I know Snap have their servers in Christchurch, but how does it work in Auckland? Are their naked DSL/broadband services provided through Telecom's exchanges?
Yes most residential ADSL plans from most ISP's are provided via Telecom wholesale plans/equipment.
Some notable exceptions are: The Vodafone Red Network, Orcon+ and Slingshot Next Big Thing plans where they are operating on their own equipment in the exchanges.
Roughly it goes like this:
Your house > Copper Phone Line > Exchange/Cabinet > Backhaul network > ISP handover point > ISP network .....
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