One NZ chooses Ericsson for core network update

Ericsson to build advanced core network

A five-year deal with One New Zealand means Ericsson is now the nation’s dominant mobile network technology provider.

The deal will see Ericsson modernise One NZ’s core network. It’s a move the company says will support advanced 5G capabilities.

Ericsson will replace the Nokia system currently used by One NZ with its cloud-native dual-mode 5G Core technology. It says this will allow One NZ “to run 4G and 5G networks on a unified platform whilst introducing automation and AI”.

Open programmable network architecture

In a media statement the Swedish telecoms giant says: “By leveraging an open programmable network architecture and a telco-grade cybersecurity solution, One NZ will have the ability to unlock new opportunities for innovation and enterprise digitisation.”

One NZ CTO Kieran Byrne says:

“This partnership enables us to create a high-performing, more secure, and resilient network with environmental sustainability benefits including a more energy efficient network”.

Until relatively recently Ericsson was a relative minnow in New Zealand. Spark and 2degrees used Huawei, while One NZ was a long-time Nokia partner.

Post-Huawei era

That all changed in 2018 when governments around the world began to mistrust Huawei and banned the Chinese company from 5G networks.

Huawei was never formally banned in New Zealand, but telcos quickly got the message and looked elsewhere.

In 2021 2degrees picked Ericsson to build its 5G network. Then in 2023 Spark chose Ericsson and Red Hat to build its 5G standalone network. Spark also uses Samsung and Nokia technology.

As recently as 2022, Nokia signed a memorandum of understanding with Vodafone NZ (now One NZ) to work on new applications and services enabled by Nokia’s mobile network technology.

This week’s deal with One NZ cements Ericsson’s position as the dominant network technology provider.

Tuanz takes another look at its mission statement

Tuanz has been through what it describes as a ‘strategic refresh’. The organisation says it: “Reaffirms its commitment to empowering all New Zealanders through better digital access and inclusion, trust and safety, education, responsible use of AI and data privacy”.

It’s not a huge departure from the organisation’s long-term mission. The language is different and the clauses mentioning AI and data privacy are new.

The basic ideas remain, expressed in more up-to-date terms. As Tuanz CEO Craig Young says: “We’ve always been here to represent the voices of people, businesses and communities navigating the digital landscape.

“We are not only a strong, independent voice for users navigating the digital world, but we also equip our member community with knowledge and resources to seize the opportunities of our digital future.”

Digital Island cut loose from Spark mothership

Digital Island has returned to its independent roots after being acquired from Spark by its CEO, Leon Sheehan and investor James Reeves.

Since 2017, Digital Island has been a Spark subsidiary, before that it was an independent junior telco. In 2009, Digital Island had an MVNO business reselling Telecom NZ’s XT network along with SIP and trunking.

Today it is a business focused telco offering cloud contact centre services along with a full set of telecommunications and ISP services. It also has a managed services operation.

In a media statement Sheehan says the move from Spark allows the business to operate with “greater agility and to double down on our focus”.

New midrange handsets coming from Samsung and Oppo

Three new models in Samsung’s midrange Galaxy A phone series are due to go on sale on March 28. Rival Oppo says its midrange Reno 13 Series models will be available in New Zealand on March 27.

Samsung’s publicity for the Galaxy A56 5G, Galaxy A36 5G, and Galaxy A26 5G focuses on AI capabilities. Oppo promises the latest AI in its phones, but the message is more about the cameras. Make that cameras with “a suite of AI features”.

Apple’s midrange iPhone 16e comes in black or white, while Samsung and Oppo offer more colour options.

Microsoft to close Skype

Microsoft says it will close its Skype video-calling service in May. The service predates modern video-calling apps like Microsoft Teams or Zoom and came to the fore in the era of copper delivered broadband.

Skype wasn’t the first video calling app, but it quickly became the most popular. For years it was used by hundreds of millions of people worldwide. Its popularity paved the way for modern video calling apps.

Microsoft paid US$8.5 billion to buy Skype in 2011. At the time it was the software giant’s biggest ever acquisition.

From a telco sector point of view, Skype was one of the earliest disruptor apps allowing customers to make toll free calls worldwide and eroding the voice calling business model.

While Skype dominated the scene for more than a decade its use has declined greatly in recent years and the service was, in effect, on life support.

Microsoft says Skype users can sign in to Teams with their existing accounts to stay connected..

Spark completes Connexa transaction

Spark’s sale of its remaining shares in Connexa, the tower business, concluded last Friday (February 28) after passing through all the regulatory hurdles.

In December the company announced it would sell its remaining 17 percent stake in Connexa to CDPQ (Caisse de dépôt et placement du Québec) for around $311 million.

Spark expects to gain around $69 million in EBITDAI from the transaction.

Connexa was previously majority owned by the Ontario Teachers' Pension Plan. That body has sold 33 percent of its stake to CDPQ leaving the two with 50 percent each.

Aside from ownership, nothing will change. Jolie Hodson, Spark CEO, says: “We welcome CDPQ’s investment and look forward to continuing our long-term partnership as a key Connexa customer.”

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