Broadband will be the best way to deliver both linear and pay-per-view content in the future, SKY Television CEO John Fellet said today.

Mr Fellet said although satellite was the cheapest way to deliver video, delivering video over the internet would increase as more people used broadband in the future.

Despite the apparent success in the unbundling of the local loop network, a report released today by IDC believes that the market can only sustain two to three mass-market competitors in the long term.

The other smaller operators will need to find niche markets, either in the business segment or as regional players.

Statistics New Zealand broadband figures released in the March 2008 showed New Zealand had 60 ISP providers – an unsustainable number for such a small market.

The National Party says it would invest up to $1.5 billion to get fast broadband into nearly every home in the country if it wins the election. The money would be used to drive the roll-out of a "fibre to the home" ultra-fast broadband network in New Zealand.

Party leader John Key said a National Government would aim in the medium to long term to get broadband into nearly every home supported by satellite and mobile solutions. "Our initial goal is to ensure the accelerated roll out of fibre right to the home of 75 percent of New Zealanders.