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Orcon to pass on full copper price reduction to customers


5 November, 2013

Orcon to pass on full copper price reduction to customers

Orcon CEO Greg McAlister today reiterated the company’s commitment to lower broadband prices and promises to pass on any copper savings directly to consumers.

“We will cut broadband prices dollar for dollar in line with the regulatory costs we face. Any savings we see will be passed through directly to our customers.

“The Prime Minister and Amy Adams are both on record saying that lower copper prices won’t necessarily benefit consumers. I haven’t spoken to either of them so for them to comment on pricing structures probably reflects the conversations they have had with Chorus, but not the internet retailers. I can guarantee that Orcon customers will benefit.

“The lower the regulated price of broadband, the lower the price of Orcon broadband,” says McAlister.

McAlister says he believes assertions today by Chorus that it needs copper prices to stay artificially high in order to build the UFB network seem extremely convenient for Chorus and unfair to customers who will be stuck on copper to 2020 or beyond.

“We are New Zealand’s leading UFB retailer. Every month we sign up more people to the network than the month before. The migration to fibre is steadily building momentum.

“In fact, I predict that sometime next year we will be signing up more new customers to UFB each day than to the copper network. In the meantime, copper users shouldn’t be subsidising people who want fibre,” concludes McAlister.


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