How 2degrees is transforming connectivity for Kiwi businesses.
Fifteen years ago, 2degrees was launched to shake up New Zealand’s mobile market. Now it is the fastest growing telco in the business sector, and following its 2022 merger with fibre-network and technology provider Vocus, it is poised to bring its tradition of challenging the status quo to Kiwi companies backed by a substantial network and the latest technology.
Among the significant customers on board so far are freight logistics company Freightways, Fletcher Building, New Zealand Health Group and the Government’s Network for Learning (N4L) internet service, which sees around 1 million students – 20% of New Zealand’s total population – engaging with the 2degrees network every school day.
According to the Q1 2024 IDC data, 2degrees is the fastest-growing telco in New Zealand’s business segment, which the company attributes to its focus on delivering value and reliability.
2degrees chief technology and information officer Stephen Kurzeja says when the company was originally launched in 2009 as a mobile provider it concentrated on the consumer market, disrupting the existing providers and bringing about an immediate drop in calling and texting prices across the market.
Now, the same challenger ethos that disrupted the consumer market is being applied to the business world.
“It all came together with this merger with Vocus two years ago, combining a consumer-orientated mobile and internet offering with a network which allows us to focus even more on business,” Kurzeja says. “It’s become an opportunity for us, to grow by making use of the strengths and capabilities within our organisation and to capitalise on what we can offer business.”
Pre-merger, Vocus laid 4600km of fibre throughout the country. Alongside this, 2degrees was busy building its own complete infrastructure system of over 2000 cell sites around the motu, giving it a network which is now the same size as its competitors.
“We have a significant mobile asset, which when combined with the FX Networks fibreoptic network from Vocus means we can be a significant third player in the market across the whole landscape,” Kurzeja says. “We’re not just a consumer-facing organisation that uses emojis – we’re a serious business supporting critical parts of New Zealand’s infrastructure. We have customers in every sector of New Zealand, from schools to local councils, hospitals, police and banking.”
As well as upgrading and modernising its 4G network, 2degrees has been rolling out 5G in major centres. It currently has more than 500 5G sites operating in 70 cities and towns throughout New Zealand, with 100 more to be added to the network in the next six to eight months. Kurzeja says 2degrees has partnered with technology giant Ericsson to roll out 5G, which will provide faster download speeds, more reliable remote working and the ability to handle larger numbers of people being online at one time.
“5G is a huge milestone for us as the next stage of the network in terms of performance and reliability, and we’re investing hundreds of millions of dollars in it,” Kurzeja says. “We weren’t the first to start rolling out 5G, but we will be first to finish.”
As well as network speed, coverage and reliability, 2degrees is focused on providing a high level of service to business customers, to make it easier for them to get on with the job. Through 2degrees’ merger with Vocus, it now offers business customers the custom-built self-service portal Flex, which delivers real-time service analysis and management, along with detailed billing, for companies with large numbers of staff. Flex can be integrated with a business’ own systems and platforms, and enable easy management and reporting.
“We have customers with thousands of mobile users to manage,” Kurzeja says. “There are some big productivity gains to be made within such large organisations with this software, so people don’t have to work through spreadsheets or manage IT aspects. Businesses have very different needs from consumers, and our goal is to give them a seamless experience and make it as easy for them as possible.”
Among the Kiwi companies experiencing these benefits is New Zealand Health Group, which provides community support and in-home care for around 30,000 medical patients, older people, and New Zealanders with disabilities.
“We’re making their jobs easier with a fully integrated management solution, so they can focus on helping their clients, rather than maintaining a mobile asset. We’re making it fit for their purpose, which is what we can do for all New Zealand business, offering tailored solutions and a personal touch,” Kurzeja says.
Network for Learning is another enterprise that is reaping the benefits of 2degrees’ upscaled capability. In October, the Government-owned company, which provides managed internet, Wi-Fi and cybersecurity services to schools and kura around the country, named 2degrees as a key partner in delivering the next iteration of its managed network service. 2degrees’ internet services will enable N4L to operate as a virtual Internet Service Provider (vISP), so it can manage its own internet service delivery directly while utilising 2degrees’ infrastructure for connectivity.
“We know teachers do an amazing job, and our service will enable them to focus on teaching, and not on IT,” Kurzeja says. “We’re really excited about this opportunity to make a significant impact on the community by providing digital equity for students and helping communities stay connected.”
Kurzeja says all these aspects tie in with 2degrees’ long-term ethos of ‘Fighting for Fair’.
“It’s never just been about making money – the people who started this company actually wanted to do something different and unique for New Zealand consumers. We’ve made a difference in the consumer space, and now we know we can make a difference for businesses and what they need.”
Discover how 2degrees can help your business stay connected and thrive by visiting:2degrees.nz/business
