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New Zealand’s digital leaders want to see more government participation and partnerships in technology and are calling for more visible, strategic and impactful action to drive economic and productivity benefits.

That was a key finding in the Technology Users Association of New Zealand’s “Digital Priorities 2025” report, released on Tuesday, outlining the key challenges and opportunities facing New Zealand’s digital landscape.

The research polled digital leaders on the government’s actions and leadership in digital technology to find the overwhelming sentiments were disappointment and a sense of invisibility.

“Several digital leaders struggled to pinpoint specific government initiatives in the digital technology space this year,” the report said. “Some leaders say they ‘haven’t really heard much about what they’re doing at all’, while others ‘struggle to see what they’ve done.’”

A common view was that government restructuring and shifting priorities had sidelined digital technology and this was seen by many as a missed opportunity.

“There is a strong perception that the government lacks a coordinated and strategic approach to digital transformation, with some leaders stating, ‘we don’t have a digital ambition’,” the report said. “While there may have been enthusiasm and rhetoric, many feel it has yet to translate into meaningful action.”

Increased government engagement also needed to be balanced with the right regulatory settings to enable private companies to thrive, the research found.

TUANZ’ fifth annual report, delivered in partnership with One New Zealand and TechLeaders Executive, includes insights from interviews with 36 CIOs and CTOs.

“This year’s report paints a clear picture of the pressing issues facing Aotearoa New Zealand’s digital future,” said TUANZ CEO Craig Young.

“We are at a critical juncture where we must address escalating cybersecurity threats, bridge the widening tech talent gap, and ensure digital inclusion for all New Zealanders.”

It was also vital we accelerate technology adoption and harness data effectively while navigating generative AI, Young said.

“We need the government to step up in the right places, and we acknowledge this requires support from industry to drive meaningful change together.”

Key findings reveal that while New Zealand showed strength in areas like e-commerce legislation and online banking access, it lagged in technological infrastructure and adoption. Digital leaders also expressed concern that New Zealand was being outpaced globally and rate the country an average of six out of 10 for adoption of new technology.

Escalating cybersecurity risks were top of the priority list.

Kieran Byrne, CTO at One New Zealand and one of the interviewees, said cybersecurity was always top of mind in terms of risks that need to be managed.

“The threat landscape is evolving so quickly, and the industry needs to work closely with partners and government agencies to ensure telecommunications infrastructure remains highly resilient, and our economy and people remain protected from these cyber threats,” he said.

Other digital priorities identified in the report included: bridging the tech talent gap, digital inclusion, accelerating technology adoption, harnessing data, and generative AI.

The report also highlighted that New Zealand fell toward the lower end of the global scale when it comes to technological infrastructure.

Tech Leaders co-chair Liz Gosling said the organisation’s ambition was for Aotearoa New Zealand to be a world-leading, trusted and successful digital nation.

“To achieve this, we must address the issues raised in this report with urgency,” she said. “We need to bridge the digital divide, invest in our people, and foster a culture of innovation.”

Key recommendations from the report include:

• Prioritising security by design and enhancing collaboration to address cybersecurity risks.
• Investing in local talent, promoting STEM education and partnering to close skill gaps.
• Improving infrastructure, making technology affordable and promoting digital literacy for digital inclusion.
• Implementing robust governance and standards for responsible AI use.
• Developing a national digital strategy and incentivising technology adoption for SMEs.
• Establishing clear policies for data use and enhancing data security.

Young said New Zealand needed to ensure it was well positioned to benefit and not be left behind due to slow or inefficient technology adoption.

“This includes the right sort of regulatory intervention, and a focus on government support not necessarily legislative action,” he said.