2degrees pushes NZ up OECD league table

For the first time, New Zealand pre-pay mobile plans are cheaper than the OCED average, the Commerce Commission said today.

The result was the key finding reported in the commission’s latest Telecommunications Market Monitor report, which covers the first six months to June 2009, and includes commentary on the months after.

Previously, New Zealand’s best ranking in the OECD’s ranking of pre-pay plans was 26th least-affordable out of 30.

2degrees prepay voice calls cost 44 cents a minute, or half Telecom and Vodafone's cheapest pre-pay plans. Telecom and Vodafone argue that their best mates-style plans are much cheaper, but their cheapest rates are reserved for calling a circle of contacts on the same network.

Vodafone NZ was the winner in post-pay however, nudging the nation below the OCED average in low, medium and high user calling baskets:

The report also found that broadband uptake had increased by a robust 14% year-on-year, and is now "in line with that of similarly developed countries".

The survey also finds that New Zealand now has 4.7 million mobile connections - against our population of 4.3 million.

The extra connections are accounted for by those who have more than one cellphone or sim card or, increasingly, a cellular data stick or a notebook with built in 3G.

Expect the 100%-plus trend to continue. Many European countries already have 200% penetration.

2degrees chief executive Eric Hertz, whose last role was heading a company that develops smartphone applications, expects penetration to hit 500%.

As previously reported by NBR, the commission also found a record number of people had taken their old cellphone number with them to a new phone company during August and September (known as "porting" in the industry). That is, the two months following 2degrees' launch.