One NZ raises mobile pricing by $5 per month, cites 24% bump in usage

One NZ has delivered increasing profits for owner Infratil. Photo / 123RF

One NZ is increasing its pricing on a broad range of mobile plans from September 24 by $5 a month - with the telco siting infrastructure costs associated with a 24% surge in data usage.

Additionally, MyFlex prepay data pricing is increasing by $1 a month.

The mobile rises follow a round of price increases at the same level for One NZ broadband customers in April.

Rival Spark bumped up prices mid-year.

One NZ’s steps to boost its capacity include its ongoing 5G upgrade and its purchase of radio spectrum from Dense Air in May, which chief executive Jason Paris described as the equivalent of “an extra lane on the motorway”.

Spark recently revealed a fall in earnings, but One NZ has delivered increasing profits for owner Infratil, with another rise forecast for 2025.

“Mobile customers get great value with access to 24/7 connectivity at competitive prices,” One NZ head of sustainability and corporate affairs Nicky Preston said.

“Digital connectivity and mobile data use has skyrocketed, increasing 24% over the past year. We are continually investing into building more resilient infrastructure and better customer experiences, so we need to increase pricing where necessary.”

Preston added, “The level of price increase depends on a range of factors including the type of plan, usage, and the service that a customer has chosen – and we offer a wide variety of plans to suit anyone’s needs.

“To help customers reduce the cost of their next new phone, which we know is the most expensive part of their telco spend, we are helping by introducing One Wallet, a digital wallet loaded with awesome value.”

Chris Keall is an Auckland-based member of the Herald’s business team. He joined the Herald in 2018 and is the technology editor and a senior business writer.