I went back and looked at the early part of the thread. It is pretty laughable.
The reason we don't get VDSL DSLAMs in the exchange is indeed crosstalk. And there are all manner of RF electrical engineering reasons why crosstalk is a threat to DSL.
However, the reason that this crosstalk is a threat in Britain but not NZ is, well, typically British...
Here's some light reading http://www.niccstandards.org.uk/files/current/nd1602...
The ANFP tells you what is and isn't allowed. But it doesn't really go into details *why*.
There's a newer report out of NICC as a result of a study whether VDSL2 could ever be allowed from the exchange:
ND1517: Report on the Technical Feasibility of Deployment Options for VDSL from the Exchange
That document makes it clear that, if EO lines were really pure EO lines, then VDSL2 would be feasible.
The problem is that EO lines aren't really pure - they can share the E-side and/or D-side with cabinet-based lines - and that such shared wiring isn't well documented. Even worse, EO lines have been patched into cabinet-based D-sides in small segments, as part of fault-fixing.
It also seems that the biggest risk appears to be to upstream signals, especially as UPBO is in use.