Chorus agrees to new UFB plans

Chorus has agreed to wholesale several new ultrafast broadband plans from January that will offer faster download speeds at lower prices.

It will also increase the speed of its entry-level UFB plan, which wholesales for $37.50 a month.

The move follows concerns by internet providers that the company’s current entry-level UFB plan, which provides download speeds of 30 megabits per second and upload speeds of 10Mbps, is not competitive with the latest copper-based broadband services, which Chorus also wholesales.

Chorus will increase the speed of the entry-level service to 50Mbps down and 20Mbps up.

It said it also intended to wholesale a UFB service with a download speed of 100Mbps and an upload speed of 20Mbps for $40 a month, and a service with a 200Mbps download speed and 20Mbps upload speed for $55 a month.

The new plans were “better value”, but it would consult with internet providers on the details of the offer.

Chorus already also offers a 100Mbps service with a 50Mbps upload speed that wholesales for $55 a month, but it would drop the price by $10 in the new line-up.

The terms of that service, and its entry-level 30Mbps service, had been set out in a contract Chorus had with the Government.

“We are now two years into the rollout of UFB and we will be regularly improving our product offerings,” general manager of marketing and sales Victoria Crone said.

“With this move we are aiming to optimise average revenue per user and provide more choice.”

Chorus said it would also offer plans with upload speeds of 100Mbps from $50 a month.

The plans do not meet all the requests made by internet providers.

Vodafone chief executive Russell Stanners called this month for Chorus to drop the price of its existing 100Mbps/50Mbps service to $37.50, so that would replace Chorus’ existing entry-level product.

CHORUS’ PROPOSED SERVICES

50/20 (previously 30/10): $37.50 increasing to $42.50 by 2019
100/20: $40 increasing to $45 by 2019
100/50:  $45 increasing to $49.90 by 2019 (previously $55 decreasing to $49.90 by 2019)
100/100: $50
200/20: $55
200/100: $60
200/200: $65
200/200 Business: $175

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