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Portable wireless broadband trial as 100k customers reached

Operational Update11 December 2017SPKCommunication Services

Spark New Zealand Limited
ARBN 050 611 277 Spark City, 167 Victoria Street West, Private Bag 92028, Auckland, New Zealand



MARKET RELEASE

12 December 2017


Spark trials portable wireless broadband as it hits 100,000

customers

Spark today announced that 100,000 customers are now on its wireless broadband

product and the company will trial a ‘portable’ option over summer to allow 100

customers to use their home broadband on holiday.

Reaching this milestone shows the momentum behind Spark’s Upgrade New Zealand

programme and further demonstrates Spark’s progress towards its aspiration to be

mostly ex-copper by 2020. Spark now has ~43% of its customers on new

generation broadband technologies (either fibre or wireless broadband), up from

37% at the end of June 2017.

Clive Ormerod, GM of Customer and Marketing for Spark Home, Mobile and Business

said 15% of Spark and Skinny broadband customers had now moved to the wireless

broadband product in just over a year. “Our significant investment in the Spark

mobile network is allowing us to fundamentally change the services we offer over it.

In the last year alone, we’ve added many thousands of wireless broadband

customers to the network and launched our Unlimited mobile plan with some

amazing take up from customers.”

“Today, we’re in a position where we can trial portable wireless broadband as one of

the future evolutions of this service. This is possible today because of our continuing

investment in increasing 4G network capacity, and in expanding 4.5G service across

the country as part of our pathway to 5G. This trial of portable wireless broadband

is the next step and we’re excited to see where it will take us.”

Customers on the trial will simply unplug their modem at home and plug it in at their

New Zealand holiday destination – allowing them to use their home broadband on

holiday.

Spark is the first major New Zealand telecommunications provider to trial portable

wireless broadband. Ormerod said the trial, with 100 existing wireless broadband


Spark New Zealand Limited

ARBN 050 611 277 Spark City, 167 Victoria Street West, Private Bag 92028, Auckland, New Zealand



customers nationwide, would help assess demand for a portable product that could

be used in more than one location in the future.

Although wireless broadband runs off the mobile network, a wireless broadband

modem is currently ‘geo-locked’ so that it only provides service at one location.

However, Ormerod says that, right from launch, customers and commentators asked

if Spark would unlock modems to make wireless broadband portable.

“What we’ve already seen is that there is a significant appetite for this service. We

had many more applications from customers wanting to be on the trial than we

expected.”

Over the peak summer period, thousands of Kiwis leave the major cities and towns

to enjoy time off at a rental, a bach or a campground. For instance, last summer,

Spark network data showed that nearly a quarter (23%) of Aucklanders left the city

in the days following Christmas.

Ormerod says wireless broadband customers say they love the ease and simplicity of

fast and reliable wireless broadband. As demonstrated by Spark’s consumer

customer satisfaction research, customers prefer wireless connectivity to their old

copper line and the continued rate of data growth shows that customers also want to

be always connected. Even in the home broadband space, it’s becoming a wireless

world.


-ENDS-



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Lucy Fullarton

Senior Communications Partner

+64 (0) 21 070 6197


For investor relations queries, please contact:

Dean Werder

General Manager Finance and Business Performance

+64 (0) 27 259 7176

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