Chorus to cut wholesale fibre price

Hits 500k UFB connections

Chorus says it will cut the wholesale price for its 1Gbps UFB service from $65 to $60 per month from mid 2019, and to $56 from mid 2020 as the number of connections passes the half million mark.

The wholesale price for the 100Mbps/20Mbps service, which accounts for 70 percent of consumer services remains at $45 per month.

Chorus says demand for fibre is accelerating with 100,000 connections added in the past six months taking the total to 500,000 and consumers are moving away from entry-level plans towards higher bandwidth plans.

Chorus CEO Kate McKenzie said the increasing popularity of online TV would drive growth in network traffic, especially at peak times.

"As more content becomes available online, new devices are released to watch it on with higher video resolutions such as 4K (and soon 8K)."

Chorus said the bulk of services (353,000) were on 100Mbps plans, followed by 50Mbps (84,000), 1Gbps (36,000) and 200Mbps (19,000).

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