Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


New Telecom Service To Manage Internet Traffic

PRESS RELEASE
TELECOM

10 June 1999

NEW TELECOM SERVICE TO MANAGE INTERNET TRAFFIC

Telecom is setting up a new free service for residential Internet users and Internet Service Providers (ISPs) which will enable Telecom to more efficiently manage the growing Internet traffic through its network.

General Manager Rob Fyfe said Telecom was becoming increasingly concerned at the potential impact of the huge volumes of Internet traffic on the integrity of the voice network. "Managing Internet demand effectively is our number one priority," he said.

"We simply cannot risk a situation developing where, for example, customers cannot access the 111 Service in time of need because Internet users are tying-up the voice network."

However, Telecom also recognised the needs of its Internet customers and the ISPs which support them and was dedicated to providing them with the capacity they needed. "We think the new service will be a win-win for everyone," he said.

The new service will enable customers to access the Internet by dialing an 0867 number to reach their ISP. The 0867 numbers will allow Internet calls to be carried via Telecom's Intelligent Network and will allow customers to access their chosen ISP within a local calling area.

If ISPs decided to adopt the service, Mr Fyfe said the only impact on customers would be a once-off requirement to change the access number programmed into their PC.

Customers will still be able to dial their ISP using their existing local telephone number, however after the first 10 hours of usage per month, residential customers will incur a two cents per minute calling charge (including GST).

"The purpose of the charge is to incent heavy-user customers to dial in via 0867," Mr Fyfe said, "helping to ensure that Telecom is able to manage the capacity demands of all its customers."

The new 0867 service would give ISPs using the Telecom network another choice in the way they provided service to their customers. "Now they will be able to use 0867 or Telecom's existing IPNet service. Both these services will be free to ISPs' residential customers," he said.

Telecom was now offering its new 0867 service to ISPs, Mr Fyfe said, and had tried to make the service as valuable as possible for them. "There are several advantages. ISPs will be able to use the same 0867 number in each local calling area where they offer service, rather than a different number in each area, and they can also make use of call stepping, which will help them manage their own Internet traffic. Importantly, ISPs can still use the same 0867 number if they choose a carrier other than Telecom. "

Introduction of the 0867 service is planned for June/July, with the 10 hour-plus charge in effect from August. "Telecom will be pro-actively explaining the new service to customers, and will work closely with ISPs which choose 0867, to tell their customers how the service works," Mr. Fyfe said.

"0867 will enable us to identify voice and data calls," Mr. Fyfe said, "and route data traffic to manage flows between exchanges. It will also allow us to prioritise calls in times of emergency. As I said, we think this is a win-win solution to what has been a perplexing problem for us," he said.

KEY FACTS ABOUT INTERNET USE

The average length of an Internet call is 22 minutes, compared to 3 minutes for an average voice call.

In March 1999, 23.2% of residential local phone traffic was Internet traffic, up from 16.7% in April 1998.

By 2002 it is anticipated 35-40% of residential local phone traffic will be Internet traffic.

The top 1% average more than 400 hours of use a month.

This top 1% accounts for close to 20% of residential Internet minutes.

In March 1999 there were 274 million minutes of residential Internet traffic, up 63% on the 168 million minutes measured in April last year. Over the same period the voice traffic in the network grew by 9.5%.

Currently there are 3.3 billion residential Internet minutes a year, compared with 10.9 billion residential voice minutes.

ENDS

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Nurofen Promotion: Reckitt Benckiser To Plead Guilty To Misleading Ads

Reckitt Benckiser (New Zealand) intends to plead guilty to charges of misleading consumers over the way it promoted a range of Nurofen products, the Commerce Commission says. More>>

ALSO:

Half A Billion Accounts: Yahoo Confirms Huge Data Breach

The account information may have included names, email addresses, telephone numbers, dates of birth, hashed passwords (the vast majority with bcrypt) and, in some cases, encrypted or unencrypted security questions and answers. More>>

Rural Branches: Westpac To Close 19 Branches, ANZ Looks At 7

Westpac confirms it will close nineteen branches across the country; ANZ closes its Ngaruawahia branch and is consulting on plans to close six more branches; The bank workers union says many of its members are nervous about their futures and asking ... More>>

Interest Rates: RBNZ's Wheeler Keeps OCR At 2%

Reserve Bank governor Graeme Wheeler kept the official cash rate at 2 percent and said more easing will be needed to get inflation back within the target band. More>>

ALSO:

Half Full: Fonterra Raises Forecast Payout As Global Supply Shrinks

Fonterra Cooperative Group, the dairy processor which will announce annual earnings tomorrow, hiked its forecast payout to farmers by 50 cents per kilogram of milk solids as global supply continues to decline, helping prop up dairy prices. More>>

ALSO:

Results:

Meat Trade: Silver Fern Farms Gets Green Light For Shanghai Maling Deal

The government has given the green light for China's Shanghai Maling Aquarius to acquire half of Silver Fern Farms, New Zealand's biggest meat company, with ministers satisfied it will deliver "substantial and identifiable benefit". More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news