Communications and Information Technology Minister Amy Adams will take a hands-off approach to the prospect of regulating video delivered over a high-speed internet platform.
Mrs Adams told the Future Broadband Conference in Auckland that it's too early to stifle industry with burdensome regulation, and she will try to avoid unnecessary intervention.
"I'm cautious about reaching for regulation as a solution at the stage when it is still too early, in my view, to anticipate how the competitive content market will look in a UFB (ultra-fast broadband) environment," she said.
"While the innovative services that have been launched in overseas markets are yet to make significant impact here, I'm concerned that premature government action could in fact stifle innovation in this space."
The conference where Mrs Adams delivered her speech is part of the Commerce Commission's demand-side study into UFB uptake, and will discuss the nation's internet opportunities.
Mrs Adams said she is sceptical of a joint broadcasting and telecommunications regulator, saying the regulatory structure hasn't settled down yet, and markets may solve any problems on their own.
Video content, such as blockbuster movies, live sports events and top-rating television programmes, have been flagged as likely early drivers for end-consumers to buy into broadband, which is currently the major form of traffic on existing internet protocol networks.
Following the minister, Alcatel Lucent New Zealand managing director Andrew Miller released a report saying the government's $1.5 billion investment in ultrafast broadband in urban and provincial areas, and its rural broadband policy will result in major productivity gains.
Mr Miller told the conference those gains in gross domestic product will be in the order of $1.37 for every $1 of capital expenditure.
NZN