Britain took second, with Kristina Cook's clear round nailing the silver, as the roars of delight rolled around the jumping arena.
Germany finished on 133.7 penalty points, Britain were on 138.2 and New Zealand ended on 144.4, with Sweden fourth on 148.4.
New Zealand have endured a relatively lean period on the international stage over the last couple of Olympics.
However that changed for London, with Todd back in form, Andrew Nicholson among the best performers this European season, and Jock Paget having emerged as a rider of world class potential.
The morning was given over to a nail-biting duel between the top four countries - leaders Germany, Great Britain, Sweden and New Zealand, who began the day on 133.4 penalty points, 8.7 behind the Germans.
All five team members jumped, with the top three scores counting in the medal calculations.
With a rail down counting as four penalties, it was a gripping morning, as fortunes ebbed and flowed.
A range of British royalty was present, including Princess Anne, herself a former Olympic eventer, watching her daughter Zara Phillips riding her horse High Kingdom.
First off for New Zealand, Jonelle Richards riding Flintstar, completed the 12 obstacles, comprising 15 fences, but had nine time penalties.
After Caroline Powell aboard her ageless little grey Lenamore, had one rail down, other riders' efforts meant New Zealand had moved up to third.
Jock Paget, third up on Clifton Promise, dropped one rail early, but completed the journey inside the allotted 83 seconds, and that bumped New Zealand briefly into the silver medal spot.
Phillips clattered a rail, as the crowd, and who had given her a rapturous reception, went silent.
The riders with the best marks over the first two days rode last for each country.
And that left New Zealand's two senior duo, Nicholson and Mark Todd, both contesting their record seventh Olympics, to see the job through.
Nicholson on the fine Nereo completed his round inside the time and without a hiccup, leaving Todd to confirm the bronze, albeit with just one dropped rail to spare from the fast-finishing Swedes.
Nicholson, Todd, Paget and Powell all qualified for the top 25 jumpoff for individual medals later in the morning (NZT).
TEAM PLACINGS
* 133.7 - Germany
* 138.2 - Great Britain
* 144.4 - New Zealand.