One NZ calls for long-term telecom investment policy

One NZ has called for a long-term national approach to telecommunications investment, warning that rising network demands and tighter economic conditions are putting pressure on the sector's ability to sustain infrastructure spending.

Speaking at the TUANZ Connecting Aotearoa Summit, Chief Executive Jason Paris said New Zealand's telecommunications industry faces growing expectations around coverage, speed and resilience, while investment conditions become more constrained.

Paris said telecommunications infrastructure should be treated as a strategic national asset because it underpins economic productivity, emergency response capabilities and future technologies such as artificial intelligence.

"Demand continues to grow - exponentially. Data usage keeps climbing. Networks are being asked to withstand more extreme weather events…and deliver near-perfect reliability," said Jason Paris, Chief Executive, One NZ.

"More coverage. More speed. More resilience. All of the time."

Investment pressure

Paris said the economics of telecommunications infrastructure had shifted as operators continue to invest heavily in fibre, mobile and satellite networks while consumer expectations continue to rise.

He said the sector needs predictable regulatory settings and long-term certainty to support future investment decisions.

"When I sit in front of my Board and make the case for investing in the next generation of technology - that case is getting harder to make unless the broader settings support long-term returns," said Paris.

"And if investment slows - New Zealand and New Zealanders will feel it. In coverage. In resilience. In quality. In economic growth."

Paris said spectrum policy remains one of the most significant issues for mobile operators because access to spectrum directly affects coverage, network capacity and service reliability.

"Spectrum is the lifeblood of a mobile network," said Paris.

"So long-term certainty around spectrum - and visibility of how settings will evolve - really matters."

Technology mix

One NZ said public policy should focus on connectivity outcomes rather than favouring a single access technology.

Paris argued that fibre, wireless and satellite services each have a role depending on geography and customer requirements, particularly in rural and hard-to-reach regions.

"Fibre is great. Wireless is great. Satellite is great," said Paris.

"But New Zealand doesn't need a debate about technologies - it needs connectivity that works."

He described the approach as "horses for courses", with different technologies suited to different deployment environments.

The company also pointed to the growing role of satellite connectivity in New Zealand's telecommunications landscape. Paris referenced the country's launch of satellite-to-mobile services and said the industry should do more to recognise major infrastructure milestones.

"We were recently the first country in the world to launch satelitte to mobile," said Paris.

"The first country in the world providing coverage from satellites hundreds of km's above us that are travelling 27000kim an hour."

Shared models

Paris said New Zealand should continue to consider shared infrastructure and co-investment models where they improve efficiency and avoid unnecessary duplication.

He referenced projects such as Ultra-Fast Broadband, the Rural Connectivity Group and the Public Safety Network as examples of collaborative frameworks that balanced competition with infrastructure efficiency.

"We cannot afford to duplicate infrastructure unnecessarily where it doesn't improve outcomes for New Zealanders," said Paris.

He also called for a long-term national connectivity target that remains stable across political cycles.

"If that's full connectivity for all New Zealanders by 2050 - let's agree it and go after it," said Paris.

"We don't need a bunch of working groups set up by others to dictate what the how is - we just need you to define the what."

Pricing debate

Paris said there remains a disconnect between consumer expectations and perceptions of telecommunications pricing.

He cited research showing communications costs in New Zealand have fallen in consumer price index terms over the past two decades, despite large increases in network capability and data consumption.

"Westpac research shows that since 2002, overall consumer prices in New Zealand have risen around 83%," said Paris.

"But communications costs have actually fallen by around 30% in CPI terms."

Paris said consumers now receive significantly greater network performance, data allowances and service capability for similar or lower relative costs.

Future outlook

Paris said telecommunications infrastructure will play a growing role in supporting AI systems, digital business operations and economic activity over the coming decades.

"When I look ahead to 2050, what I want is simple," said Paris.

"I want New Zealanders to have access to world-class connectivity - enabling education, healthcare, business, and innovation."

"But that won't happen by accident. It requires us to stay focused on outcomes - not ideology."