The once sleepy world of Kiwi bandwidth has been a bit of a soap opera lately, as the new Pacific Fibre project plans to upset the balance of connectivity. Yesterday, Vodafone’s New Zealand subsidiary jumped ship at Southern Cross and confirmed plans to move all its international capacity to the new cable by 2014. Vodafone’s NZ bandwidth needs are estimated to be 12-15Gbps now with 100Gbps in the offing.
I’m actually a bit surprised by the ‘all’ part, I’d have expected them to buy bandwidth from the new cable to add resilience. Moving all implies either a major price break or some sort of problem with the older cable. Vodafone said the deal was worth NZ$400M – which presumably is over a decade. That’s several times bigger than the recent REANNZ deal, and they’ve signed up iiNet as well.
There was doubt amongst many that this 10.24Tbps cable would ever get built, but it seems to have largely dissipated.
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