spark Sport team
Live RWC – it’s a gamble
The Rugby World Cup is coming soon, but how well will Spark deliver the iconic Big Event.
Hadyn Green considers the challenges facing the telco as the pressure mounts
IT’S 2008 AND Beijing is hosting the deliver what is possibly the most popular will provide not only the load test that
Olympics. TVNZ has the broadcasting sporting event in this country, the Rugby Spark needs, but also give an indication of
rights and, alongside its traditional World Cup (RWC). No pressure. fan satisfaction.
terrestrial service, is offering an online The big question hanging over Spark Sport Premier League fans have suffered more
service. You can log on to the TVNZ is: how well will it work? As of now, offering than most in recent years with the demise of
website and watch live feeds of the Games a stable streaming service for live sport is Premier League Pass followed by the poor
from the various venues. The quality isn’t a gamble. implementation of the BeIN Sports’ online
exactly 4K, but it’s better than the dodgy Fan Pass and Sky Go have been maligned option. It’s fair to say then that the current
illegal streams and the coverage of events in recent years for crashing when they come mood concerning Spark Sport is one of
is nearly perfect. under any kind of big load – usually during scepticism. So, what do we know?
Cut to 2019 and online sports streaming All Blacks games. These failures have left
is dominated by the leagues, such as many wondering if Spark is setting itself and THE SPARK VIEW ON
the US’ National Basketball Association rugby fans up for a fall. STREAMING SPORTS
and National Football League, and TV Of course, it’s not just rugby. Spark Sport Spark Sport will be a live, on-demand
operators like Sky. We have neither the will also have English Premier League sports streaming platform built by
same level of coverage or freedom we had football (from August 2019), Manchester iStreamPlanet, which currently supports
a decade ago. United TV, rugby’s Heineken Champions streaming for NBA League Pass and the
But now New Zealand’s biggest telco Cup, Formula 1 and the FIH Hockey Pro Olympics. Jeff Latch, head of Spark Sport,
is venturing into this space with its new League. Starting just a month out from says the business chose iStreamPlanet as it
streaming service: Spark Sport. It plans to the RWC kick-off, the Premier League has “an impressive pedigree”. It provides
thedownload.co.nz17
the streaming platform for a number of Spark Sport will charge $20 a month Latch says: “We believe by making
large sports events. These include the for all its content. There are no ongoing sports content more affordable – through
Super Bowl, basketball’s NCAA March commitments and it starts with a one flexible plans and packages – and by
Madness, and the Formula 1 TV Pro month free trial. The RWC will also be offering it over a range of options, for when
channel. Also, its ability to provide support offered as a standalone subscription, and where people watch games or events,
for “a very large number of concurrent however, with options for the tournament we are making sport more accessible to
users” is impressive. and individual game passes. There will New Zealand as a whole.”
He says: “iStreamPlanet will provide also be a “freemium” model with some
the bulk of the technical infrastructure content available even if you don’t want to TREATED AS PINBALLS
for Spark Sport, including video encoding pay for a subscription. In general, New Zealand sports fans
and distribution, user authentication, have found themselves being treated
subscription management and billing, as pinballs, knocked around by media
and app development, across a wide range companies as they jostle and fight over
of devices.” broadcasting rights. Currently, there
The range of devices is set to expand
'Starting just a are only a few sports available to stream
after Spark Sport’s launch, as will the month out from the direct from source and most of these are
number of functions. RWC kick-off, the American sports backed by big money. The
Latch is also clear that you won’t need rest are often the sole domain of pay-TV
broadband fibre to stream sport (although Premier League will (tennis, golf, league and so on).
it will help). provide not only the Spark Sport is a refreshing change in the
“If you do have a slower connection, New Zealand media landscape, offering
we will automatically adjust the quality of load test that Spark something new and providing some
your stream to fit your connection speed. needs, but also give competition for the old guard of sports
So, the actual quality of the video you’re coverage. Whether the infrastructure will
watching will depend on the quality of your an indication of fan hold up under the strain is yet to be seen –
internet connection – as well as the type satisfaction' and tested. Early games shown will either
and quality of your devices, and your home be a catastrophe or a triumph.
set-up,” he says. This is already the case Last year, during the FIFA World Cup,
for Netflix and Lightbox. There will be advertising on the football fans were furious when Australian
However, there is a back-up. TVNZ platform. However, there will be no telco Optus’ online coverage broke down.
will be the free-to-air partner for Spark adverts during game play or straight after Viewers were left staring at “playback
Sport during the RWC and a number of the Haka. This is currently done well error” messages. Optus had to offload the
games will be broadcast over its terrestrial on other international sports streaming tournament to SBS TV to broadcast the
network, including the final. This is not sites such as MLB.TV and Rugby Pass, matches. Spark will have observed this –
only helpful for those with poor internet where advert breaks are replaced with and the damage it did to the Optus brand.
connectivity, but also for those who can’t either a live feed from the stadium or It’s likely hoping everything will play out
afford a subscription. short highlights. well, even more than rugby fans.
THE OLD RIVAL – WHAT IS SKY DOING?
Sky TV has long been criticised for its Rugby, Rugby League or F1 racing. from what had been a useful service.
stubborn refusal to embrace streaming. The streaming was slightly better than Fan Pass remains innovative though. It
But this is changing. Its Neon movie the Sky Go app and the prices weren’t is available as an app on most new smart
and television service is no longer the too bad. TVs and on nearly all mobile devices.
dud it was a year ago – very little HD The service then switched to monthly, Sky also offers free Google Chromecast
(high definition) content, expensive and weekly and single day passes. And, streaming video as an incentive. This
unreliable. It is now a reasonable service instead of individual sports, it offered live allows fans to view sports from their
PHOTOGRAPH BY ROBIN HODGKINSON
worth paying for – especially if you like access to Sky Sports 1, 2, and 3. televisions. But there is no on-demand
Game of Thrones. Then, during rugby’s Lions Tour version and Sky’s special pop-up
When it comes to sports, however, Sky in 2017, Sky decided to change the channels remain on Sky only.
keeps making blunders. pricing structure. Single day passes Sky still owns the rights to a large
Fan Pass was a welcome addition to were removed, prices for monthly number of sports, including tennis, golf
New Zealand’s streaming market when subscriptions were doubled and six- and cricket, so it’s not about to disappear
it was first launched in 2015. At first, monthly and yearly options added. The from the market any time soon.
fans could buy full seasons of Super result was a lot of people turning away
2019 / Issue 918 XXX | XXX
Vaughan Baker, MyRepublic group director
for government and corporate relations
CREATING GOOD
HEADACHES
Asia-Pacific’s only regional internet service provider (ISP) MyRepublic is growing fast
and creating a few benign headaches along the way as it helps boost entrepreneurial
culture in the region. Sarah Putt reports
V
aughan Baker is helping cause I’m resigning’. And it’s not to go somewhere 2017, according to Enterprise Singapore.
headaches for his friends else. They’re off to give the start-up they’ve Baker believes New Zealand could
in Singapore. been working on in their bedroom a go. reap similar benefits because of the keen
Baker, who previously headed up “That entrepreneurial way of thinking is uptake of fast broadband here. It represents
MyRepublic New Zealand, is now the promoted by the fact people have got this a “tremendous opportunity” for New
Singapore-based group’s director for always-on connectivity – that’s the base Zealand, he says.
government and corporate relations. layer. It’s one of the pillars,” says Baker. His wider view of the Asia-Pacific region
MyRepublic bills itself as the first purpose- “My mates have no choice but to shake has driven home to him the fact New
built ultra-fast broadband provider in the their hand, wish them luck and maybe ask if Zealand has a head-start over the other
Asia-Pacific region and offers 1Gbps services they need any seed capital.” countries that the Singapore ISP operates
as its entry level product in Singapore. Singapore is reaping the rewards of its in – with the exception of Singapore itself.
“I’ve got quite a few expat mates focus on infrastructure (along with the Singapore kicked off its government-led,
working in finance, oil and gas and IT, wider start-up friendly environment). The nationwide broadband network back in
and they dread the day the young smart island-state’s start-up companies closed 2006 and has had 1Gbps services, priced at
Singaporeans who work for them say, ‘Boss, US$1.2 billion in venture capital deals in less than S$50 a month, since mid-2015.
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