The government is committing $22m over four years in an effort to fight cyber attacks which can cost millions.
The move, announced today by Prime Minister John Key, aims to crack down on potentially-damaging attacks, which impact New Zealand businesses every year.
"There are major New Zealand companies that have been subjected to major cyber attacks," Mr Key said.
An emergency response team will be set up to jump into action when a cyber attack is detected, and will help to "better understand emerging cyber threats in a cyber landscape."
A total of $22 million has been set aside for the project over four years.