The mobile phone provider Two Degrees says it can now offer a full range of telecommunication services to customers with the purchase of Snap.
The chief executive of 2degrees, Stewart Sherriff (left) with Snap's owner and chief executive, Mark Petrie, who becomes a shareholder in the mobile phone operator after it bought Snap for an undisclosed sum Photo: RNZ / Nona Pelletier
The telecommunications company has bought the internet service provider Snap for an undisclosed amount, giving it access to the fixed line and broadband markets.
Two Degrees chief executive Stewart Sherriff said the purchase would allow it to offer broadband and mobile services to consumers, business and large organisations throughout the country.
"It's hugely significant. It's significant for us and allows us to be a total telco.
"If you think about the telecommunications landscape there's only two people out there who can provide you a fixed and mobile offering at the moment, that's Telecom and Vodafone.
"And that's a similar scenario to what it was five years ago in the mobile industry until Two Degrees came along," he said.
"So I think this is an opportunity for us to introduce true challenge of brand into that market space and really be innovative and disruptive."
Snap chief executive Mark Petrie will become a shareholder in Two Degrees and join the senior leadership team in charge of the fixed services division.
The Two Degrees workforce will expand to 900 staff, with the addition of Snap's 120 personnel.
The two companies have been working in partnership over the past two years and Mr Sherriff said there would not be any immediate change for customers, with the integration of back office systems to take place over time.