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Sluggish, unreliable broadband will be a thing of the past for many internet users after a sweeping network upgrade.
A radical expansion of energy supplier Vector's fibre optic network, and a deal with Vodafone are expected to boost broadband speed and reliability.
Vodafone will be the first Vector
customer to take advantage of the 300km fibre optic extension, which expands the existing network to 500km of cable stretching from the North Shore to Papakura to Henderson.
The chief executive of the Telecommunications Users Association of New Zealand, Ernie Newman, said the Auckland consumer would be the end winner following the upgrade.
"We're very pleased with that development," he said.
"It's that sort of creative thinking that will get New Zealand back on track with broadband and fibre optic networks.
"Our focus is on what is good for the user, of course, and anything that's going to stimulate healthy competition in this area is very good news."
Vector CEO Simon Mackenzie said the deal with Vodafone, which owns the internet service provider ihug, would result in better broadband and mobile services.
"The extension to our fibre network in Auckland means we will further the development of true broadband, expand our customer reach and enable greater competition in the unbundled local loop environment," he said.
Partnerships between infrastructure and service providers, such as Vector's agreement with Vodafone, are "the most effective way for New Zealand to advance its telecommunications offerings", Mr Mackenzie said.
The fibre optic network will connect to 41 Telecom exchanges, meaning other internet providers can use the unbundled copper local loop to increase speed and reliability of internet service.
Technology commentator Peter Griffin said 300km of fibre might not sound like a lot but "it takes in a good number of the Telecom exchanges Vodafone is eager to get into to deliver services using local loop unbundling".
It would also drastically reduce the commercial impact of Telecom's plans to serve its own broadband customers from fibre-connected roadside cabinets rather than through the unbundled local loop, which would have drastically disadvantaged smaller ISPs in particular.
Vodafone boss Russell Stanners said the upgraded network would allow more advanced telecommunications services to be introduced.
Mr Stanners said: "The high capacity fibre removes barriers and is a pivotal enabler in providing the next generation of services, both fixed and mobile, to Auckland Vodafone customers."
HOW IT WORKS
* Power line company Vector is increasing its network of fibre optic cable to cover most of Greater Auckland.
* Fibre optic cable is the internet equivalent of a motorway, allowing large amounts of data to move quickly around the city.
* Vodafone customers will be able to access this network via 41 Telecom exchanges.
* Other internet service providers can negotiate similar deals with Vector.
