A New Subsea Cable to Connect Australia with Singapore and Indonesia

ASSC-1 Communications Group Pty Ltd announced on January 19, 2012 to deploy a new subsea cable connecting Australia, Indonesia and Singapore, the Australia-Singapore Subsea Cable (ASSC-1). ASSC-1 will bring more competition in Australian capacity market.

The ASSC-1 cable system will comprise four fibre pairs and span a distance of 4,600 km. There will be three express fiber pairs directly linking Perth and Singpare and and one omnibus fibre pair between  Perth, Jakarta and Singapore. The ASSC-1 cable will  land at the Perth cable landing station which is owned by Telstra who has commited to by one of the 4 fiber pairs of the ASSC-1 cable system. And Matrix Networks in Perth will contribute for the Jakarta Landing through their own cable landing station for Matric Cable System. 

The ASSC-1 cable system will have an initial design capacity of 6.4 Tbps, running at 40 Gbps technology, with the capability to be upgraded to 100 Gbps in the future.

Australia is one of the most hotest market in this surge of investment on submarine cable systems. Besides the ASSC-1 cable system, another undegoing subsea cable, the Australia-Singapore Cable (ASC), will link Perth and Singapore as well, and the Pacific Fibre and the trans-Tasman Optikor Networkare underway to link the east of Austalia with New Zealand and onwards to the United States.

With these four new subsea cables, and the existing PPC-1, Telstra Endeavour and Southern Cross Cables Network linking Australia and the United States and AJC and SMW3 linking Australia an Asia, there will be more balanced capacity supply and demand in Austalia market where international subsea cable capacity price is much higher than other regions.

Facing the potential competitors, Southern Cross Cables Network announced to cut wholesale capacity pricing on the Southern Cross Cable by up to 44%.

The competition in Australian capacity market is steadly growing.

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