Other All Blacks heading to Europe
• Carter confirms move to Racing Metro
• Frank Halai signs with English side
• Nonu signs with Toulon
• Franks joins growing exodus
"I've loved my time in the All Blacks and I wouldn't change a thing but it does require a lot of time away from home and that wasn't a sacrifice I was willing to carry on making," he said.
"So that's why we were looking at something else and also, we wanted to live in Europe, which is something we've wanted to do for a while as well.
"I'm 33, coming up 34, but physically I feel the same as I was eight years ago. But it's definitely those other factors that led me to this decision."
Pau are coached by former All Black Simon Mannix and Smith said there would be an opportunity for him to do a spot of coaching with the side, although his lack of French may halt the process.
"I'm open to it and the little bits I've done, I have enjoyed," Smith said of coaching.
Pau is a small city with a population of around 85,000 and although the process to sign the contract was quick, Smith said he asked former teammates such as Ali Williams about what it was like to play in France.
"I do my research and I don't make decisions lightly," Smith said. "So I've spent a lot of time talking to the people inolved with the club."
The All Blacks could play up to 12 tests this year depending on how they go at the World Cup, which would likely mean Smith would be stuck somewhere in the mid-90s when he leaves but he said staying on to play 100 tests wasn't a focus.
"I've been asked about it a few times," Smith said of the milestone. "It's a nice round number but every test I've played has been a special memory."
Smith is the longest-serving player on the Hurricanes roster and the skipper said he would love to finish his time in New Zealand with a Super Rugby title.
"There's a lot of excitement within the team but it's a tough competition. We know we are going to have to start well."
The Hurricanes begin their campaign against the Lions in Johannesburg next Saturday and Smith said he would be available for selection.
Chris Boyd's side were due to meet the Blues in Auckland today as they completed their pre-season preparations but, like many of the team's All Blacks, Smith wasn't in the playing squad.
Conrad Smith
85 tests for the All Blacks
25 test tries
Has won 90% of the tests he has played
Made his debut vs Italy in Rome in 2004