Vodafone New Zealand and Pacific Fibre have announced a deal for Vodafone to be supplied with international bandwidth from Pacific Fibre's cable system.
Under the 10-year deal, Vodafone will become Pacific Fibre’s biggest New Zealand customer.
Vodafone wouldn't specify an exact sum when asked what the deal was worth, but in a statement in response to Computerworldinquiries, says it is worth "multiple millions of dollars".
In a media release statement from Vodafone, CEO Russell Stanners is quoted as saying: “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 media release that the Vodafone deal is Pacific Fibre’s biggest to date, following the recent earlier deal 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,” Rushworth says.
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.
Prior to becoming Pacific Fibre's founding CEO, Rushworth was Vodafone's Chief Marketing Officer. Before that Rushworth was CEO of the ISP iHug when it was bought by Vodafone in 2006 for $41 million.