Telecom New Zealand has outlined a structural separation and fibre proposal to Crown Fibre Holdings in its bid to deliver a national fibre-to-the-home network. The proposal is predicated on the structural separation of Telecom, through a demerger into two companies which would give rise to Chorus2 as a new and entirely standalone company. The company also proposed integrating the government's Ultra-Fast Broadband initiative with the Rural Broadband Initiative. Integrating the two initiatives would allow for the extension of the reach of fast broadband into rural areas well beyond the planned 75 percent coverage area. The demerger proposal requires 75 percent of the company's share vote in favour.
