The Commerce Commission is expected to give the green light to Vodafone's proposed purchase of the New Zealand arm of TelstraClear on Tuesday.
The $840 million deal will give Vodafone a much stronger presence in the fixed line phone and broadband market, complementing its dominance in the mobile phone space.
The Telecommunications Users Association says the combined entity will provide a much stronger test for Telecom.
Chief executive Paul Brislen said he hopes smaller players, like Two Degrees and FX Networks, can survive against their two bigger rivals.
