If the reorganisation goes to plan, there will be two listed companies coming from the existing Telecom structure - Chorus and a services-oriented company.
Chief executive Paul Reynolds said the company had presented a binding offer to Crown Fibre Holdings and had accelerated the reorganisation of its business to meet the challenge of a fibre-based world.
"Our proposal meets all of the key components of the UFB vision.
It would see the creation of a completely new listed company - Chorus - to deliver an open-access, national fibre-to-the-home network."
Chorus' fibre services would reach 75% of New Zealand within 10 years and Telecom believed it satisfied all of fibre holdings' competitive pricing requirements, Dr Reynolds said.
Because Telecom was engaged in an intensely competitive process with other bidders, and the Crown must decide, the company retained a degree of caution.
Telecom's bid represented a once-in-a-generation opportunity for New Zealand to create a national, entirely open-access fibre network which built on what was already installed, avoided needless duplication and utilised a first-class team of experts, he said.
Competition and consumer choice would flourish and the network would attract investment of up to $6 billion.
Should Chorus be selected as the Crown's partner in the 25 regions remaining to be allocated, Telecom would move to structurally separate, subject to shareholder approval, Dr Reynolds said.
Telecom would change whether or not it was chosen as the Crown's partner.
The organisational changes under way would allow a further reduction in costs and play a role in bringing world-class services to New Zealanders, he said.
Some of the changes announced included:
• An executive team being reduced from 10 to eight members. The new structure aimed to eliminate duplication in corporate services, technology platforms, products and customer deliver process.
• Mark Ratcliffe, who had led Telecom's UFB bid team, would resume his role as chief executive of the Chorus business unit.
The regulated wholesale business would progressively align with Chorus in the coming 12 months.
• A new executive role - that of chief product officer - would be created to improve the performance of product and pricing activity across the company.
Teams from retail, Gen-i, commercial wholesale and Telecom New Zealand International would move into the new business unit.
