Vodafone New Zealand and Pacific Fibre today announced that they have signed a multi-million dollar agreement for the supply of international bandwidth on the new Pacific Fibre cable system.
Under the 10-year deal, Vodafone will become Pacific Fibre's biggest New Zealand customer.
Vodafone CEO Russell Stanners says Pacific Fibre is bringing much needed competition to the international bandwidth market.
"By partnering with an innovative, entrepreneurial business such as Pacific Fibre, we're helping to break down the digital divide between New Zealand and the rest of the world.
"This deal will allow us to scale our customer offers over the next 10 years delivering the quality and quantity of capacity that our customers need now and into the future.
"This will help us to support New Zealanders' online ambitions by making sure they can confidently connect to the world and the world can confidently connect to New Zealand."
Mark Rushworth, Pacific Fibre CEO, says the Vodafone deal is its biggest to date, coming hard on the heels of a contract with REANNZ.
"Foundation customers such as Vodafone and REANNZ have championed the cause of ensuring international bandwidth competition. Their commitment will have a direct impact on bringing faster service and better rates to the region, helping to break the monopoly on capacity pricing into and out of New Zealand".
Sir Stephen Tindall, Pacific Fibre co-founder, says building Pacific Fibre moves us closer to the US market.
"It's like parking New Zealand off the West Coast of America, removing the tyranny of distance. It will help foster future innovation and greater economic development for New Zealand."
Pacific Fibre's undersea cable system will connect Australia to New Zealand, then to the USA and is scheduled to be launched by early 2014.