NZ ISPs to stop 'global mode' from September after cutting deal with broadcasters

Wednesday 24th June 2015

New Zealand internet service providers offering their customers the ability to circumvent regional restrictions on content they can access over the web will stop offering those services from September in a deal cut with broadcasters who were taking them to court.

Pay TV operator Sky Network Television today said it has dropped legal proceedings against the ISPs after reaching a settlement, which will see the 'global mode' unavailable in New Zealand from Sept. 1.

Sky teamed up with Television New Zealand, Media Works TV and Lightbox, Spark New Zealand's online streaming service, to take the action against Bypass Network Services, CallPlus Services, Orcon and Flip Services over the service, claiming it breached copyright obligations and the Fair Trading Act.

Online streaming video has become increasingly competitive as traditional broadcasters and telecommunications companies alike have seen it as an avenue to replace some of their shrinking revenue streams.

While the broadcasters were adamantly opposed to the 'global mode' service, they've been less stringent in their opposition to virtual private networks (VPNs), another way consumers can get around regional blocks.

BusinessDesk.co.nz

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