Barriers to competition and market re-entry in rural telecommunications
Sam Brown made this Official Information request to Commerce Commission
This request has an unknown status. We're waiting for Sam Brown to read a recent response and update the status.
From: Sam Brown
Dear Commerce Commission,
Under the Official Information Act 1982, I request:
1. Any analysis of barriers to market re-entry in rural telecommunications if terrestrial providers exit due to unsustainable competition, including assessment of whether infrastructure investment can be economically reconstituted if needed in future.
2. Any assessment of "irreversible market exit" risks where capital-intensive infrastructure businesses (such as terrestrial ISPs) cannot economically re-enter markets after exiting, creating permanent market concentration, particularly in rural or isolated areas.
3. Any advice regarding whether Commerce Act frameworks adequately consider scenarios where short-term below-cost pricing by one competitor causes permanent exit of alternatives, resulting in long-term consumer harm through subsequent price increases or service degradation.
4. Any analysis of whether regulatory intervention should occur before competitive alternatives are eliminated, rather than attempting to restore competition after infrastructure has been abandoned.
5. Any assessment of "stranded consumer" scenarios where rural customers become dependent on a single provider with high switching costs (specialised equipment, installation requirements) that reduce competitive constraint on that provider's conduct.
Context: I am concerned that current policy settings may result in irreversible elimination of terrestrial rural connectivity infrastructure, with no feasible pathway to restore competition if satellite pricing subsequently rises or service quality degrades.
Yours faithfully,
Sam Brown
From: Commerce Commission OIA Requests
Commerce Commission
Thank you for contacting the New Zealand Commerce Commission. This email
is to confirm that we have received your correspondence.
If your request is for information under the Official Information Act
(OIA) we will respond to it within 20 working days. You can check the
maximum time limit within which Commerce Commission click here to access
the Ombudsman’s OIA Response Calculator
If we need to clarify, or transfer your request, or extend the timeframe
for response, we will contact you shortly.
If your enquiry is not a request for information under the OIA, please
contact our Contact Centre, on 0800 943 600 or [1][email address]
OIA Co-ordinator
Information Systems | Organisational Performance
Commerce Commission l Te Komihana Tauhokohoko
44 The Terrace l PO Box 2351 l Wellington 6140 l New Zealand
E: [2][Commerce Commission request email]
This email may contain information that is confidential or legally
privileged. If you have received this email in error please immediately
notify the sender and delete the email, without using it in any way. The
views presented in this email may not be those of the Commission.
References
Visible links
1. mailto:[email address]
2. mailto:[Commerce Commission request email]
From: Commerce Commission OIA Requests
Commerce Commission
Kia ora Sam
The Commerce Commission (the Commission) acknowledges receipt of your
request dated 6 January 2026 under the Official Information Act 1982 (OIA)
for following information:
“Under the Official Information Act 1982, I request:
1. Any analysis of barriers to market re-entry in rural telecommunications
if terrestrial providers exit due to unsustainable competition, including
assessment of whether infrastructure investment can be economically
reconstituted if needed in future.
2. Any assessment of "irreversible market exit" risks where
capital-intensive infrastructure businesses (such as terrestrial ISPs)
cannot economically re-enter markets after exiting, creating permanent
market concentration, particularly in rural or isolated areas.
3. Any advice regarding whether Commerce Act frameworks adequately
consider scenarios where short-term below-cost pricing by one competitor
causes permanent exit of alternatives, resulting in long-term consumer
harm through subsequent price increases or service degradation.
4. Any analysis of whether regulatory intervention should occur before
competitive alternatives are eliminated, rather than attempting to restore
competition after infrastructure has been abandoned.
5. Any assessment of "stranded consumer" scenarios where rural customers
become dependent on a single provider with high switching costs
(specialised equipment, installation requirements) that reduce competitive
constraint on that provider's conduct.”
We confirm the request has been logged as OIA 25.157.
We will be in touch with a decision on your request by no later than 13
February 2026. We note that 25 December 2025 to 15 January 2026 as well as
6 February (Waitangi Day) are excluded from the definition of working day
under the OIA.
If we need to clarify your request further, we will be in touch with you
shortly.
If you need to get in touch with us, you can reply to this email or
contact us at [1][Commerce Commission request email].
Ngâ mihi
Payal
Payal Padhya [2](she/her)
Governance Adviser
Commerce Commission | Te Komihana Tauhokohoko
44 The Terrace | PO Box 2351 | Wellington 6140 | New Zealand
[3]comcom.govt.nz [4]X [5]Facebook [6]LinkedIn
show quoted sections
From: Commerce Commission OIA Requests
Commerce Commission
Kia ora Sam,
Thank you again for your OIA request.
To ensure we are on the same page about the scope of your request, with
respect to Question 3 about advice regarding “whether Commerce Act
frameworks adequately consider scenarios where…”, would you mind
clarifying whether you are seeking:
a. Any advice given to the Commission from another party?
b. Any advice given by the Commission to another party?
c. Or both?
It would be greatly appreciated if you could please respond to this email
with your clarification by no later than Wednesday, 14 January 2026.
Please note, your clarified request may be considered as a new request for
the purpose of calculating the maximum statutory timeframe for response.
Many thanks in advance for your assistance.
Ngâ mihi
Payal
Payal Padhya [1](she/her)
Governance Adviser
Commerce Commission | Te Komihana Tauhokohoko
44 The Terrace | PO Box 2351 | Wellington 6140 | New Zealand
[2]comcom.govt.nz [3]X [4]Facebook [5]LinkedIn
From: Commerce Commission OIA Requests
Sent: Wednesday, 7 January 2026 2:04 pm
To: '[FOI #33446 email]'
<[FOI #33446 email]>
Subject: Commerce Commission - OIA 25.157 - acknowledging your request
[CCNZ-IMANAGE.FID472751]
Kia ora Sam
The Commerce Commission (the Commission) acknowledges receipt of your
request dated 6 January 2026 under the Official Information Act 1982 (OIA)
for following information:
“Under the Official Information Act 1982, I request:
1. Any analysis of barriers to market re-entry in rural telecommunications
if terrestrial providers exit due to unsustainable competition, including
assessment of whether infrastructure investment can be economically
reconstituted if needed in future.
2. Any assessment of "irreversible market exit" risks where
capital-intensive infrastructure businesses (such as terrestrial ISPs)
cannot economically re-enter markets after exiting, creating permanent
market concentration, particularly in rural or isolated areas.
3. Any advice regarding whether Commerce Act frameworks adequately
consider scenarios where short-term below-cost pricing by one competitor
causes permanent exit of alternatives, resulting in long-term consumer
harm through subsequent price increases or service degradation.
4. Any analysis of whether regulatory intervention should occur before
competitive alternatives are eliminated, rather than attempting to restore
competition after infrastructure has been abandoned.
5. Any assessment of "stranded consumer" scenarios where rural customers
become dependent on a single provider with high switching costs
(specialised equipment, installation requirements) that reduce competitive
constraint on that provider's conduct.”
We confirm the request has been logged as OIA 25.157.
We will be in touch with a decision on your request by no later than 13
February 2026. We note that 25 December 2025 to 15 January 2026 as well as
6 February (Waitangi Day) are excluded from the definition of working day
under the OIA.
If we need to clarify your request further, we will be in touch with you
shortly.
If you need to get in touch with us, you can reply to this email or
contact us at [6][Commerce Commission request email].
Ngâ mihi
Payal
Payal Padhya [7](she/her)
Governance Adviser
Commerce Commission | Te Komihana Tauhokohoko
44 The Terrace | PO Box 2351 | Wellington 6140 | New Zealand
[8]comcom.govt.nz [9]X [10]Facebook [11]LinkedIn
show quoted sections
From: Sam Brown
Kia ora Payal,
C) - please supply both relevant advice and documentation which has been generated/supplied by the commerce commission, and vice versa - any relevant communications supplied by any third party, including contractors, to the Commerce Commission, which is in relation to the scope of this request.
Yours sincerely,
Sam Brown
From: Commerce Commission OIA Requests
Commerce Commission
Thank you for contacting the New Zealand Commerce Commission. This email
is to confirm that we have received your correspondence.
If your request is for information under the Official Information Act
(OIA) we will respond to it within 20 working days. You can check the
maximum time limit within which Commerce Commission click here to access
the Ombudsman’s OIA Response Calculator
If we need to clarify, or transfer your request, or extend the timeframe
for response, we will contact you shortly.
If your enquiry is not a request for information under the OIA, please
contact our Contact Centre, on 0800 943 600 or [1][email address]
OIA Co-ordinator
Information Systems | Organisational Performance
Commerce Commission l Te Komihana Tauhokohoko
44 The Terrace l PO Box 2351 l Wellington 6140 l New Zealand
E: [2][Commerce Commission request email]
This email may contain information that is confidential or legally
privileged. If you have received this email in error please immediately
notify the sender and delete the email, without using it in any way. The
views presented in this email may not be those of the Commission.
References
Visible links
1. mailto:[email address]
2. mailto:[Commerce Commission request email]
Things to do with this request
- Add an annotation (to help the requester or others)
- Download a zip file of all correspondence (note: this contains the same information already available above).
Offensive? Unsuitable?
Requests for personal information and vexatious requests are not considered valid requests for Official Information (read more).
If you believe this request is not suitable, you can report it for attention by the site administrators
Report this requestAct on what you've learnt
Similar requests
Predatory pricing and market concentration risks in rural telecommunications
To Commerce Commission by Sam Brown
Impacts of prices rises on our most vulnerable family, friends, and neighbours
To Commerce Commission by Julian W.
