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Wired Telecommunications Network Operation in New Zealand - Market Research Report (2015-2030)

Yentl Liu Yentl Liu Melbourne, Australia Last Updated: July 2025 ANZSIC J5801NZ

Revenue

$1.7bn

2025-26

$1.7bn

Past 5-Year Growth

Profit

$XXX.Xm

Employees

2,975

Businesses

31

Wages

$XXX.Xm

Wired Telecommunications Network Operation in New Zealand industry analysis

The Wired Telecommunications Network Operation industry’s revenue has spiralled as households have continued disconnecting their fixed-line telephone services in favour of wireless broadband and mobile subscriptions. Heightened demand for broadband connections over the past few years has benefited wholesalers of wired telecommunications network services at the expense of retailers, fuelling the industry’s high market share concentration. More fixed-line telecommunications service revenue has been attributed to internet service provision, which isn't included in the industry. The COVID-19 pandemic caused temporary disruptions, while the end of the Central Government's (Te Kawanatanga o Aotearoa) major ultra-fast broadband rollout initiatives, like the completion of the Ultra-Fast Broadband program in December 2022 and the completion of the Rural Broadband Initiative in December 2024, has fuelled the long-lasting declines in recent years. Overall, industry revenue is expected to contract at an annualised 2.1% over the five years through 2025-26 to $1.7 billion. Profit has fallen because of high input costs associated with implementing government programs like the Ultra-Fast Broadband Program and the Rural Broadband Initiative.

Trends and Insights

  • The Wired Telecommunications Network Operation industry has experienced consecutive revenue drops over the past few years. The ongoing shift towards wireless alternatives and the completion of major projects under public-private partnerships have fuelled this downwards trajectory.
  • Companies in the Wired Telecommunications Network Operation industry are using different technologies across a range of services to generate revenue. The industry has contended with diminishing local and long-distance calls, with copper services falling out of fashion.
  • The Central Government's initiatives, like the Rural Broadband Initiative, have boosted wired telecommunications operators' regional presence. This has contributed to enterprise distributions in regions like Taranaki exceeding their population share, ensuring more access to wired services.
  • Wired carriers that offer fibre broadband connections can typically compete more effectively than their copper counterparts. The surge in alternatives like mobile and VoIP services poses a major challenge to their market dominance.
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Industry Statistics and Trends

Market size and recent performance (2015-2030)

Industry revenue has declined at a CAGR of 2.1 % over the past five years, to reach an estimated $1.7bn in 2025.

Trends and Insights

Wireless connection advancements have adversely affected industry revenue

  • Ramped-up mobile data and wireless broadband connection demand has led to a downwards slide in the Wired Telecommunications Network Operation industry revenue over the past few years. Employment and leisure activities' rising connectivity needs have caused wired telecommunication networks to fall out of favour.
  • Additional trends and insights available with purchase
Wired Telecommunications Network Operation in New Zealand
Revenue (2015-2030)
IBISWorld Logo Source: IBISWorld

Industry outlook (2025-2030)

Market size is projected to grow over the next five years.

Trends and Insights

Limited policy support is set to restrain future growth for New Zealand's wired telecommunications providers

  • Policy and public investment have historically been central to the growth and modernisation of New Zealand's Wired Telecommunications Network Operation industry. Large-scale initiatives like the $1.8 billion Ultra-Fast Broadband (UFB) program and the $90.0 million Rural Broadband Initiative, both heavily funded and supported by the Central Government (Te Kawanatanga o Aotearoa), have laid the foundation for broader digital connectivity and underpinned revenue growth for wired telecommunications network operators. However, the conclusion of these projects in December 2022 and December 2024, respectively, marks a pivotal transition point for the sector. The release of Budget 2025 by the Minister of Finance in May 2025 offered no new funding allocations for further wired telecommunications network expansion, signalling a shift away from major government support for the industry.

Biggest companies in the Wired Telecommunications Network Operation in New Zealand

Company
Market Share (%)
2026
Revenue ($m)
2026
Chorus
1,030.2
Spark New Zealand
289.8
Infratil
102.7

To view the market share and analysis for all 3 top companies in this industry, view purchase options.

Products & Services Segmentation

Wired Telecommunications Network Operation in New Zealand
Products & Services
IBISWorld Logo Source: IBISWorld

Industry revenue is measured across several distinct product and services lines, including Copper network services, Fibre network services and Value-added network services. Copper network services is the largest segment of the Wired Telecommunications Network Operation in New Zealand.

Trends and Insights

Fibre network services growth has been unrelenting, driven by the ongoing retirement of copper networks

  • Fibre technology uses fibre optic cables for data transportation at elevated speeds. It was launched in 2011 as part of the government’s countrywide Ultra-Fast Broadband program.
  • More insights available in the full report

Table of Contents

About this industry

Industry definition

Industry operators provide voice and data services via landlines, microwaves or satellite link-ups. Services include fixed-wire telephony, wired network and cable services, wired international telephone network operation and the renting of installed fibre capacity. Industry participants operate and maintain their own wired network infrastructure. Spare capacity is sold to other telecommunications carriers or resellers.

What's included in this industry?

Products and services covered in the Wired Telecommunications Network Operation industry in New Zealand include Copper network services, Fibre network services, Value-added network services, Field services and Other services.

Companies

Companies covered in the Wired Telecommunications Network Operation industry in New Zealand include Chorus, Spark New Zealand and Infratil.

Purchase this report to view all 3 major companies in this industry.

Related Terms

Related terms covered in the Wired Telecommunications Network Operation industry in New Zealand include voip, iot, telco, ufb (ultra-fast broadband) and rbi (rural broadband initiative).

Industry Code

ANZSIC 2006

ANZSIC 5801 - Wired Telecommunications Network Operation in New Zealand

Performance

Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.

Analyst insights

The Wired Telecommunications Network Operation industry has experienced consecutive revenue drops over the past few years. The ongoing shift towards wireless alternatives and...

In this chapter (4)

  • Current Performance
  • Outlook
  • Volatility
  • Life Cycle

Key metrics

  • Annual Revenue, Recent Growth, Forecast, Revenue Volatility
  • Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
  • Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
  • Total Profit, Profit Margin, Profit per Business

Charts

  • Revenue, including historical (2015-2024) and forecast (2025-2030)
  • Employees, including historical (2015-2024) and forecast (2025-2030)
  • Businesses, including historical (2015-2024) and forecast (2025-2030)
  • Profit, including historical (2015-2025)
  • Industry Volatility vs. Revenue Growth
  • Industry Life Cycle

Detailed analysis

  • Trends in supply, demand and current events that are driving current industry performance
  • Expected trends, economic factors and ongoing events that drive the industry's outlook
  • Key success factors for businesses to overcome volatility
  • How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.

Products and Markets

Learn about an industry's products and services, markets and trends in international trade.

Analyst insight

Companies in the Wired Telecommunications Network Operation industry are using different technologies across a range of services to generate revenue. The industry has contend...

In this chapter

  • Products & Services
  • Major Markets

Key metrics

  • Largest market segment and value in 2025
  • Product innovation level

Charts

  • Products & services segmentation in 2025
  • Major market segmentation in 2025

Detailed analysis

  • Trends impacting the recent performance of the industry's various segments
  • Innovations in the industry's product or service offering, specialization or delivery method
  • Key factors that successful businesses consider in their offerings
  • Buying segments and key trends influencing demand for industry products and services

Geographic Breakdown

Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.

Analyst insights

The Central Government's initiatives, like the Rural Broadband Initiative, have boosted wired telecommunications operators' regional presence. This has contributed to enterpr...

In this chapter (1)

  • Business Locations

Charts

  • Share of revenue, establishment, wages and employment in each region
  • Share of population compared to establishments in each region in 2025

Tables

  • Number and share of establishments in each region in 2025
  • Number and share of revenue each region accounts for in 2025
  • Number and share of wages each region accounts for in 2025
  • Number and share of employees in each region in 2025

Detailed analysis

  • Geographic spread of the industry across Asia Pacific, and trends associated with changes in the business landscape
  • Key success factors for businesses to use location to their advantage

Competitive Forces

Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.

Analyst insights

Wired carriers that offer fibre broadband connections can typically compete more effectively than their copper counterparts. The surge in alternatives like mobile and VoIP se...

In this chapter (4)

  • Concentration
  • Barriers to Entry
  • Substitutes
  • Buyer & Supplier Analysis

Key metrics

  • Industry concentration level
  • Industry competition level and trend
  • Barriers to entry level and trend
  • Substitutes level and trend
  • Buyer power level and trend
  • Supplier power level and trend

Charts

  • Market share concentration among the top 4 suppliers from 2020-2025
  • Supply chain including upstream supplying industries and downstream buying industries, flow chart

Detailed analysis

  • Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
  • Key success factors for businesses to manage the competitive environment of the industry.
  • Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
  • Key success factors for potential entrants to overcome barriers to entry.
  • Competitive threats from potential substitutes for the industry’s own products and services.
  • Key success factors for how successful businesses can compete with substitutes.
  • Advantages that buyers have to keep favorable purchasing conditions.
  • Advantages that suppliers have to maintain favorable selling conditions.
  • Key success factors for how businesses can navigate buyer and supplier power.

Companies

Learn about the performance of the top companies in the industry.

Analyst insights

Chorus has increasingly withdrawn its legacy copper network services. The company's economies of scale have given it an edge to progressively retire traditional services whil...

In this chapter

  • Market Share Concentration
  • Companies
  • Company Spotlights

Charts

  • Industry market share by company in 2021 through 2025
  • Major companies in the industry, including market share, revenue, profit and profit margin in 2025
  • Overview of Chorus's performance by revenue, market share and profit margin from 2019 through 2025
  • Overview of Spark New Zealand's performance by revenue, market share and profit margin from 2019 through 2025
  • Overview of Infratil's performance by revenue, market share and profit margin from 2019 through 2025

Detailed analysis

  • Description and key data for Chorus, and factors influencing its performance in the industry
  • Description and key data for Spark New Zealand, and factors influencing its performance in the industry
  • Description and key data for Infratil, and factors influencing its performance in the industry

External Environment

Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.   

Analyst insights

Mobile telecommunications density presents a competitive threat to wired telecommunications operators. With the expansion of 5G networks by wireless telecommunications carrie...

In this chapter

  • External Drivers
  • Regulation & Policy
  • Assistance

Key metrics

  • Regulation & policy level and trend
  • Assistance level and trend

Charts

  • Regulation & Policy historical data and forecast (2015-2030) 
  • Assistance historical data and forecast (2015-2030) 

Detailed analysis

  • Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
  • Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
  • Key governmental and non-governmental groups or policies that may provide some relief for industry operators.

Financial Benchmarks

View average costs for industry operators and compare financial data against an industry's financial benchmarks over time. 

Analyst insights

New Zealand’s telecommunication sector, led by Chorus, remains profitable despite falling demand for traditional voice services. The Commerce Commission's industry pricing re...

In this chapter

  • Cost Structure
  • Financial Ratios
  • Key Ratios

Key metrics

  • Profit margin, and how it compares to the sector-wide margin
  • Average wages, and how it compares to the sector-wide average wage
  • Largest cost component as a percentage of revenue
  • Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio

Charts

  • Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2025
  • Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2025
  • Investment vs. share of economy

Data tables

  • Cash Flow & Debt Service Ratios (2015-2030)
  • Revenue per Employee (2015-2030)
  • Revenue per Enterprise (2015-2030)
  • Employees per Establishment (2015-2030)
  • Employees per Enterprise (2015-2030)
  • Average Wage (2015-2030)
  • Wages/Revenue (2015-2030)
  • Establishments per Enterprise (2015-2030)
  • IVA/Revenue (2015-2030)
  • Imports/Demand (2015-2030)
  • Exports/Revenue (2015-2030)

Detailed analysis

  • Trends in the cost component for industry operators and their impact on industry costs and profitability 

Key Statistics

Industry Data

Data Tables

Including values and annual change:

  • Revenue (2015-2030)
  • IVA (2015-2030)
  • Establishments (2015-2030)
  • Enterprises (2015-2030)
  • Employment (2015-2030)
  • Exports (2015-2030)
  • Imports (2015-2030)
  • Wages (2015-2030)

Top Questions Answered

Unlock comprehensive answers and precise data upon purchase. View purchase options.

What is the market size of the Wired Telecommunications Network Operation industry in New Zealand in 2025?

The market size of the Wired Telecommunications Network Operation industry in New Zealand is $1.7bn in 2025.

How many businesses are there in the Wired Telecommunications Network Operation industry in New Zealand in 2025?

There are 31 businesses in the Wired Telecommunications Network Operation industry in New Zealand, which has declined at a CAGR of 5.4 % between 2020 and 2025.

How may import tariffs affect the Wired Telecommunications Network Operation industry in New Zealand?

The Wired Telecommunications Network Operation industry in New Zealand is unlikely to be materially impacted by import tariffs with imports accounting for a low share of industry revenue.

How may export tariffs affect the Wired Telecommunications Network Operation industry in New Zealand?

The Wired Telecommunications Network Operation industry in New Zealand is unlikely to be materially impacted by export tariffs with exports accounting for a low share of industry revenue.

Has the Wired Telecommunications Network Operation industry in New Zealand grown or declined over the past 5 years?

The market size of the Wired Telecommunications Network Operation industry in New Zealand has been declining at a CAGR of 2.1 % between 2020 and 2025.

What is the forecast growth of the Wired Telecommunications Network Operation industry in New Zealand over the next 5 years?

Over the next five years, the Wired Telecommunications Network Operation industry in New Zealand is expected to grow.

What are the biggest companies in the Wired Telecommunications Network Operation industry in New Zealand?

The biggest companies operating in the Wired Telecommunications Network Operation industry in New Zealand are Chorus, Spark New Zealand and Infratil

What does the Wired Telecommunications Network Operation industry in New Zealand include?

Copper network services and Fibre network services are part of the Wired Telecommunications Network Operation industry in New Zealand.

Which companies have the highest market share in the Wired Telecommunications Network Operation industry in New Zealand?

The company holding the most market share in the Wired Telecommunications Network Operation industry in New Zealand is Chorus.

How competitive is the Wired Telecommunications Network Operation industry in New Zealand?

The level of competition is moderate and increasing in the Wired Telecommunications Network Operation industry in New Zealand.

Methodology

How are IBISWorld reports created?

IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.

Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.

IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.

What data sources do IBISWorld analysts use?

Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.

Key data sources in New Zealand include:

  • Statistics New Zealand
  • New Zealand Company Register
  • Ministry of Business, Innovation & Employment

Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.

These sources include:

  • Industry and trade associations
  • Industry federations or regulators
  • Major industry players annual or quarterly filings

Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.

How does IBISWorld forecast its data?

IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.

IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.

Learn more about our methodology and data sourcing on the Help Center.

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