9 Feb 2012

UFB value seen by business

12:26 pm on 9 February 2012

Businesses are expected to see the value in ultra-fast broadband, even if it costs a bit more.

The Commerce Commission has issued a report on the uptake of the $1.5 billion ultrafast broadband scheme, which will allow 75% of the country to access high speed broadband before 2020.

The commission's report looks at the willingness of consumers and businesses to pay for fast broadband.

About half of those surveyed had some interest in connecting to the new fibre cable.

However, most businesses felt they were happy with their current service.

Telecommunications Users Association chief executive Paul Brislen says this shows customers need to be sold on what the fibre service can provide.

The study found most customers were not willing to pay more than $10 extra per month for broadband.

It also found that businesses are interested in using ultrafast broadband for marketing and online sales, while fast video-on-demand and high definition movies appeals to consumers.