SACS, the first South Atlantic Cable System

Capacity Watch

Following the first edition of the Top Stories on Submarine Cable Networks, I'd like to share herein its second edition, the top stories of 2012 on Submarine Cable Networks.

1. No disaster, a rather healthy year.

In 2012, global submarine cable networks run rather healthy.
Unlike in the former years, such as Japan earthquake and tsunami in 2011, Taiwan earthquake and typhoon Morakot in 2009, cable cuts in the Mediterranean affected 14 countries in 2008, and Taiwan Hengchun earthquake in 2006, there were disasters and accidents resulted in regional and even global impacts to submarine cable networks and global traffic. Although there were cable cuts from time to time in 2012, the whole submarine cable networks kept rather healthy and resilient.
No disaster, no story, this is the best story of the year 2012 on submarine cable networks.

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Source: TeleGeography

Prices for wholesale IP transit services continued to decline globally over the last few years. 
TeleGeography has identified that GigE ports declined at a compounded annual rate of 34% in London, 28% in New York, 26% in Hong Kong and 20% in São Paulo between Q2 2009 and Q2 2012.

Although prices have declined globally, significant geographic differences remain. TeleGeography notes that the median GigE price in Hong Kong has remained 2.7 to 5.1 times the price of a GigE port in London over the past three years.

Similarly, the price of a GigE port in São Paulo has remained between 5.2 and 8.2 times the price of a comparable port in New York. 

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Source: Capacity Magazine's interview to Chris Wood, CEO at African cable consortium WIOCC.

Chris Wood has overseen the remarkable rise of one of the largest subsea cable consortium groups in telecoms today. The WIOCC CEO shares his African adventure with Kavit Majithia.

Chris Wood, CEO at African cable consortium WIOCC, conducted this interview from the heady heights of Mount Kenya. 

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New Delhi - August 7th, 2012 – Reliance Globalcom, a leading global provider of connectivity, hosting and managed services for multinational enterprises and carriers, today announced availability of 10G LAN PHY, a dedicated Ethernet point-to-point service, as a standard service offering across all the major destinations on its global network.

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Southern Cross today announced in January 2012 the availability of the first 200G of capacity on the  Southern Cross Cable Network, a 28,500 km submarine cable system linking Australia, New Zealand and the US. And Southern Cross will offer a price reduction of up to 44 percent. In the meantime, Southern Cross also announced the deployment of 100G transmission equipment by December this year. 

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First of all, at this moment of the year ending,  Submarine Cable Networks hopes you all a fantastic holiday and a prosperous new year, happy and healthy.

In the year 2011 in our submarine cable industry, we experienced disasters, we were excited for the application of new technologies, we were happy there had been a surge of investment and there were new projects worldwide.  Taking a look back, I'd like to list some top stories of the year 2011.

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November 9, 2011 -- According to CCTV News, the National Development and Reform Commission (NDRC) confirmed today it has officially launched an anti-monopoly investigation into China Telecom and China Unicom on their broadband internet access services. China Telecom and China Unicom may be fined up to 10 percent of their annual revenues from internet services.

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Beijing, October 13, 2011 -- China Telecom and Orange yesterday signed a strategic partnership framework agreement in Beijing in order to make the most of the complementary aspects of their networks and services. Mr.Stéphane Richard, Chairman and CEO of France Telecom-Orange, and Mr. WANG Xiaochu, Chairman of China Telecom executed the agreement.  The new partnership may signal that Orange has abandoned its former Chinese partner, China Unicom.

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In the recent Asian Carriers' Conference 2011 (ACC 2011) in Cebu, the Philippines, KDDI promoted its aggressive offers and solutions over the Russia-Japan Cable Network (RJCN) and the Transit Europe-Asia (TEA) cable system. The IPLC/IEPL price over TEA cable system will go down significantly. The other providers offering Transit Europe-Asia solutions over the TEA cable system and the ERA cable system may have to adjust their prices.

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