Internet Switch NZ: Your 2026 Guide to Switching Providers and Saving

Thinking about an internet switch in NZ but worried about downtime or hidden fees? You are not alone. In early 2026, the New Zealand broadband market has become more competitive than ever, yet 29% of Kiwis still find the process daunting enough to avoid it altogether. However, switching can lead to significant savings—averaging hundreds of dollars per year—and improved service quality as providers fight to keep customers amidst rising wholesale costs. Whether you are moving from old copper to fibre or simply hunting for a better monthly rate, this guide simplifies the entire "gaining" and "losing" provider process to ensure you stay connected without the stress.

Understanding the Internet Switch Process in New Zealand

The mechanics of an internet switch in NZ are governed by industry codes designed to protect consumers and ensure a seamless transition between ISPs. When you decide to change, your "gaining" (new) provider takes the lead, contacting the network wholesaler (like Chorus or Tuatahi First Fibre) to lodge a transfer request. In most cases, you don't even need to cancel your old service yourself; the new provider handles the "handover" so that your connection only drops for a few minutes while you swap routers on the designated "switch day".

Key Benefits of Switching in 2026

• Cost Savings: New-customer "joining bonuses" or credits (often $200+) can offset early exit fees from your old provider.
• Better Technology: Switching is the perfect time to upgrade from Fibre 300 to Hyperfibre or to a modern Wi-Fi 7 router.
• Bundled Discounts: Many Kiwis save by combining their internet with power and gas under a single provider like Contact or Mercury.
• Improved Support: Moving to a NZ-owned and operated provider often results in shorter wait times and local technical expertise.

Cost Savings: New-customer "joining bonuses" or credits (often $200+) can offset early exit fees from your old provider.

Better Technology: Switching is the perfect time to upgrade from Fibre 300 to Hyperfibre or to a modern Wi-Fi 7 router.

Bundled Discounts: Many Kiwis save by combining their internet with power and gas under a single provider like Contact or Mercury.

Improved Support: Moving to a NZ-owned and operated provider often results in shorter wait times and local technical expertise.

Evaluating Your Current Contract and Exit Fees

Before you initiate an internet switch, you must check the status of your current agreement. In New Zealand, "open-term" contracts allow you to leave at any time with 30 days' notice, but "fixed-term" contracts (usually 12–24 months) often carry Early Termination Fees (ETFs). As of 2026, these fees typically range from $99 to $199, though some providers calculate them based on the remaining months in your term. If you have completed your initial term, you cannot be charged an ETF, making it the ideal time to shop around for a better deal.

Understanding the Fine Print

• Notice Periods: Most NZ ISPs require 30 days' notice, even if you are out of contract.
• Hardware Returns: You may need to return your old router or face a "non-return fee" of $100+.
• Bundled Impact: If you switch your internet but keep your power with the same company, your power rates might increase.
• Static IPs: If you have a static IP for work or gaming, you will likely lose it and get a new one with the new provider.

Notice Periods: Most NZ ISPs require 30 days' notice, even if you are out of contract.

Hardware Returns: You may need to return your old router or face a "non-return fee" of $100+.

Bundled Impact: If you switch your internet but keep your power with the same company, your power rates might increase.

Static IPs: If you have a static IP for work or gaming, you will likely lose it and get a new one with the new provider.

Choosing the Right Connection Type for 2026

When you perform an internet switch in NZ, you aren't just choosing a brand; you are choosing a technology. While Fibre (UFB) is the gold standard for reliability and speed, covering over 87% of the country, Fixed Wireless (4G/5G) has become a popular alternative for those who don't want a physical line installed. For high-demand households in 2026, Hyperfibre (speeds up to 8Gbps) is now widely available in major cities, though it often requires a surcharge for regional areas like Christchurch or Northland.

Performance Benchmarks by Tech

• Fibre 300: The most common plan; ideal for a family of four with multiple HD streams.
• Fibre Max: Reaches ~900Mbps; best for heavy gamers and large file downloads.
• Hyperfibre: For extreme power users; offers symmetric speeds (same upload and download).
• 5G Wireless: Often "bundled" with mobile plans; good for renters who move frequently.

Fibre 300: The most common plan; ideal for a family of four with multiple HD streams.

Fibre Max: Reaches ~900Mbps; best for heavy gamers and large file downloads.

Hyperfibre: For extreme power users; offers symmetric speeds (same upload and download).

5G Wireless: Often "bundled" with mobile plans; good for renters who move frequently.

The Role of Wholesale Price Increases in 2026

An important factor driving the internet switch trend in early 2026 is the nationwide increase in wholesale fibre charges. From January 1st, 2026, Chorus and other regional providers (Tuatahi, Enable, Northpower) increased the costs they charge to ISPs. While some providers like Faro Internet and Simply Broadband have introduced "Price Lock" guarantees for new customers to shield them from these hikes, others have passed the costs directly to consumers, leading to monthly bill increases of $5–$15.

Managing the 2026 Price Hikes

• Price-Hike Guarantees: Look for "6-month no-hike" or "12-month fixed" offers.
• Regional Surcharges: Be aware that Hyperfibre in cities like Christchurch or Whangarei may cost $10–$30 more than in Auckland due to local wholesaler fees.
• Absorbed Costs: Some smaller ISPs are absorbing the January 2026 increases to gain market share.
• Setup Fees: Some providers have introduced a "one-month subscription" setup fee to cover rising activation costs.

Price-Hike Guarantees: Look for "6-month no-hike" or "12-month fixed" offers.

Regional Surcharges: Be aware that Hyperfibre in cities like Christchurch or Whangarei may cost $10–$30 more than in Auckland due to local wholesaler fees.

Absorbed Costs: Some smaller ISPs are absorbing the January 2026 increases to gain market share.

Setup Fees: Some providers have introduced a "one-month subscription" setup fee to cover rising activation costs.

Hardware Considerations: To BYO or Use the ISP Router?

When you initiate an internet switch, you must decide whether to use your own router (BYO) or take the new one provided by the ISP. In 2026, many "simple" providers encourage BYO router setups to save on e-waste and lower monthly costs. However, if you are switching to a higher speed tier (like Fibre Max or Hyperfibre), your old router may not be physically capable of handling the new speeds, leading to an artificial bottleneck.

Pros and Cons of BYO Routers

• Pro: Cost Savings: Avoid the "modem rental" fee or shipping charges (often ~$15).
• Pro: Familiarity: No need to update the WiFi password on all 20+ of your home's smart devices.
• Con: Tech Support: Your ISP may not be able to help troubleshoot internal WiFi issues if you aren't using their gear.
• Con: Incompatibility: Older routers often lack the processing power for gigabit speeds or the security features of Wi-Fi 6.

Pro: Cost Savings: Avoid the "modem rental" fee or shipping charges (often ~$15).

Pro: Familiarity: No need to update the WiFi password on all 20+ of your home's smart devices.

Con: Tech Support: Your ISP may not be able to help troubleshoot internal WiFi issues if you aren't using their gear.

Con: Incompatibility: Older routers often lack the processing power for gigabit speeds or the security features of Wi-Fi 6.

Switching to Fibre from Copper (ADSL/VDSL)

If you are still on an old copper line, an internet switch is often a necessity rather than a choice. Chorus is progressively withdrawing copper services across New Zealand in areas where fibre is available. Under the "Copper Withdrawal Code," they must give you at least six months' notice before your old landline or internet stops working. This transition is usually free and involves a technician visiting your home to install a new Optical Network Terminal (ONT).

The Fibre Installation Process

• Step 1: Consent: If you share a driveway (ROW) or live in an apartment (MDU), you may need written consent from neighbors or a landlord before work starts.
• Step 2: Scoping: A technician visits to plan how the fibre will run from the street to your house.
• Step 3: Installation: The physical cable is laid, and the ONT box is fixed to your wall.
• Step 4: Activation: Your ISP sends the router, and you are live.

Step 1: Consent: If you share a driveway (ROW) or live in an apartment (MDU), you may need written consent from neighbors or a landlord before work starts.

Step 2: Scoping: A technician visits to plan how the fibre will run from the street to your house.

Step 3: Installation: The physical cable is laid, and the ONT box is fixed to your wall.

Step 4: Activation: Your ISP sends the router, and you are live.

Bundling vs. Standalone Plans: The 2026 Verdict

A major trend in the internet switch NZ market is bundling broadband with electricity and gas. Providers like Contact, Mercury, and Genesis offer attractive joining credits (up to $200) and monthly discounts if you bring all your utilities to them. However, independent studies in 2026 suggest that while bundles are convenient (one bill), they often don't deliver the lowest overall price compared to sourcing the cheapest power and cheapest internet separately.

Is a Bundle Right for You?

• Convenience: Single app management and one monthly invoice.
• Rewards: Access to loyalty programs (like Mercury Rewards) or "Free Power Weekends".
• Hidden Costs: Higher base rates for electricity can sometimes wipe out the "free broadband" savings.
• Flexibility: Some bundles require a 12–24 month commitment, while standalone internet is often open-term.

Convenience: Single app management and one monthly invoice.

Rewards: Access to loyalty programs (like Mercury Rewards) or "Free Power Weekends".

Hidden Costs: Higher base rates for electricity can sometimes wipe out the "free broadband" savings.

Flexibility: Some bundles require a 12–24 month commitment, while standalone internet is often open-term.

Comparison of Bundled vs. Separate

• Bundled: Average saving of $5–$10 per month on the broadband portion.
• Separate: Can save hundreds annually by picking a "no-frills" power provider and a budget ISP.
• Joining Bonuses: Often only available on fixed-term bundles.

Bundled: Average saving of $5–$10 per month on the broadband portion.

Separate: Can save hundreds annually by picking a "no-frills" power provider and a budget ISP.

Joining Bonuses: Often only available on fixed-term bundles.

Legal Rights and Resolving Disputes

If your internet switch goes wrong—for example, if you are double-billed or your service isn't activated on the agreed date—you have strong legal protections under the Consumer Guarantees Act (CGA). Telecommunications services in NZ must be provided with "reasonable care and skill" and fit for their intended purpose. If your provider fails to resolve a switching issue within six weeks, you can take your case to the Telecommunications Disputes Resolution (TDR), a free and independent service.

Your Rights During a Switch

• No Misleading Claims: ISPs cannot lie about speeds or "unlimited" data that has secret caps.
• Right to Cancel: If an ISP changes its terms significantly, you may have the right to cancel without penalty.
• Fair Contracts: The Commerce Commission can take action against "unfair" terms that create a significant imbalance between you and the ISP.
• Compensation: You may be entitled to a refund or credit for downtime caused by provider error.

No Misleading Claims: ISPs cannot lie about speeds or "unlimited" data that has secret caps.

Right to Cancel: If an ISP changes its terms significantly, you may have the right to cancel without penalty.

Fair Contracts: The Commerce Commission can take action against "unfair" terms that create a significant imbalance between you and the ISP.

Compensation: You may be entitled to a refund or credit for downtime caused by provider error.

Why Switching Levels Remain Low in NZ

Despite the benefits, only about 10% of Kiwis switch their broadband each year, compared to 19% in the electricity sector. A 2025 study by the Commerce Commission found that 45% of switchers ran into at least one issue, such as delays or unexpected charges. This "switching friction" has led the Commission to call for better industry-wide protocols to ensure that "losing" providers don't intentionally block transfer orders.

Common Switching Barriers

• "Too Much Effort": 29% of consumers stay with their current provider simply to avoid the perceived hassle.
• Fear of Downtime: Concerns about being offline for days while waiting for a new router.
• Complex Bundles: Harder to unpick an internet connection that is tied to power, gas, and mobile.
• Long-term Habit: 43% of Kiwis have been with the same ISP for more than five years.

"Too Much Effort": 29% of consumers stay with their current provider simply to avoid the perceived hassle.

Fear of Downtime: Concerns about being offline for days while waiting for a new router.

Complex Bundles: Harder to unpick an internet connection that is tied to power, gas, and mobile.

Long-term Habit: 43% of Kiwis have been with the same ISP for more than five years.

Future-Proofing Your Connection for 2027

As we look toward 2027, the focus of the internet switch market is moving beyond simple connectivity to "Smart Home" integration. This involves routers that can handle 50+ simultaneous devices and AI-driven traffic prioritization. When you switch today, ensure your new hardware supports Wi-Fi 6E or Wi-Fi 7, as these technologies utilize the 6GHz band to provide wired-like speeds wirelessly—crucial for 8K streaming and VR gaming.

Next-Gen Checklist

• Symmetric Speeds: Look for "Hyperfibre" or "Symmetric" plans if you upload large video files or use cloud backups frequently.
• Public Static IPs: If you run a home server, ensure your new provider offers these for free (some charge $10+/month).
• Low Latency: For competitive gamers, look for ISPs that use "local peering" via the NZIX to keep pings low.
• IPv6 Support: Ensure the ISP is fully transitioned to IPv6 for better long-term network compatibility.

Symmetric Speeds: Look for "Hyperfibre" or "Symmetric" plans if you upload large video files or use cloud backups frequently.

Public Static IPs: If you run a home server, ensure your new provider offers these for free (some charge $10+/month).

Low Latency: For competitive gamers, look for ISPs that use "local peering" via the NZIX to keep pings low.

IPv6 Support: Ensure the ISP is fully transitioned to IPv6 for better long-term network compatibility.

Final Thoughts

An internet switch in NZ is no longer the week-long headache it once was. By 2026, the industry has matured to a point where a transfer is often a simple backend change with zero downtime for the user. While the January 2026 wholesale price rises have increased monthly bills, they have also created a window for savvy consumers to "lock in" better rates and join new providers who are absorbing these costs. Whether you want to bundle for convenience or go standalone for the absolute lowest price, the key is to be proactive: check your contract, compare the latest fibre deals, and don't be afraid to let a new provider handle the hard work for you.

For more on the regulatory framework protecting Kiwi consumers, visit the New Zealand Commerce Commission Wikipedia page.

Questions and Answers

How long does an internet switch actually take?

If you have fibre already, a switch usually takes 3 to 5 business days. Your internet only drops for about 10–15 minutes while the new router authenticates.

Will I be without internet during the switch?

Generally, no. Your old connection stays active right up until the transfer occurs. You simply unplug the old router and plug in the new one on the scheduled date.

Can I keep my home phone number when I switch?

Yes, this is called "porting." It usually takes about 3 business days, and your new provider will guide you through the process.

What is an early termination fee (ETF)?

It's a fee (usually $99–$199) charged if you break a fixed-term contract before its end date. Open-term plans do not have these.

Why are internet prices increasing in 2026?

Chorus and other wholesale fibre companies increased their charges to all ISPs starting January 1st, 2026, which has been passed on to most consumers.

Do I need a new router when I switch providers?

Not necessarily. Many ISPs allow "BYO Router," but you may need to reconfigure the settings with new login details provided by the ISP.

Is bundling internet and power always cheaper?

Not always. While bundles offer joining bonuses and convenience, separate contracts for power and internet can often be cheaper overall.

What happens if I move house and switch providers?

Moving house is a "transfer" rather than a "switch." If fibre isn't already at the new place, a new installation process will be triggered.

Who do I call if my new connection doesn't work?

Always contact your "gaining" (new) provider. They are responsible for ensuring the activation is successful once you have signed their contract.

Can I switch if I'm on a shared driveway?

Yes, but if fibre isn't installed yet, you may need to wait for neighboring consents. If fibre is already there, the switch is just as fast as a standalone home.