Vodafone bets on Kogan, Spark bulks up, Vocus builds for RWC

Australian mobile virtual network operator (MVNO) Kogan Mobile has launched in New Zealand. The service will use the Vodafone network and has been pitched as Vodafone’s budget alternative to 2degrees and Spark’s Skinny operation.

While the brand is unknown here, Kogan has been an Australian MVNO player since 2013. It claims a 2 percent market share in that country.

Kogan picked up the Dick Smith brand and web address when the electronics retail chain collapsed. Today it uses the brand to sell online to New Zealanders.

MVNO not thriving in New Zealand

While MVNO is big overseas, it has failed to take off in New Zealand. Vocus’s Callplus brand and The Warehouse are among those who offer MVNO services, but they remain relatively unknown and have a tiny market share.

When Simon Bridges was communications minister he asked the Commerce Commission to investigate the mobile sector. He wanted to know why MVNOs were such a small part of the market here.

The Commerce Commission found the mobile market is competitive enough without an active MNVO sector and decided not to take action. Even so, a high profile new entrant will take some regulatory pressure off Vodafone and the mobile sector.

The mobile Pak'n Save

Much of the media attention given to the Kogan launch focused on its prices compared to other low cost operators. Vodafone chief executive Jason Paris described Kogan as the mobile Pak’n Save.

Prices are low, but to get the real savings customers have to commit and pay in advance for a year’s service. The headline price is $708 for a year of unlimited calls and texts in both New Zealand and Australia together with 1.5GB of data every 30 days. Customers who sign before the end of next month can pay only $425 for their first year.

Overall prices are competitive, but not significantly lower than elsewhere. There’s no support call centre, instead Kogan will deal with customers online.

Vodafone says it hasn’t decided if Kogan will be able to use the 5G network that will start operating in December.

Spark’s Qrious buys Now Consulting

Qrious, Spark’s data analytics business has acquired Now Consulting, formerly part of Wherescape Software. The move will see Qrious’ headcount climb from 100 to 170. Now specialises in advising clients on data handling, warehousing and analytics.

Vocus upgrades network

Vocus says it has made network upgrades including a boost to company’s Auckland-Hamilton connection that now allows 200Gbps per wavelength. Vocus has also increased its Akamai capacity 400 percent and added a number of 100G deployments in a move it says makes its network ready for the Rugby World Cup. Elsewhere Vocus says it has added a substantial volume of Hawaiki cable capacity to its international network.

Gravity, Kacific offer rural satellite broadband

Gravity Internet and Kacific have signed a three year deal that will see Gravity offer Kacific satellite broadband services to rural New Zealanders beyond the current reach of fibre. The Kacific1 satellite is due to begin service in a few months and will have coverage across New Zealand. Gravity says customers will be able to get speeds of up to 50mbps using a 1.2 metre dish.

Sky Sport scores beIN football

Sky Sport and beIN have inked a four-year partnership that will create a co-branded football channel that promises almost everything except the English Premier League (Spark Sport owns those rights). It includes UEFA Champions League, LaLiga, Serie A and Bundesliga. There’s also local football including the Wellington Phoenix in the A-League.

IGEA research makes case for gaming

The Interactive Games & Entertainment Association says two-thirds of New Zealanders play video games and nine out of 10 households own a video game device. About half of all players are women and girls.

A study commissioned by the IGEA also found that 70 percent of gamers in New Zealand say it helps them connect with others with 65 percent say it increases life satisfaction.