Ok, sky siad yes the older digital decoders will opperate still, the only thing that won't function any more is the ability to book moveis, interactive TV, upgrading, adding channells, ect, because they all require a phiscal phone connection, all these will have to be done manually.

It's a lot different to Aussie, I work for an aussie ISP and none of these things will work with out a physcial phone connection to a Telco, but Naked DSL is taking off over there now, we were the first ISP in Aussie to launch Naked DSL, with in the first week of lanuching it we had just over 900 customers signing up for it, were about a month into it now and have around 2500 customers on Naked DSL and about another 1500 still waiting to be connected to Naked DSL.
The difference between Aussie and NZ Naked DSL is we run on ADSL1 and Aussie only run it on ADSL2+ which isn't available Aussie wide yet.
But there's still going to be downfalls on either product, Nakded DSL is easier to trouble shoot 97% of the no sync on Naked DSL is caused by either something happening at the exchange, or between the ISP and the exchange as we have witnessed in Aussie so far with Naked DSL.

But the faster NZ rolls out Naked DSL the better, actually the faster xnet rolls out Naked DSL the happier I'll be :)