Broadband Cable Proposal To Meet Regional Demand

New Australasian Broadband Cable Proposal To Meet Regional Demand

Telecom New Zealand, Cable & Wireless Optus, and Singapore Telecommunications (SingTel) today announced they are investigating a proposal to establish a new telecommunications cable system between Singapore and Sydney. A feasibility study is currently underway.

If the proposal goes ahead, a submarine cable will be built linking Singapore, Jakarta and Perth. From the new cable, connections can be made throughout Australia and the Asia-Pacific region via the carriers’ existing cable networks.

Simon Moutter, Group General Manager Network, Telecom New Zealand, said an Asia to Australia link could complement the recently commissioned Southern Cross Cable Network.

“Our investments in cable have reaped rewards - operationally and financially. Similarly, if this proposal goes ahead, it would be a solid investment opportunity for all three companies,” Mr Moutter said.

Chris Hancock, Managing Director, Data & Business Services of Cable & Wireless Optus, said the companies were in early discussions and were interested in exploring opportunities to fulfil increasing broadband demands in the Asia Pacific region.

“The Asian region is a large and rapidly expanding market for corporate and IP services. All three companies have identified a growing need for robust infrastructure between Australia and Asia,” Mr Hancock said.

“Our customers are demanding more and more bandwidth as they e-enable their businesses. This cable can forge an important link between the businesses of Asia and Australia.

“Subject to Board approval – and detailed financial terms – we believe this is a great proposal,” Mr Hancock said.

Mr Lim Shyong, Executive Vice President (Global Business) of SingTel said the cable would be suitable for mission-critical data and high bandwidth applications.

“We are very excited about this prospective joint-venture as Australia has always represented an important part of our regional expansion plans.

“With the increasing demand for bandwidth in the region it makes perfect business sense for us to provide an efficient and cost-effective solution.

“The three companies already carry significant traffic on this route and our capacity requirements will continue to expand. By committing to work together, Singtel, Telecom New Zealand and Optus can plan to meet demand for years to come,” he said.

The proposed cable system will utilise Dense Wavelength Division Multiplexing (DWDM) technology and will vastly expand the capacity for streaming video, Internet traffic and other IP network-based applications.

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