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Home / Business / Companies / Energy

2degrees looks to chase down rivals with no-price-rise pledge

Chris Keall
Chris Keall
Technology Editor/Senior Business Writer·NZ Herald·
6 Mar, 2019 04:42 AM2 mins to read

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2degrees has promised not to raise prices on its residential broadband plans this year.

The company's consumer boss, Scott Taylor, positions the move as a dig at Spark and Vocus-owned Slingshot, which both raised their copper broadband prices late year, and Vodafone - which raised pricing on all its residential broadband plans by $3 a month in March.

All where passing on price increases from network wholesaler Chorus.

"If you're a current 2degrees customer, we'll swallow the cost on this one," Taylor says.

The 2degrees exec says his company hasn't changed its residential broadband pricing since January last year - and that was a decrease.

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It currently charges $85 a month for an unlimited plan, or $75 if you have a contract mobile with 2degrees too.

According to a market filing by 2degrees' parent company, the Toronto-listed Trilogy, it now has 78,000 broadband customers.

That puts it neck-and-neck with Trustpower, and well behind the top three in fixed-line broadband: Spark with around 700,000, Vodafone with around 400,000 and Vocus (owner of Orcon, Slingshot , Flip and 2Talk) with around 200,000.

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Taylor says 78,000 broadband customers (54 per cent of whom are on UFB fibre, the rest on copper) represents a four-fold increase since 2degrees entered the broadband market by buying Snap in 2015.

He says the company wants to accelerate growth, however. He's hoping a new partnership with an international player, which is under wraps until Friday, will boost things along.

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