Special Insert: ISSN 1948-3031 Submarine Telecoms Forum Is Published Bimonthly by WFN Strategies

 55 JAN Voice 2011 of the ISSN 1948-3031 Industry

Special Insert: ISSN 1948-3031 Submarine Telecoms Forum is published bimonthly by WFN Strategies. The publication may not be reproduced or transmitted in any form, in whole or in part, elcome to Issue 55, our Global are in the industry today. We are adapting without the permission of the publishers. Outlook edition. this year the magazine and RSS Feed for Submarine Telecoms Forum is an the executive on the go, adding some independent commercial publication, WThis month marks the truly digital advances. We are improving serving as a freely accessible forum for th professionals in industries connected with beginning of SubTel Forum’s 10 year in and adding to the utility of our industry submarine optical fibre technologies and circulation. The annual calendar is out; the techniques. tools. In the coming months, we hope submarine cable map is presently winging Liability: while every care is taken in you will enjoy the roll-out of some rather preparation of this publication, the its way to walls around the globe; we are interesting SubTel Forum enhancements, publishers cannot be held responsible for packed and ready to escape the snow in the accuracy of the information herein, or many of which the boys in the backroom any errors which may occur in advertising Virginia for leave at PTC in Honolulu. or editorial content, or any consequence say will simply work! arising from any errors or omissions. We start 2011 with a renewed sense of Should you be attending PTC, please come The publisher cannot be held responsible direction and purpose. We have honed the for any views expressed by contributors, by our booth to say hello; and as always, and the editor reserves the right to edit any magazine themes to better reflect where we advertising or editorial material submitted save me a seat at the Mai Tai Bar. for publication. Contributions are welcomed. Please forward to the Managing Editor:

PUBLISHER Wayne Nielsen Tel: +[1] 703 444 2527 Email: [email protected]

EDITOR Kevin G. Summers Tel: +[1] 703 468 0554 Email: [email protected]

News Now 4 PTC'11: It Takes A Village 27 Back Reflection 49 Stewart Ash & Kaori Shikinaka The Connected World: 2010 6 2011: The Year Of The Investment 31 Development in Review & 2011 Into Neutral, Dark Fiber Network Conferences 53 Outlook Stephen Jarvis Infrastructure Hunter Newby Letter to a Friend 54 A Look Ahead To Transatlantic 10 Connecting The Middle East 35 Jean Devos Subsea Growth & Opportunities Region With Sub Sea Cables And In 2011 Jaymie Cutaia Communication Services A Funny Thing Happened... 55 Ilissa Miller PTC'11 Preview: Welcome 14 Advertiser Index 56 Capacity Just Waiting Connecting 39 Coda PTC'11: Overview 16 Australia’s Nbn Future To The 57 Kevin G. Summers Globe Ross Pfeffer PTC'11: The Industry Needs Its 20 Champion John Hibbard

3 News Now  Cable Firms Accused of Paying Bribes  Liberia Hosts International  Superonline Collaborates on Regional Broadband Connectivity Workshop Cable Network Project  Columbus Networks Builds On Metaswitch  LIME-US$35M submerged cable  Telkom Kenya to Invest 5 Billion to link Dominican Republic, the Shillings in Network  Deep in the ocean, internet networks Caribbean hang by a thread  Undersea cables: Still waiting for  Mada signs Regional Cable Network price crash  EASSy to double capacity agreement to transform Telecom in the Middle East  Verizon Marks Another Year of  EPOCH Launched by OMM Expanded Network Reach, Increased  Main One and Galaxy Backbone set Capacity and Enhanced Performance  Gulf Bridge International (GBI) to deliver Broadband services to the And Subcom Commence Marine Public Sector at a lower cost.  WFN Strategies Headed to the South Operations For The GBI Cable System Pole  MTN Rwanda Expects to Land  Hibernia Atlantic Achieves An EASSy Cable Early Next Year  WFN Strategies to host a workshop at Important Milestone For Project PTC 2011 Express  Palapa Ring to be completed by 2012

 IMEWE submarine cable launched for  Southern Cross labelled vital in commercial use Wikileaks cable

The Connected World 2010 Development in Review & 2011 Outlook

Stephen6 Jarvis ach year, one of the major marks of of the new cables is EIG. Costing $700 growth in the Telecoms Industry million and 15,000 km in length, it adds 3.84 Eis also one of its most tangible: Tbps and connects the UK, France, Monaco, the laying and activation of new cable. Portugal, Gibraltar, Portugal, Libya, Egypt, In difficult economic times, the industry Saudi Arabia, Djibouti, Oman, the United has managed a notable expansion, with Arab Emirates, and India. a number of cables successfully launched Three cables have been launched in the for business. In 2010, eleven new cables regions of Africa and South Africa. Main were activated, creating a combined One, Lion, and EASSy average 2.1 Tbps increase of over twenty terabits per second and connect many African countries both of bandwidth in the Middle-east, Africa, to the west and to the east. The largest and other regions. cable, also with the greatest bandwidth, is Historically, new development happens in EASSy. It is 10,000 km long and connects bundles and regions. Occasionally, this is South Africa to Sudan via landing points in due to power shifts, an area’s international Mozambique, Madagascar, the Comoros, importance, but mainly it is just a matter Tanzania, Kenya, Somalia, and Djibouti. to various parts of the world. The Honotua of timing. Connections spread, the world Main One currently has operating landing cable, for example, has created new, and moves on, and it is time for another region points in Nigeria, Ghana, and Portugal and in a few cases, the first, links to several to step into the limelight. If 2010 is any plans are underway to open a second stage Pacific islands such as Bora Bora, Huahine, indication, this time belongs to the Middle extending to South Africa. The remaining Moorea, and Tahiti; all of which are now East and Africa. new cables provide improved bandwidth connected by Honotua to Hawaii.

Of the nine newly activated cables, five Name Capacity Region Length of them go to the Middle East: EASSy, EASSy 3.84 Tbps Africa, Middle East 10,000 km EIG, I-ME-WE, MENA, and TE North. EIG 3.84 Tbps Europe, Middle East 15,000 km These cables bring an average of 3.6 HONOTUA 32x10 Gbps Society Islands, Hawaii 4,520 km terabits per second to the region. The I ME WE 3.84 Tbps Africa, Middle East 12,019 km highest bandwidth among them is Lion 10 Gbps/fibre pair Africa 1,00 km MENA, a $400 million system, 8,000 Main One (Phase 1) 1.92 Tbps Europe, Africa 7,000 km km long, and providing 5.7 Tbps. It connects Italy and Greece to a number MENA 5.7 Tbps Europe, Middle East 8,000 km of countries including Egypt, Saudi SG-SCS 10 Gbps South America 1,127 km 7 Arabia, and India. However, the largest TE NORTH 1.28 Tbps Europe, Middle East 3,100 km For 2011 and beyond, there are already no systems for both regions. These include less than twenty-two new cables planned. cables off the both the eastern and western Planned Cables Of them, two particularly innovative cables coasts of Africa (WACS, ACE, Main One, ACE were announced in 2010: the Arctic Link e-five, and LION-2) and again in the and Project Express cable systems. The Middle East (GBICS, Flag HAWK). As APG Arctic Link is a planned cable connecting these areas continue to step out into Arctic Link Asia with Europe, routed through the the global spotlight, the future of world Challenger Arctic. The cable will be 16,093.5 km and communications looks bright. pass through Japan, the United States, efire Stephen Jarvis is a freelance writer in the Canada, Greenland, the Arctic region, Washington D.C. area. He has published Flag Hawk and the United Kingdom, a daunting articles and done editorial work with several undertaking. GBICS publications including Submarine Telecoms Global Nexus Project Express, on the other hand, will Forum. Also, he has been a speaker for the serve a very different purpose. It will be Popular Culture Association / American Khulna Chennai the first new cable since 2003 to cross the Culture Association National Conference. LION 2 Atlantic. Given its planned activation for 2012, this will be nearly ten years since any Marix new cables have been laid in this region. Pacific Fibre However, it differs greatly from previous Project Express trans-Atlantic cables following the same route due to its primary usage by the SCAN financial sector. Project Express is planned Seahorse - 1 link the banking hubs in New York, Chicago, Toronto, Frankfurt, and London, SJC and all with extremely low latency. SPIN While the economic climate has not been a TPE Phase 2B friendly one in 2010, the telecoms industry Trans Tasman is still growing. With the continued business in the Middle East and Africa UNITY the prospect for sustained improvement Venezuela Cuba is hopeful. Last year’s additions are WACS 8 nearly dwarfed by the six new planned 9 A LOOK AHEAD TO TRANSATLANTIC SUBSEA GROWTH & OPPORTUNITIES IN 2011

10 Jaymie Cutaia THE FINANCIAL INDUSTRY Source: The & SUB SEA CABLES Guardian The financial trading marketplace has See full map changed significantly in the past few years, here in large part due to distinct advancements in technology, networks, equipment and in the delivery of critical information. By shaving micro and milliseconds off of the routes that the financial data travels, from broker firms, hedge funds, and market data providers to financial Exchanges, millions of dollars can be gained or lost. Each component of a specific low latency route - from the software the trader is using to the computer systems to the fiber connectivity to the optical and transport systems connecting the fiber – can make significant differences in how fast the overall trade can be conducted and the dollars/Euros involved.

It’s no wonder that in a recent study by world’s financial networks are built subsea cable which was completed in Ovum, as reported by Bob’s guide recently, upon—it all starts with subsea fiber optic 2001). Whether these cables were built illustrated that technology investments by cable systems that support the massive by a consortium of telecommunications financial services industry will grow by amounts of data that speeds back and companies like TAT-14, or owned by 4.5% in 2011. Many financial houses and forth across the globe every second. As private companies such as Hibernia exchanges are clamoring to keep up with the majority of financial trades are made Atlantic, these high-speed systems are the technology to ensure its used optimally between New York and London, let’s relied upon to deliver information that within their IT infrastructures. explore this region a bit further. Subsea drives global business, financial markets, transAtlantic fiber optic cable systems and everyday consumers. In essence, if So how can the financial arena keep up have been in place for years – from the first there is information that needs to cross the and stay competitive? What’s needed on a one, TAT-8, which went into operation in Atlantic Ocean, it does so on one of these global scale to support this growth and the 1988 to others that followed, including cables. fast-pace of technological advancements? TAT-9-14, CANTAT 3, PTAT-1, Apollo, AC- At the very foundation of trades and 1, AC-2/Yellow, Flag, VSNL, and Hibernia transactions is the infrastructure the 11 Atlantic (utilizing the 360 Networks risk. Therefore, having diverse subsea cable system, Project Express. A state-of- paths, as well as direct, low-latency the-art submarine network build designed crossings, are critical for any specifically for financial community network operator. stretching from North America to Europe. This subsea build will be completed As initially discussed, Summer 2012, and will offer the lowest financial firms need latency route from New York to London to continuously boost with just 60 milliseconds round trip delay performance and reduce the and will also connect Toronto to London latencies on their network at sub 70 milliseconds. This historic paths. The most lucrative trade build strengthens Hibernia Atlantic’s THE COMPETITIVE LANDSCAPE is the one that is conducted faster existing Global Financial Network, which But are all subsea cables created equally? than the others, which can capitalize already connects hundreds of banks, In general, the more modern the cable line, on small changes in the market, and financial exchanges, data centers and key the safer the communication flow. Other therefore, gains can be huge. You can see carrier hotels across major financial cities competitive advantages include available why achieving the lowest latency possible including Amsterdam, Chicago, Dublin, capacity (as today’s consumer, financial across key financial routes is highly sought Frankfurt, London, New York, and and streaming media needs, to name a after. Carriers and service providers buy Toronto. few, require large amounts of bandwidth). routes/paths on these transAtlantic cable Additionally, location is imperative. The systems to form their own networks and Initially deployed with 40 Gigabit fastest distance between Point A and B infrastructure and ultimately sell capacity technology, Project Express will be a boon is a direct line—so the most direct path to enterprises, multinational corporations, to financial community who can capitalize between two cities, New York to London and financial firms. The newer subsea on some of the lowest latency routes in the for example, takes the least amount of time cable systems were built with increased world – further ensuring they make the to transport data. But also location is key redundancy and diversity to ensure data fastest possible trades. Some would argue as too many cables in the same congested transmissions have maximum uptime and that there is a glut of fiber connecting areas, such as around the NYC and availability. If an outage occurs on one part North America to Europe with all of the London waterways, cause vulnerabilities. of the cable system the data traffic can be existing subsea systems; however with For example, a fishing ship drops its automatically re-routed to another path – today’s ever-increasing consumption of anchor along the sea floor when casting ensuring network availability. bandwidth and the need for secure, fast its nets. A common cable outage is caused routes, there are only a few, modern cables by these anchor trawlings, and as there are NEW SUBSEA BUILDS that can adequately support this growing many fishing boats in these London and ON THE RADAR demand. Hibernia Atlantic is banking New York seaports, and as there are many There hasn’t been a transAtlantic build for on the aggressive quest for the lowest subsea cable landings within a 50-mile the past ten years or so, until now – with latency to fill up its cable system with Hibernia Atlantic’s newest plans for its financial firms, market data providers and 12 radius as well, cable security is at a high and continue to push New York to London, and considering the the technological natural arc of the Earth, this allows our envelope to achieve new cable to pass through New England the lowest latency and Canada before connecting to the UK. and in ultimately So in one calculated plan, we are removing making bigger bucks. unnecessary latencies, deploying the latest modern cable technologies and including “In 2011, we will see a future growth strategies, such as including further push towards branching units for future latency technology, both enhancements to the US and Continental by the consumers Europe. We are planning today for and by the network tomorrow’s bandwidth demands. o p e r a t o r s , ” states Bjarni “It is our belief here at Hibernia that 2011 Thorvardarson, CEO and beyond will be filled with innovative of Hibernia Atlantic. subsea and terrestrial cable innovations, Exchanges. The first phase of the build will “ C o n s u m e r s where network operators are constantly be a new cable from the County of Somerset are driving the need for bandwidth, trying to optimize both new and existing in the United Kingdom, to Halifax in with smartphones, tablet and mobile cable lines, in preparation for tomorrow’s Canada then connect to Hibernia’s current applications, content uploads, streaming bandwidth, security and latency low latency cable from Halifax to New video and more. Additionally, the demands. The market is driving this; York City. The future brings increased average user is spending more time online we need to ensure we have the necessary capabilities as Project Express is upgraded and as networks continue to light new infrastructure in place to support this to 100 Gigabit technology further driving communities, there are more users coming demand. So these next months ahead will competitive advantages to the financial ‘on-net’ every day. Network operators, be focused on network deployment and arena. which today includes the traditional enhancements.” carriers and service providers as well as LOOKING AHEAD the financial, medical, media and other Jaymie A. Scotto Cutaia is the Deep under the ocean, transAtlantic subsea professional, private networks, are looking Founder, CEO and Principal cable systems play a pivotal role to what for cutting-edge technologies that can of Jaymie Scotto & Associates is happening above within the Internet increase their speed and performance. (JS&A), a premier Marketing and global data networks. Technology and PR firm dedicated to will continue to drive advancements “Our Project Express initiative is an advancing the technology that can be used to secure competitive example of this need for fast bandwidth community, and CEO and Founder of advantages. The savvier financial market driving innovation. We are building the DealCenter, LLC, an online meeting system most direct and therefore fastest route from for event planners and associations. 13 firms will adopt these new capabilities his is a special insert into SubTel Forum, Stephan Beckert, Gary Kim, and Richard designed as a preview for the upcoming n less than a week, we will embark on our Taylor, has guided the program planning TPTC Conference in Hawaii. As President 33rd annual conference, PTC’11: Connecting process to ensure an impressive and first-rate of the Pacific Telecommunications Council, I ILife 24/7. If the response to and interest in conference program. PTC’11 sponsors have want to thank the SubTel Forum team for this PTC’11 is any indication, the event is sure to provided their generous support, which will opportunity to contribute to this issue. be a memorable and successful one. significantly contribute to the success of our annual conference. I am extremely grateful to Notwithstanding all of the financial strictures PTC’11 will unite leaders from all sectors the members of each of these groups for their as a consequence of the global financial crisis of the telecommunications industry. The ongoing support and contributions. and the slow recovery, particularly in North program theme, which explores the various America and Europe, registrations for the ways in which people’s lives are becoming I would like to extend a special word of thanks conference so far suggest it will be again increasingly connected, also highlights the to PTC’s members. Throughout the year, strongly attended. The theme is Connecting Life interconnectedness of each of the telecom many of PTC’s members offer their support, 24/7, which well captures the ever-increasing sectors. feedback, and encouragement, each of which customer demands of the telecom industry. strengthens the organization and the value of As you attend the numerous program sessions, membership. Of course a key ingredient of the conference exhibits, and social events, you will likely is that of submarine cables, which this year is notice that PTC’11 reflects the hard work and On behalf of the entire PTC Secretariat, I wish given expanded coverage with three dedicated support of many different groups of people. you an enjoyable and productive conference sessions and numerous other peripheral PTC’s leadership—the Board of Governors experience. May you also have the opportunity sessions. The articles in this section will give and the Advisory Council—has directed to delight in the many sights, sounds, and food you a taste of some of the topics that will be the PTC’s overall work and progress. The that Hawaii has to offer. debated from 16th to 19th January. As usual, PTC’11 Program Committee, led by co-chairs there will be opportunities to blend serious Warmest alohas, content sessions with the convivial networking Sharon Nakama that PTC in Hawaii is so well known for.

On behalf of PTC members and secretariat, I invite you to the PTC Conference and look forward to seeing you there.

14 John Hibbard 15 PTC'11: Overview

16 Vision experts and influential professionals Panelists: committed to achieving our Vision. The Pacific Telecommunications Council • Monitor and address members’ needs and DOUGLAS BURNETT, Partner, Squire (PTC) is the leading professional organization continuously create value for them. Sanders & Dempsey L.L.P., USA promoting the advancement and commercial • Develop the resources and capabilities SIMON COOPER, VP, Global Submarine use of information and communication needed to achieve our Vision in a Cables Strategy & Projects, Tata technologies, services, policies, and sustainable manner. Communications, Singapore knowledge, to benefit its members and the • Promote widely the views, role and people of the Pacific Hemisphere. activities of the Pacific Telecommunications Networks, France Council. Mission Statement TONY FRISCH, SVP, NXT Product Line, To realize its Vision, the Pacific Xtera Communications, USA Preview of workshops, round tables, sessions Telecommunications Council (PTC) motivates DREW KELTON, President, Enterprise and enables its members to conduct trade Sunday, 16 January 2011 Services, Bharti Airtel Ltd, India in equipment, technologies, and services and to use the power of information and 0900 – 1230 SUBMARINE CABLE ANDREW LIPMAN, Partner, Bingham communication technologies (ICT) to improve WORKSHOP: “It Takes a Village” – McCutchen, USA the quality of life in the Pacific Hemisphere. Parenting the Development of a Submarine Cable System MICHAEL RIEGER, VP, Tyco Electronics Specifically, we will: SubSea Communications LLC, USA Organized by WFN Strategies • Organize conferences, exhibitions, ROBIN RUSSEL, CEO, Australia Japan Cable, and other forums to promote the open The workshop will consider three phases of a Australia exchange of information, ideas and views new submarine cable project (Development, in the context of the commercial, social, Implementation, Service Provision, one IHAB TERAZI, VP, Global Network Planning, economic, and other development needs session per phase) using speakers representing Verizon, USA. in the Pacific Hemisphere. differing interests and disciplines followed by • Bring together influential leaders from brief interactive question and answer sessions diverse backgrounds and locations including speakers and the audience. to informally debate contemporary and controversial issues affecting the The objective is to have a set of instructional development and use of ICT. sessions allowing debate and questions • Encourage the research, development, between speakers and plenty of time for and application of technologies, services audience questions. and policies through our constituency Workshop introduction by Wayne Nielsen, of educators, governments, commercial Managing Director, WFN Strategies. organizations, non-profit entities and user communities, especially to overcome Moderator: uneven development and competency divides. GUY ARNOS, Director, Projects, WFN • Grow an active diverse membership of Strategies, LLC, USA 17 1330 – 1500 T E L E G E O G R A P H Y Tuesday, 18 January 2011 Panelists: INTERNATIONAL TELECOM TRENDS WORKSHOP 1400 – 1530 FEATURED SESSION 4 – MARK RUSHWORTH, CEO, Pacific Fibre, Undersea/Submarine Cable Developments New Zealand Organized by TeleGeography in the Pacific MICHAEL RIEGER, VP, Tyco Electronics TeleGeography’s annual workshop on The last 12 months have seen an array of SubSea Communications LLC, USA international market trends, has become one of initiatives across the Pacific. While most have PTC’s most popular sessions. TeleGeography’s been very good, some have raised concerns. KENT BRESSIE, Partner, Wiltshire & Grannis senior research team will present their latest Others have raised challenges. The session LLP, USA findings on global voice and data traffic, will cover a few of these. There is the first BRUCE HOWE, Professor, University of network supply and demand, and trends in new private cable initiative for some time in Hawai’I, USA IP VPN and Ethernet service pricing. Specific the form of Pacific Fibre which will test the topics will include: wholesale hot spots, current appetite for funding. The development Internet traffic, voice, wholesale prices and of the new OADM BU appears to have real enterprise services. application for the Pacific. New regulations and 1545 – 1715 BREAKOUT SESSION T4: changing interpretation of existing rules give Subcable Vendor Smack Down Panelists: cause for concern and need to be understood. And for something different, the novel idea Are we upgrading or building, and who got STEPHAN BECKERT, VP, Strategy, of using communications cables to measure the best “pick in mix” this time? A panel TeleGeography, USA deep-sea currents will test conventional discussion where we put the spotlight on suppliers. Suppliers need to get creative with BRIANNA CHARPENTIER, Research thinking. The speakers will engage you on larger systems, smarter systems, ones capable Analyst, TeleGeography, USA these developments. of dealing with the challenges of meshing and TIM STRONGE, VP, Research, Moderator: cloud computing. TeleGeography, USA JOHN HIBBARD, CEO, Hibbard Consulting As operators we want big fat reliable pipes, Pyt, Ltd, Australia we want seamless transition from our old

18 technology to the new stuff, with maximum flexibility at a price we can afford and grow into. Moreover, models are changing and in some cases there are multiple owners now of different fibers in the same cable– what if they want different suppliers for their upgrades at different times, can it all work together? How can the technology interface seamlessly with terrestrial networks to have structured simplicity? The business models and the customer requirements are changing and how are suppliers responding to this new wave.

Moderator:

FIONA BECK, President and CEO, Southern Cross Cable Network, New Zealand

Panelists:

NIGEL BAYLIFF, CEO, Huawei Marine Networks Co. Ltd., people’s Republic of

China

HERVE FEVRIER, EVP and COO, Xtera Communications, USA

DAVID WELCH, Founder, EVP and CSO, Infinera, USA

THOMAS MOCK, SVP, Strategic Planning, Ciena, USA

19 The Industry Needs Its Champion

20 John Hibbard s the telecoms industry will again just the removal of roadblocks, but rather Convention on the Law of the Sea. It has done gather at PTC in Hawaii, the question create an expressway which will accelerate the much with the fishing industry to encourage Aagain arises as to the means of getting processes within our industry. harmony between competing forces. a credible voice for the submarine cable Historically only submarine cable owners industry. The industry needs a champion could be members and hence much of the who will be listened to by those external banter at their meetings involved preaching parties who shape our industry through to the converted. The message was not getting either pro-active action, reactivity or passivity. out. At their most recent meeting, the decision Submarine cables are effectively the pinnacle was taken to widen their membership to allow of optical fibre technology yet they are not SubOptic is arguably our best known industry governments to have representation with the understood nor appreciated even though they body. It holds the premier industry event aim of education, hopefully leading to better are a necessary (but not sufficient) requirement every 3 years when the top thinkers and the understanding and in due course supportive for the penetration of the internet and the leading content combine for our engagement. legislation. Very few countries have legislation economic benefits that it can bring. Comprised primarily of the vendors and to simplify the permitting for the provision the cable owners, SubOptic has a limited of submarine cable while at the same time The World Bank findings, which have been role between events. In the last triennium, creating legally enforceable protection of a replicated by Booz and Company (and SubOptic took the initiative to develop a nation’s sub-sea umbilical cord(s). The ICPC reinforced by McKinsey) indicate that every supply contract template as a way to increase move is clearly a step in the right direction 10% of penetration of broadband increases its value to the sub cable industry. Is this the but is it enough. The current ICPC charter is a country’s GDP by around 1.3%. This is first step to raising its profile so as to be the pitched towards cable protection and so can it substantial economic growth which will not industry spokesman? Is the current structure be focussed on the simplification of permitting occur without high bandwidth, low latency of modest funding from vendors sufficient to and provisioning. Should the charter of ICPC international connectivity. For many countries, enable such a transition, or is a more dramatic be extended to cover these aspects? Its funding that means submarine cables. recasting of its organisational arrangements from members has allowed active lobbying in necessary for it to have the requisite clout? the past so it may have the structure to expand So why do so many countries seem to go and take on a broader role. out of their way to frustrate the provision, protection, operation and maintenance of submarine cables. At the SubOptic conference back in May, Kent Bressie provided an illuminating and persuasive argument that the lack of consideration for cables was a PTC is another body which has the possibility direct consequence of a series of myths held of being the industry spokesperson. It has the by our national and political leaders. Unless breadth of membership and a high degree such myths are de-bunked, our industry will of recognition, albeit mainly in Asia-Pacific continue to be frustrated, and economies and mainly for its annual conference. It has damaged, unknowingly by those aiming to the capacity to extend its role but while it stimulate economic growth. The International Cable Protection Committee has always actively entertained the sub cable So how should we go about educating the is another potential champion for our industry. industry, its focus is much broader, and so politicians and the public of the importance The ICPC has been involved in lobbying in its clout in presenting a case for our industry 21 of submarine cables and so encourage not the past such as with the United Nations may be lessened. But with its breadth and involvement with the broader aspects of will ever encounter. We try to keep our cable To put it context for the listeners I portrayed telecommunications, it could well take a role station unobtrusive to avoid attention. The the picture of flying in a jumbo, throwing out in supporting the industry champion should media, through the news gathering process a rope to hook a garden hose – and doing it one emerge. is primarily focused on satellite. How often blind-folded. It was quite overwhelming the do we hear that news reader crosses via cable discussion and commentary that subsequently to an on-the-scene reporter? Never!! Yet such occurred highlighting that we have a story to media material only represents a miniscule tell. amount of what is downloaded daily on submarine cable from You Tube. So how do we tell this story of our business? Whether it is one of technology and one It is the squeaky wheel which gets the most of economic importance, we need to get oil. So assuming that we have a mouthpiece, the message out there. But we can only do how might we squeak loudly to get the desired that with an industry champion. We need attention. Maybe we could do so through at least one body with an array of credible extolling our technology. The gee-whiz factor spokespersons to do this to cover the various is an important ingredient in why space travel facets of our business. We need a media ITU represents another potential spokesman, or medical engineering get great recognition. campaign to ensure every opportunity is particularly as it is an arm of the United Nations People use the term “rocket scientists” as a taken to maximize our exposure. Yes raising and central body for telecommunications. synonym for engineering wizard. I doubt the profile of our industry could heighten the However historically it has been hesitant that many around the globe appreciate that risks to our infrastructure but hiding our light at championing causes, and the operating submarine fibre optics is one of the highest under a bushel will see more and more adverse logistics has made the generation of tech pieces of science and engineering. By now regulations introduced which will hamper recommendations quite tortuous. everyone has heard of fibre optics. But how our efficiency and raise the cost of cables. The many comprehend the awesome nature of the industry needs a champion, at least one but The industry needs its spokesperson to get technology which will transport billions of several would be even better. out its message. It needs to educate those internet accesses across thousands of miles of that matter on the merits of sub cables and to ocean in a pipe the size of a garden hose which John Hibbard is a leading correct the myths that handicap the efficient should remain faultless for 25 years. This is a consultant in international operation of our business and the growth in story of supreme engineering which needs to telecommunications, particularly the wealth of nations. be told. in the development of So what are those myths that pervade the minds submarine cable projects. He of public, government officials and politicians. I am not even sure that we ourselves don’t take has over 40 years experience Clearly the greatest one is the belief that most such an achievement for granted. This message in the telecommunications industry, mostly in international communications are carried on came home to me many years ago when I was international activities and submarine cables. Prior satellite. Even those in the communications hauled onto radio to explain a cable break. I to becoming a consultant, John was Managing areas of government believe that, when in fact recalled the time when the original SEACOM Director Global Wholesale at Telstra Australia, 98% of non-TV intercontinental transmissions cable failed crossing the Marianas trench at where he managed Telstra’s international business, travel via submarine cables. Why is it so? 26,000 feet (8000+ metres).. We take as a matter and was founding Chairman of the Australia One of our biggest handicaps is that we are of course that we can fish up the cable, repair Japan Cable. He is now President of the Pacific out of sight. Hidden away on the sea-bed, it and return it to the sea. But the recovery and Telecommunications Council and Chairman of its 22 it is not something that the average person repair of cable is truly a major engineering feat. Board of Governors. Embracing Subsea Cable Leadership

23Dean Veverka What is the ICPC? submarine fibre optic cable. The ICPC following is the relevant extract from his currently has over 100 members from report: The International Cable Protection 58 countries, and those members are Committee (ICPC) was formed in 1958 responsible for almost 100% of international 71. Submarine cables. and its primary goal is to promote the submarine telecommunications cables safeguarding of submarine cables against and a significant proportion of submarine A need has been expressed by some States, man-made and natural hazards. It also power cables, thus making the ICPC the including in recent workshops, to consider provides a forum for the exchange of World’s premier submarine cable industry gaps in the existing legal regime regarding technical, legal and environmental association. submarine cables at the international information about submarine cables. and national levels, in particular in the Challenges for the Industry implementation of article 113 of the United I wonder if those 10 founding organisations Nations Convention on the Law of the Sea. of ICPC had a vision of what the submarine The humble telecommunications Views have been expressed that the current cable landscape would look like 52 years submarine cable no longer just carries legal regime is not adequate with respect to later. After all, they were still in the co- “telephone calls”. TAT-1 had a capacity the operation of, and threats to, submarine axial cable era, TAT-1 the first transatlantic of just 36 simultaneous telephone calls, cables. In particular, a need for a code of telephone cable had only been launched in today’s multi Terabit systems carry voice, best practices with regard to the laying and 1956 and the first transatlantic fibre-optic data, the Internet, financial and social repair of submarine cables and the conduct cable was still 30 years away, with TAT-8 networks to such an extent that they are of cable-routing surveys was mentioned, going into service in 1988!! One thing they critical infrastructure to the economy of among other things. In that context, a need did realise is the significance of providing many nations. for capacity-building activities facilitating utmost protection to submarine cables the review of the legal regime and possible and that is even more vital these days due Following the disruptions to the internet gaps therein could be considered. to the strategic importance of submarine caused by an earthquake in Taiwan/2006 telecommunications cables as Critical and other events in Egypt/2008 and The rapid evolution of submarine power Infrastructure. Sicily/2009, there is much greater cables is also gaining much attention as awareness among Governments, the the world looks to offshore renewable There is still a widely held misconception financial sector and other influential energy sources. Submarine power cables that satellites carry the majority of groups that submarine cables are part of suffer many of the same problems as i n t e r n a t i o n a l the World’s critical infrastructure. telecommunications cables in terms of telecommunications permitting, repair and environmental capacity. However This message has spread even to the considerations. the reality is United Nations, where on 29 March 2010, that almost all the UN Secretary-General expressed So the new challenges for our industry t r a n s o c e a n i c concerns about the status of the world’s are education and awareness of the communications submarine cable network to the 65th importance of submarine cables to national is carried by Session of the General Assembly. The governments and the end users. As well 24 as encouraging Governments to enact the seabed with other users and to the • Rhodes Academy on subject of legislations that mirror the intentions of understanding and protection of the submarine cables and UNCLOS. the United Nations Convention on Law marine environment. of the Sea (UNCLOS) in terms of the • China Regional Workshop on protections and freedoms for submarine Subject to certain criteria, membership Submarine Cables, Beijing. (ICPC co- cables prescribed within the treaty. of the ICPC is now also available to sponsor) submarine cable system manufacturers, • ROGUCCI Summit, Dubai ICPC way forward cable ship operators and submarine cable route survey companies in addition to • Submarine Cable Workshop, Centre The ICPC recently announced that it has submarine cable owners and maintenance for International Law, Singapore (ICPC changed its rules to allow Governments authorities. It is anticipated that co-sponsor) and companies that are key players broadening the ICPC’s membership in • Cyber Security Summit, Dallas in the submarine cable industry to be this manner will improve the sharing of represented within its membership. The technical expertise within the submarine • SubOptic 2010, Yokohama ICPC’s objective in making this change is cable industry. to foster improved cooperation between In May and December 2009 the ICPC Government and Industry, which is co-sponsored workshops in Beijing and deemed essential to enhance the security Recognition of ICPC on the World Stage Singapore with leading international of submarine cables. law centres solely focused on submarine ICPC’s profile on the world stage has cables. The workshops brought together A key factor that has emerged is that risen significantly in recent years. We are the top experts on international law of the Governments are often in the critical path regularly invited, as the industries expert sea, industry, and foreign Governments to for installation and remedial work. It is representative, to many workshops and study issues regarding protection of cables therefore anticipated that having these conventions dedicated to submarine cable from terrorists, pirates, anchoring, and represented within the ICPC will facilitate issues. problems arising from requirements to improved education and awareness, obtain repair permits outside of territorial strengthening of legislative protections and Presentations in the past two years given seas. Reports from the two workshops have rights in accordance with UNCLOS and to: been widely reviewed by Governments the creation of single points of contact. The • APEC-TEL Cable Protection Workshop and are specifically referenced in the above latter is deemed essential to help eliminate in Singapore (At the invitation of the quote from the UN Secretary-General. permitting delays and to facilitate the Australian government) Diplomats are engaged to follow through provision of urgent assistance in the event on the various recommendations from the that the security of a submarine cable is • Oceans Conference on Legal Challenges workshops in close liaison with the ICPC. threatened by illegal action. in Maritime Security, Heidelberg. The cooperation between Governments • Strategic Planning workshop on Global and the ICPC reflects the comfort the ICPC will continue its strong commitment Oceans Issues in Marine Areas beyond former has in dealing with a global body to cooperative initiatives aimed at sharing National Jurisdiction, Nice. 25 that broadly represents the cable industry as opposed to dealing with individual Presently ICPC is involved with studies of representing the submarine cable industry. companies. As the activities for ocean use (i) chemical leaching from cables, (ii) the We have evolved our membership criteria intensify, Governments such as Australia submarine sediment flows that periodically and look forward to working more closely and Singapore, international organizations damage the network off Taiwan and (iii) with Governments and other industry such as the ISA, IMO, and ITU, as well seabed response to sediment ploughing. participants to enhance the security of as regional organizations such as APEC submarine cables and the vitally important and ASEAN, will increasingly look to the Much of this work forms part of a highly traffic they carry. ICPC as a global voice for the submarine successful ICPC public information cable industry. The ICPC’s success in initiative. Reports, papers and PowerPoint Many of the ICPC members attend PTC pursuing partnership approaches with presentations are readily accessible on and we look forward to another successful these Governments and organizations has the ICPC website where the presentation, PTC event and continuing this debate. been a unique success story in the history “About Submarine Telecommunications of submarine cables. Cables”, is attracting over 44,000 down- Dean Veverka is the Director of loads annually. Networks and Vice President Recent Achievements of Operations for the Southern Plenary announcement and call for Cross Cable Network. ICPC has also been the catalyst for papers independent research into submarine cables and the marine environment. This The ICPC holds an annual plenary has led to peer-reviewed scientific papers meeting which provides updates to our as well as non-technical reports such as members and a range of presentations. The that prepared with the United Nations 2011 plenary will take place in Singapore Environmental Programme (UNEP). during the period 12-14 April 2011 Entitled “Submarine cables and the oceans: inclusive and its theme is: Government connecting the world”, the UNEP-ICPC & Industry working together: Enhancing review was undertaken by a range of the security of submarine cables specialists in submarine communications. It deals with a suite of topics beginning The Call For Papers is available from with the history of submarine cables, www.iscpc.org and the closing date for their characteristics, cable deployment submissions is 31 January. and maintenance, the status of cables in international law, environmental effects, ICPC is Ready for the Leadership human and natural hazards, and finally, a challenge tentative look into the future. The 64 page booklet can be found at http://www. The ICPC has a broad membership base iscpc.org/ or http://www.unep-wcmc. and a level of expertise that makes us org/pdfs/ICPC-UNEP_Cables.pdf . the leading international association 26 PTC 2011: It Takes A Village

27 Guy Arnos his year in Honolulu, WFN • Project implementation issues and management roles at Level 3 Communications. Strategies is proud to moderate a challenges He began his career at Cable and Wireless. Mr. Tnew workshop for all PTC attendees. • Current and emerging markets and Cooper held a Bachelors degree in Electronic Called “It Takes a Village”, this workshop technologies, including what is Engineering from University of Nottingham. consists of three panels composed of frequently requested by customers, system owners, legal specialists, and what is currently available and what Andrew Lipman system suppliers who are providing a new developments are required to Andrew Lipman has primer on parenting the development of a provide nascent and emerging services spent more than 30 years submarine cable system. Broken down developing Bingham’s into three sessions, the workshop covers The panel of experts will provide not only Telecommunications, Media all aspects of a system’s life and growth, their own insights and experience but will and Technology Group into including infancy to adolescence and participate in an interactive question and one of the largest practices of its kind in the adulthood, corresponding with the system answer period at the end of each session. nation. He practices in virtually every aspect phases of development, implementation, of communications law and related fields, and service provision. The panel of experts: including regulatory, transactional, litigation, legislative and land use. The TMT Group is Throughout the sessions, topical and Infancy: Developing the Connection international in scope, representing clients in important industry information will be the U.S., Central and South America, Europe, candidly discussed. In the three hour- Simon Cooper Asia and other parts of the world. Andy long sessions, topics of discussion will Simon Cooper, Senior represents clients in both the private and public include, but are not limited to: Vice President of Global sectors, including those in the areas of local, long Carrier Solutions at Tata distance and international telephone common • The process of conceptualizing the Communications, is carriage; Internet services and technologies; project and assessing the market responsible for company conventional and emerging wireless services; • The process of financing a project strategy development and execution for global satellite services; broadcasting; competitive • Regulatory and permitting hurdles network investment and partnership. He also video services; telecommunications equipment • Supplier involvement in marketing, leads pre-sales engineering and commercial manufacturing; and other high technology financing, logistics, and project discussions for Global Carrier Solutions. applications. 28 management Previously, Mr. Cooper held various Mike Rieger Motoyoshi Tokioa Adulthood: Applying the Connection Mr. Michael Rieger is Vice Motoyoshi Tokioka has President of Sales at TE over twenty five years of Tony Frisch SubCom. He has been with experience in the international Tony started in R&D, Tyco Electronics since early telecommunications system working at BT’s Martlesham 2000. In his current position, supply market, always working labs on the first generation of Mr. Rieger manages all sales activities on closely with world-class telecommunications submarine optical systems. He a global basis. Prior roles at TE SubCom operators, public and private organizations. moved to Alcatel Australia and include VP Sales for the TGN global network Highly skilled at working across diverse cultural become involved in the practicalities of testing and Managing Director of Technology for boundaries, Mr. Tokioka has successfully been submarine systems during production, laying TGN Operation Systems. Prior to his current satisfying a variety of customers’ needs. He and final acceptance. A later move to Bell Labs assignment, Mr. Rieger held the position of served as Vice Chairman for the SubOptic (US) gave him experience in terminal design Solutions Executive at IBM. Mr. Rieger has 2007 Program Committee and now is a part of and troubleshooting, after which he went back also held the positions of Senior Software the Executive Committee for SubOptic 2013. to Alcatel, starting a gradual move towards the Engineer for Bellcore and Systems Analyst Based in Tokyo, Mr. Tokioka is currently commercial world. In Alcatel France he worked for Merrill Lynch. Mr. Rieger has a Bachelors responsible for Global Sales and Marketing initially in Sales and then moved to head degree in Computer Science from Rutgers of NEC’s Submarine Networks business. He Product Marketing for Submarine Networks. University in New Brunswick, New Jersey holds an MBA from the Graduate School of He is now SVP for repeatered solutions for USA. International Management, Aoyama Gakuin Xtera Communications. University in Tokyo. Adolescence: Making the Connection Per Hansen Binod Sriwastav Per Hansen is currently Doug Burnett Binod Sriwastav is the Senior Director, Submarine Doug Burnett is a maritime Business Head & VP for Solutions at Ciena, where he partner in the New York Global Connectivity Business is focused on the networking City office of Squire, Sanders at Bharti Airtel. He has needs of submarine cable & Dempsey L.L.P, an been working in the telecom operators. Per joined Ciena in September international law firm with industry in India for more than 14 years. 2008 from ADVA Optical Networking, Prior 32 offices in 15 nations. Mr. Burnett is a 1972 Prior to joining Bharti Airtel last year, he to joining ADVA in 2004, Per was one of graduate of the U.S. Naval Academy and a worked for a long stint at VSNL and TATA five founding professionals who established 1980 graduate of the University of Denver Communications. He has held several positions Photuris Inc., an early innovator of dynamic Law School. He is a retired captain in the U.S. in product management, partnerships optical networking solutions. Earlier, he Navy and has worked on submarine cable developments, sales, business development and was with Bell Labs, where he worked on cases for over 25 years. He has served as the international expansion. high-capacity, ultra-long haul transmission International Law Adviser of the International technologies for submarine applications. Per Cable Protection Committee since 1999. holds a doctorate in electrical engineering from 29 the Technical University of Denmark and Management from Southern Methodist Master of Business Administration from the University (SMU) in Dallas, Texas. Wharton School of Business at the University of Pennsylvania. Moderator

Robin Russell Guy Arnos Robin Russell has over Mr. Arnos has over 25 years thirty years experience in the experience in submarine telecommunications industry. and terrestrial networks, For the last seven years he has and has been responsible for been CEO of Australia Japan the planning, engineering Cable (AJC), an economical and ultra reliable and implementation of transoceanic, submarine fibre optic network enabling links transcontinental and metropolitan telecom between Asia or North America and Australia. systems. With WFN Strategies he has supported He holds a Master of Commerce degree from efforts in a number of submarine and terrestrial the University of New South Wales. telecom projects, including the provision and installation of inter-platform submarine cable Ihab Tarazi systems in the North Sea, Gulf of Mexico As vice president of and Australia; engineering, provision and Verizon’s Global Network installation of fiber optic, RF, microwave and Planning organization, cellular telecom systems in Alaska, Antarctica Ihab Tarazi oversees one of and Colorado; and the engineering and the largest facilities-based provision of worldwide broadband services and communications networks in the world. trans-Pacific submarine cable systems. He Tarazi is responsible for the development and joined WFN Strategies in 2001 as Director expansion of the FiOS, VoIP, IP and Ethernet of Projects, and has been responsible for network capabilities globally. He is driving accomplishment of telecoms engineering the implementation of 100G Optical and projects in Angola (ADONES), Australia (NW Ethernet backbone to support the explosion of Shelf), Antarctica, Trans-Pacific cables (MPC, IP demand, and the implementation of Video Unity North), UAE (Multi-use Submarine product enhancement including Over The Top Cable System), Colorado/Oklahoma/Wyoming applications. Tarazi is the Chairman of the (Broadband Wireless), and the Gulf of Mexico. Board for Southern Cross Cable System and a Board Member of the Australia Japan Cable System. He is a graduate of the University of Maryland and has a Masters Degree in Telecom 30 2011: THE YEAR OF THE INVESTEMENT INTO NEUTRAL, DARK FIBER NETWORK INFRASTRUCTURE

31 Hunter Newby t can be expected that 2011 will bring and educational networks. It is and will NETWORKS DRIVING NEW TRENDS significant change to the network be an exciting, challenging and rewarding A new network system will drive the Ilandscape in all aspects. In this time for everyone actively involved in the trends of 2011 and beyond. When New Year, many necessary steps will be evolution of the industry. The recognition network operators use services provided taken to build both American and global and awareness of the need for new dark by neutral, colocation fiber-optic cable infrastructure so that it can support the fiber in every aspect of global networks is service providers, they reap the benefit digital world and its present and future vital. From subsea to FTTH and everything of immediate access and avoid the demands. The investment in physical in between, new dark fiber investments problems of acquiring routes for fiber layer assets ranging from dark fiber in the are being made globally. It is actually not and constructing and maintaining the metro, regional and long-haul portions will a trend, but a necessity for every nation fiber systems. Neutral fiber providers enable more access points for fiber laterals that wishes to be globally competitive on are landlords to the network operators, to data centers, wireless towers and rural multiple levels. Investments are being providing them with access to the space, networks. With that access a more efficient made in fiber to towers and data centers, power and fiber they need to run their use of fiber and transport will stimulate new diverse routes, better fiber for the businesses. new designs for data center development 100G wavelengths and more. For those and utility power delivery and that invest and do so wisely, the returns Allied Fiber, for example, is not a carrier consumption as well as fiber backhaul for will be significant in the years to come. itself. It is in the physical layer, dark fiber, wireless towers, community, government neutral colocation and interconnection

32 business. The company uses a multi-duct fiber system design that deploys long- haul duct-and-fiber cable with a separate, parallel, short-haul duct-and-fiber cable. The short-haul duct-and-fiber cable (the red line in the above diagram) is built with hand holes usually placed every 3,000 feet, but hand holes can be placed wherever required. Hand holes provide intermediate access to fiber for physical routing to the closest colocation facility providing access to the long-haul fiber. The hand holes are placed wherever there is a point of interest fiber and microwave transport, wireless for fiber, such as an existing regional, rural carriers’ backhaul needs will never be met. or metro fiber network, a data center, Using the multi-duct system, transport connectivity environment to more and an office park, a university or a wireless providers to the mobile operators can more communities to increase broadband telecommunications tower. It is left to more easily and cost-effectively design access and improve the economy, health those who have local knowledge to build and build their networks over dark fiber care and the overall standard of living. lateral fiber ducts or subtending dark fiber that they light themselves. The multi-duct The multi-duct system begins at what is rings off of the route to reach these points system’s long-haul dark fiber provides called the point of origin, essentially the of interest. The multi-duct business model direct access back into the major carrier location where international cables come and design provides for access to any hotels and data centers where the mobile up from the ocean, also known as subsea and all network operators that need an operators can easily exchange data traffic landing points. environment in which they can openly and with other network operators, making the freely interconnect with other networks. entire process more seamless and scalable. SUBSEA LANDING POINTS Subsea landing points represent the FIBER-TO-THE-TOWER OPEN MARKET FOR TELECOM aggregated amount of global fiber-optic A revolutionary aspect of the multi-duct The multi-duct system ensures that more cable capacity flowing around the world. new design is its focus on fiber-to-the-tower communities will have a chance to be on- The multi-duct system begins and ends overlaid on a long-haul fiber network. net and share in the benefits that many at these locations, harnessing the power This approach to dark fiber connectivity other on-net communities have. This open of the networking demand of the earth’s to towers along the route for microwave market for telecommunications was once continents and the countries, people and backhaul to support mobile wireless traffic just a carrier secret in the largest cities. The machines within them. In a network concept for the new plan is to offer a neutral 33 is unique. Without the interplay between sense, the United States is geographically located on planet Earth right in the middle necessarily dictate video peering to be can provide the needed backhaul for the of Asia, Europe and Latin America. The established closer to home, or deal with technologies of the future. major subsea networks of the world travel a provider, perhaps only one, or two, that across the Atlantic Ocean from Europe to have a network robust enough to support Hunter Newby, a 15- New Jersey and Long Island, N.Y., from the capacity and latency requirements. year veteran of the telecom South America through the Caribbean Verizon is once such provider, but their networking industry, is the Sea to Florida and from Asia across the rate structure is quite different than low- Founder and CEO of Allied Pacific Ocean to Washington, Oregon and cost to free peering on Any 2. Fiber. Mr. Newby possesses California. an extensive breadth of experience within LOOKING AHEAD the industry. In addition to physical layer MOBILE BACKHAUL As user demand increases, network interconnection, Mr. Newby is a recognized Mobile backhaul is playing an increasingly systems must increase to meet the authority on Internet and Ethernet exchanges dramatic role in the growth of all network demands of consumers. Technologies, and VoIP Peering. transport requirements. In truth, there is from standards in DWDM, Ethernet, IP, not enough backhaul capacity to suffice Wimax and LTE to smart phones and tablet and more intelligent routing and switching computers, are strongly influencing and architectures must be deployed to keep driving bandwidth growth. Broadband mobile traffic as local as possible. This bandwidth cannot meet current demands is not as much of an issue in submarine (consider the rate at which smart phones systems, but it is critically important and tablet computers, such as the iPads, from an inter-nation peering perspective are being sold). Certain mobile service particularly in Southeast Asia. The mobile providers have been forced to change network operators cannot expect to their bandwidth plans to metered establish reliable, high-speed connections packages because unlimited bandwidth to content providers of video being served is not a realistic option. Backhaul and the nations, or oceans away and have any backbone to support these networks will meaningful level of quality of service or need to increase over the next year and user experience. If the video content is local in the future because the rate of which by nature then it is less of an issue, if any consumers are buying these types of at all. If the video content is coming from a products will only continue to increase. In neighboring country, but via a connection order to be globally competitive, a national on the Any2 Exchange at 1 Wilshire Blvd infrastructure that supports rapid growth in Los Angeles, there will be throughput must be present. Fueled by the subsea 34 issues to contend with for sure. This will cable system, a new multi-duct system CONNECTING THE MIDDLE EAST REGION WITH SUB SEA CABLES AND COMMUNICATION SERVICES

35 Ilissa Miller he growth of the submarine cable affluent societies with alternative, superior increase, and states within the region industry is exploding in the Middle grade telecom solutions. The modernizing were also responsible for some of the TEast – a land that tends to receive far telecommunications infrastructure is highest growth rates in the use of DSL too much attention on its political, religious supported chiefly by the substantial growth technology (presently the dominant form and social issues, and not enough on its of the Internet in the Middle East. Although of broadband technology in the region). rapidly expanding economy, particularly the initial introduction of the Internet was The 2010 Cisco Visual Networking Index in the area of telecommunications. perceived as a threat by local governments (VNI) Forecast for 2009-2014 predicts that to the region’s traditional values and IP traffic in the Middle East will reach According to a 2008 study commissioned political systems, according to Info-Prod one Exabyte per month by 2014, at a by the Telecommunications Industry Research, now nearly all Middle Eastern growth rate of 45 percent. Internet traffic Association (TIA), the Middle East ranked countries permit public access to the World will generate 182 million DVDs worth of second in terms of growth within the Wide Web, and experience a steady 10% traffic, or 727 terabytes on a monthly basis. telecom sector for global regions with a usage growth per month. More than 100 The VNI also concludes that the Middle projected 11.1% growth rate for the years companies in the Middle East now provide East will possess the strongest mobile data 2008 through 2011. In recent years, profound Internet connectivity, thereby causing traffic growth of any region. developments in telecommunications, an increased demand for both regular computer and IT sectors have occurred, telephone and broadband infrastructure. Addressing this growth is submarine largely due to the opening of large cable infrastructures, as modern cables and previously unreachable markets, As stated by the Global Technology utilize optical fiber technology to carry high state investments, lessening of Forum, from 2000 to 2010, the Middle digital payloads, which in turn are used restrictions on foreign entry, increased East experienced a tremendous growth in to then carry telephone, Internet and market liberalization, and actions taken Internet usage with a staggering 1,825% private data traffic. Submarine cables against piracy. Throughout the region, telecommunications infrastructures are advancing as more and more governments realize the critical role they have in sound economic development.

Although the ratio of telephone lines to population is still comparatively low while considering other global regions, such as Europe, the numbers are rising. Progression on networks based on fiber optic lines, wireless telephony, satellite transmission and submarine cable technology results with the bypassing of the existing communications infrastructure in the region, thus providing businesses and 36 link all of the world’s continents together, Asia as a whole, while providing new and Internet technology in the region with a with the exception of Antarctica currently. cost effective solutions for customers. 28.3% broadband penetration rate among In addition to linking countries together, its population (compared to 25.6% world today’s modern submarine cable systems With a scheduled 2011 launch, the GBI cable average), the GBI cable system will are designed to deliver faultless Ethernet system will connect all of the countries undoubtedly serve as the chief method and mobile connectivity. in the Gulf via a core ring, which will re- for sending and receiving global voice route traffic, thus increasing resilience. The and data. GBI is particularly distinctive Today’s modern fiber optic submarine cable system, designed to operate for up to for its highly anticipated cable system as cable systems are considerably superior 25 years, has a design capacity of up to 5 it will be developed and owned directly as compared to early generation cable, terabits per second on select cable sections, by GCC investors, who are building the satellite and microwave networks to carry and possesses the capability to address the infrastructure to best serve the entire region. voice and data traffic. Additionally, Considering that laying these cables they are capable of high speed data costs amounts upwards of one billion transfers, able to support the shorter dollars and more, most of the systems latency demand, and ensure error-free are owned by consortiums comprised communications. Global expansion of several telecom companies, each of of cable systems, in combination with which shares the cost, ownership and evolving technology, offers a higher bandwidth fractionally. GBI stands bandwidth that greatly reduce costs out as the first and only privately- and improve quality. owned submarine cable operator in Further bridging the connection to the this region. Middle East via submarine cable is Gulf With partners like Tinet, GBI largely Bridge International, the Middle East’s benefits by having its network first privately-owned, submarine cable interconnected in Europe, and having operator, posed to positively transform its services, such as Global IP Transit, the face of international connectivity Ethernet, and VPLS connectivity within the area. Thanks to lucrative rapid growth of traffic originating and offered via Tinet’s global footprint. partnerships with companies like Tinet, terminating in the Gulf. Providing greater Moreover, GBI will provide highly desired a global carrier exclusively committed to capacity, reach, resilience, diversity and capacity to Tinet in countries and cities in the IP and Ethernet wholesale markets, choice via its innovative cable system, which the GBI Cable System is present. GBI will not only expand within its own GBI will notably become the region’s most region, but will be able to offer services advanced network providing broadband “This agreement with Tinet will strengthen throughout Europe as well. Earlier this carrier services to telecoms operators from our position in the European market,” year, GBI also partnered with Asia’s around the Gulf and beyond. comments Mr. Ahmed Mekky, Board leading independent telecommunications Member and CEO of GBI. “We are pleased service provider, Pacnet, allowing the With Asymmetric Digital Subscriber Line to be working with Tinet to facilitate a more company to increase its connectivity to (ADSL) as the prevailing broadband resilient communications infrastructure 37 other companies further connect the region with the rest who have quickly of the world, are crucial components to responded to the achieving and sustaining peace, stability rapidly advancing and prosperity. Emerging technologies t e c h n o l o g y and freedom of the press ultimately developments in have a helpful impact on the region’s the Middle East, youth, and will also reduce red tape and and have since bureaucratic obstacles, thereby supporting opened several participation in defining future strategies regional offices at both regional and national levels, and in the Middle boosting investment opportunities in the East. Microsoft, area. Intel, and Acer are just a few of the In the end, a possible key to achieving companies who are peace in this region could come from the expanding in the establishment of reliable communications area. and interconnecting with the world. Global submarine cable systems are a Specifically for feasible solution to furthering these efforts submarine cable in the region, and enabling governments systems, companies and citizens to feel empowered with between the Middle East and Europe. like Tata Communications have partnered technology. Traffic between the Middle East and with major telecommunications operators Europe is growing at an unprecedented in the Middle East to construct the TGN Ilissa Miller brings over 10 rate and through agreements such as this, Gulf cable system, which will directly years of experience in Sales GBI will be able to provide comprehensive connect the region to the world’s top and Marketing to JS&A. coverage across Europe to our customers.” business hubs and city centers. In July, Mrs. Miller brings a wealth it was announced that six of the region’s of experience and knowledge Tinet also commented on the rapidly leading telecom operators signed an in sales and marketing for expanding Gulf Region market. Tinet’s agreement to build and maintain a multi- emerging global telecommunications and Chief Executive Officer Paolo Susnik terabit terrestrial cable system designed technology companies where she implemented states, “Our partnership with GBI will to connect the UAE, Saudi Arabia, Jordan, and spearheaded many global product allow Tinet to extend our reach into fast and Syria to Europe – known as the and marketing campaigns that included growing markets, such as the Middle Regional Cable Network (RCN). East, and further offer industry-leading international private line and networks, IP connectivity services to customers.” The positive developments taking place in transit, peering, IPVPN, hosted PBX, managed the Middle East, particularly those related services and colocation products and solutions. In addition to submarine cable operators to telecommunications and innovative such as GBI and IP Transit and Ethernet global submarine cable systems that will 38 providers such as Tinet, there are several Capacity Just Waiting Connecting Australia’s Nbn Future To The Globe

39Ross Pfeffer ive high capacity fibre-optic • AU has 5 direct cables submarine cables with a total lit capacity of 2 Tbps leave the eastern F • NZ has 2 direct and 3 seaboard of Australia. Three cables take indirect cables the shortest path, some 28,000 kilometres across the Pacific to the US West Coast, and • Replacement cost: >USD two terminate in S.E Asia to interconnect 2.7B with the trans-oceanic superhighway.

But is this enough? Is there sufficient capacity, market competition and network resilience, is the cost of capacity too high, and will the current excess supply and upgrade capability be adequate to support Australia’s rapid move to high speed broadband and in particular the Government’s A$43 billion National Broadband Network that is now under construction.

Australia is approaching saturation in broadband penetration. Fixed line broadband subscriber growth fuelled the rapid growth in international capacity 2 from 2005 until about two years ago, but capacity growth is now dominated by the of years. At the same time data download Growth of Wireless combined effects of higher access speeds, costs have dropped dramatically, data larger data entitlements, lower data entitlements have increased and, not There has been an impressive shift in costs and the dominance of video based surprisingly, downloads per subscriber speed and entitlement in just a few years. applications. have increased. Analysis of all the We know broadband will continue to available data by Market Clarity indicates change at a rapid pace and the NBN will Data download costs fall dramatically that the average data entitlement of be a major platform for delivery. But it fixed line residential subscribers was 44 won’t be the only one. In recent years As a recent analysis by Market Clarity1 Gigabytes as at June 2010 six times more the move to wireless broadband enabled shows the cost of broadband subscriptions than the average download per broadband devices has been extremely rapid with the has remained about the same for a number subscriber (fixed + wireless) 6.7 Gigabytes. July 2010 IAS showing 39% of broadband 1 Market Clarity Report: “Broadband Download behaviour in connections had wireless access, growing 40 Australia”, January 2011 at 22% in 6 months compared to a fixed replacement cost of some US$3 Billion) Cost of Capacity line increase of only 2%. At the same relative to the current level of demand. time average monthly downloads from At the present rate of growth in demand, It has often been said that the cost of wireless actually decreased slightly to and with no further investment, the excess international capacity for both Australia around 600MB. supply may exist for another 5-6 years. and its close neighbour New Zealand (which is solely supported by the two The wireless implication for international But that’s based on historical rapid diverse cables of Southern Cross) is too capacity demand is that an increasing demand growth as we know it, not the high and this causes expensive retail proportion of internet experience is demand that could be. This raises the broadband pricing and inadequate data becoming wireless based where access two key questions about the role of the download entitlements. speed and download quotas are much submarine cable industry in Australia. lower. Despite this as some suggest To be fair, international capacity prices wireless may be substituting for additional 1. Is the cost of capacity too high to realise (which are the same out of Australia and retail spending on fixed network based current latent demand;and New Zealand) are still high by Trans- services. 2. Are we on the cusp of an NBN induced Atlantic and Trans North-Pacific standards. demand change that is so big and Despite higher capital cost (estimated at International Capacity rapid that the current excess supply US$128 per Australasian User compared and upgrade capability will not be to US$14 per user on these Super-highway adequate? It’s all happening on the demand side, so routes), ANZ to US capacity prices have can international capacity supply cope. For the five installed routes currently out of Australia I estimate total activated capacity to all destinations (excluding any provision for restoration or protection) at about 0.5Tbps. After making a provision for ISPs acquiring above base demand for factors such as protection then gross active capacity is estimated to be around 0.7 Tbps. At the same time total lit capacity is estimated to be around 2.0 Tbps.

For the near term, there appears to be plenty of capacity to support demand. In fact, over the last few years the industry has been in a state of excess supply having invested too much in cable deployment and subsequent equipping (with a 41 Leaving aside the growth over the last six 600% paradigm shift in access speed and months in terabyte plans, the implication the 900% shift in data entitlements. On the of the ABS data to June 2010 must be basis of past experience the likelihood of that Australian broadband subscribers further huge increases in average access effectively pay much more for their data speed, of the magnitude planned for the than they need to (compared to buying a NBN, resulting in commensurate increases cheaper plan with a lower entitlement). in downloads in the future seems very low. Alternately, if they could, or wanted to, as at June 2010 they could on average Not everyone wants or needs to download download another 38 Gigabytes per user large volumes of data. If the internet was for the same average cost. So it looks like actually faster users can do a lot more in the cost of international data is unlikely to the same amount of time they spend now. be throttling broadband downloads. Contention Access Speeds As a practical but highly relevant example declined by an average of around 25% There must be other reasons why capacity if YouTube video’s (which accounts for an annually for over 10 years. Price has fallen demand is not higher so we will now estimated 10% of all internet traffic) and under the combined influence of healthy consider access speed. Based on ABS video streaming applications stop and competition, rising demand and falling reports, the weighted average access start and are at low resolutions then users upgrade costs, but is price still acting as a speed increased from 300kbps to about will download less than they otherwise demand throttle? 7Mbps (or 2300% increase) over the could. period 2007 to 2010. As the percentage of A valid way to determine this may be subscribers with 8 Mbps access or higher While many internet users need faster to compare actual data downloads with continues to grow from the current 40% access, overall this internet performance download entitlements. Over the last few the likelihood of access facilitating greater bottleneck stems from ISP and years there has been a steady and dramatic download volumes will strengthen. More Content Provider server loads, caching improvement in the volume of data importantly as the NBN is rolled out with effectiveness, router congestion, contention entitlement for broadband subscribers in the objective of providing around 90% of and round trip latency. Contention arises Australia. In Market Clarity’s recent report the population with access at 100Mbps from an insufficient volume of domestic average monthly download entitlements there can be little doubt about the complete and international backhaul capacity are estimated to have grown from 5 removal of access speed as a potential deployed by ISP’s to support their own Gigabytes per month in June 2006 to nearly constraint right across Australia. customer base during peak time. Round 45 Gbytes by June 2010. At the same time trip latency (to the US) cannot fall below data downloads for fixed plus wireless But the 200% increase in average about 120 milliseconds, and in association broadband subscribers increased from just downloads over the 2007 to 2010 period, with the still dominant internet protocol 2.4 Gigabytes to nearly 7 Gigabytes. while rapid, was far smaller than both the (TCPIP) seriously inhibits a download 42 from reaching the maximum potential of a the industry capability can support 7 years It’s too early to tell but by 2015 we high speed local access line. of growth. will sufficient additional knowledge to consider another 5 year extension to Leaving the network elements aside it But this is not the limit of industry system life or to begin the process of a is ultimately, users that drive capacity capability. Far from it! The next upgrade replacement build. In the meantime there demand and it’s part of an evolving transmission step, within the next five is little doubt that all cables from Australia virtuous circle of expanding user needs years, will be transmission at 100 Mbps will be able to meet rapidly expanding from improving content and more data and that can take supply to multi tens of demand while operating in a competitive intensive applications that will draw even Tbps. industry that drives prices down on the higher proportions of users into the high back of the rising demand and the low cost download environment over time. In an environment of rapid demand capacity upgrades. growth, submarine capacity suppliers International Capacity Supply Surplus can simply extend the equipping of their Ross Pfeffer is a founding fibres and with a provisioning schedule of member of the Southern Cross We now return to our second big question just 6 months replace existing land based Cable team, and as Director for the Australian submarine cable equipment at higher bit rates as technology Sales and Marketing, Ross is industry as we look forward. Whatever the allows. This is not new. responsible for the sales and massive impacts of increasing fixed line marketing of Southern Cross access speed, increasing reliance on mobile Southern Cross capacity to ISPs, carriers, and large bandwidth devices, expanding user needs and the users in the Asia-Pacific region. dominance of video based applications, is When Southern Cross was constructed the Australian submarine cable industry in 2000/01 its unprotected capability well placed to support massive increases or potential was just 240 Gbps. Today in data downloads? its capability is around 10 Tbps of unprotected transmission representing All Australian fibre optic submarine a fortyfold capability increase over 10 cables can deploy 40 Gbps transmission years of operation. By 2015 our potential equipment for their future upgrades, is forecast to be over 20 Tbps and who with Southern Cross already successfully knows what our potential will be by having tested the technology on its longest November 2025, our newly committed segments. This paradigm shift has the earliest network termination date. Will we potential to take supply capability to over close the cable down and build a new one? 9.6 Tbps; some 14 times today’s demand Or, as industry observers are suggesting, from Australia. will Southern Cross (and other systems) continue to operate for longer than their Currently demand is growing at about original design life. 20-25% pa, so that’s 12 years of growth at 43 today’s rate. And if the growth rate doubles Svalbard Arctic Hotellneset Arctic Ocean Ocean Svalbard Arctic Hotellneset Arctic

Ocean Greenland Ocean

Svalbard

Svalbard ink ticL Arc Greenland Arc ticLink

Svalbard

Svalbard ink ticL Arc Prudhoe Bay Arc ticLink

Andøy Harstad

Prudhoe Bay Sweden Seyðisfjörður Iceland Andøy Fa Nuuk ri Harstad ce -1 Umea Landeyjarsandur Bo Vestmannaeyjar tnia Vaasa Finland Danice Tjørnuvík Russia Tórshavn Norway -1 Anchorage Valdez ect AC onn TampNett BCS East-West Interlink rs d C fo Whittier Qaqortoq lan g reen Kollsnes Sandviken in Kenai G -3 SFS-4 Turku ls Kotka TAT SFS-4 e Seward CAN F Maywick Mariehamn H Sweden a Vaddo Helsinki Seyðisfjörður r i Hango Homer i c Norrtälje th a T-14 e BCS Nor n TA - Tysvær Stockholm Meremoisa Kingisepp n Canada 1 SHEFA-2 vsnas inn e Sta all K Ar T Iceland Ayre of Cara Kr den Estonia-Sweden 1 Kärdla F k istia dal Denmark-Norway 5 Estonia ar ia Juneau Nuuk nsa ic d Dunnet Bay nd Pangea Baltic Ring e o Denmark-Norway 6 -1 Umea Kodiak K Hawk Inlet B Jutland d Ventspils-Gotland Landeyjarsandur o 3 n tn - Gothenburg u Vestmannaeyjar ia Angoon Banff T Hjrorring s Ventspils Narrow Cape A 1 rö Vaasa T - å Sitka N Thisted F Finland Petersburg A Dani C om Liepaja Latvia ce C Wrangell Greenland Connect Danica Russia SEAK a Denmark Sventoji Tjørnuvík e Tuborg Barseback Saltcoats S Copenhagen Bjarred Denmark-Russia Tórshavn Ketchikan or Blaabjerg A N Coleraine GE Sc Ring Dueodde Lithuania Norway PAN Westerland -1 Anchorage Valdez Redcar ect AC ntic Carrickfergus UK-Germany 6 Puttgarden BALTICA Mielno onn TampNett BCS East-West Interlink rs Atla Scarborough d C fo Whittier nia- Sirius Qaqortoq nlan g Dutch Harbor Kenai ber TGN Kolobrzeg ree Kollsnes Sandviken in A Hi ESAT-2 N. Europe Denmark-PolandG 2 -3 SFS-4 Turku ls Kotka K Ireland Southport Norden Denmark-Germany 2 TAT SFS-4 e North N F Maywick O A Seward Dublin De Marne Belarus CA Mariehamn H R la Holyhead a Vaddo Helsinki N s Hibernia-Atlantic r Hango ka i U Homer i Beverwijk c Norrtälje n 4 e orth it a CeltixConnect T-1 BCS N Meremoisa Kingisepp Pacific e n A United Kingdom TA - Tysvær Stockholm d n rct Kilmore Quay Whitesands Bay 1 SHEFA-2 n W e Canada icL Poland Stavsnas llin No es ink A Ta rt t K -14 Broadstairs Ayre of Cara K rde Kärdla k hS k AT Highbridge Bruges rist nda Denmark-Norway 5 Estonia-Sweden 1 Estonia in t a T ian l Ocean ticL ar i Juneau Seaford Germany sa rc North d Calais Dunnet Bay nd Pangea Baltic Ring A o Widemouth Bay Belgium Denmark-Norway 6 K Hawk Inlet P Kodiak S Jutland Ventspils-Gotland T A Cayeux-sur-Mer d -1 H E E C 3 n C A - A u C C u A Gothenburg I T Ventspils Pacific T Banff s R Angoon g - Czech Republic Hjrorring ö - 1 1 A Port AlberniNarrow Cape - r o M - 1 C T Thisted å 4 E N F Sitka E Petersburg T-3 Ukraine A A - om A NEPTUNE NT Lannion FA-1 W Slovakia C Liepaja Latvia Ocean la Milton A C Plerin E sk Wrangell C Greenland Connect Danica a Harbor Pointe SEAK - Kazakhstana Denmark U ic 3 Sventoji n tlant antic Penmarch e Barseback it nia-A N-Atl press Austria Tuborg ed iber TG ct Ex Saltcoats S Bjarred E H Proje Copenhagen Denmark-Russia a Ketchikan A Moldova or s E St. Hilaire Hungary Blaabjerg Nevelsk t A N Mongolia FA-1 F France Switzerland Odesa Odesa Coleraine GE Sc Ring Dueodde Lithuania PC-1 Warrenton PAN Westerland Redcar S Nedonna Beach Romania tic Carrickfergus UK-Germa C c n ny 6 S tlanti lantic tla Scarborough Puttgarden BALTICA Mielno nk -A t A H i ove ernia GN-A Croatia ia- icL Dutch Harbor g C Hib T CA ern Sirius Kolobrzeg rct Halifax errin I Novorossiysk Novorossiysk ib TGN N. E Denmark-Poland 2 A ific A H FR H ESAT-2 Southport urope Pac K int C-2 3 A Savona Ireland Norden Denmark-Germany 2 North N O t Po A - UR Dublin Belarus TG Florence A an E E TGN Western Europe ss R l enn Monaco Mangalia S Holyhead De Marne Cro P a P W C ern N s ollo - FO Sochi uth C k Ap S Hibernia-Atlantic So Bandon a E Bilbao Marseille Italy Varna B R Beverwijk - U S U Ishikari 1 ic M n tlant C - Yugoslavia IT CeltixConnect Nakhodka it a-A -14 A A 4 Dubrovnik K Pacific e rni TAT - Georgia-RussiaA United Kingdom d Lynn ibe E W Bulgaria A r H S-1 W Vigo SM E ct Kilmore Quay Whitesands Bay W U S -W Bar F Cauca icL Poti Poland N e AN 1 V E Ajaccio ADRIA-1 O sus i TPE o s C ess - SA I-M Cable nk r t xpr O R 4 S Syst T t E CORSAR 1 em Broadstairs th rojec L Barcelona BA T-Durres Georgia Uzbekistan Kyrgyzstan k G S Brookhaven P E Highbridge Bruges n G E A Li t C Aranci Bari T Istanbul R Ocean N a ort ic r ellp -1 I M Seaford Germany J t Northport B AC A G O R c North C r K A P A Calais J H SE Belgium I a Island Park o h Widemouth Bay C cific Apoll Portugal ort J Pa c Spain N N N Armenia Azerbaijan P TG i Manasquan E Otranto S f T T -1 I Akita Corfu A Cayeux-sur-Mer PC 2 H E 1 T N. Korea i 1 e - - E c United States A r e C F n C A a U Tuckerton o Ses Covetes ri A u C C A A I h T Pacific R R Point Arena C Lisbon s g - Czech Republic Greece Turkmenistan - Port Alberni - f 1 - Tajikistan B f o M 1 ALPAL-2 Turkey 1 C - U Seixal O le 4 S a S b E E Sendai an-U S Ca -3 Jap c Sesimbra Med T Ukraine i Lechaina - Niigata t C A A Palermo Koropi A NEPTUNE Ponta Delgada L T MOS-1 Lannion FA-1 W Slovakia A E Ocean la n Milton T AN Catania a G Plerin E s l M A C K Naoetsu k t e EIG Poz RJ a Harbor Pointe m FEA Bizerte allo Marmaris - China Kazakhstan A 3 T U Chipiona ic Taean Matsutou Kitaibaraki n in Cadiz Estepona Annaba tlant antic Penmarch P Kelibia l TPC-5 it i North Conil El Djemila Algiers rnia-A N-At press Austria Ajigaura C e be TG E Ex d Hi M oject Qingdao Ibaraki - E Columbus III Pr S. Korea 5 Morro Bay a Gibraltar O A Moldova Japan Japan-US s A SEA-ME-WE-3 Asilah M FL S E St. Hilaire Hungary Kumihama Nevelsk a-US t t Teutan I AG -1 C Pusan Ninomiya Mongolia Chin San Luis Obispo la AN -1 HA Chania F Switzerland Odesa Odesa n II Asilah Columbus II F WK Cyprus France A Keoje Hamada Atlantic E t s Tartus TGN Pacific Grover Beach Warrenton u E Toyohashi PC-1 ic b R G Syria T a um BI S - ol V CS Med P Shima N Pacific 1 C A Na E TG C Nedonna Beach utilus Beirut Romania Kitakyushu tic ic S Hermosa Beach Ocean ACasablancatlan tlant Afghanistan Kochi ink ia- -A LEV Tripoli Croatia H L ove ern TGN FEA E Fukuoka IH tic ina-US g C Hib Tripoli EIG A A J TPC-5 rc Ch s Halifax rrin Nahariya IC C a-US A Tijuana c u He Iraq R Novorossiysk Novorossiysk Chin ifi x Tunisia Darnah Haifa IranF p TPE c e St. David's Bermuda Funchal t 2 n 3 A Savona -5 o Pa in AC- - R C Lo AC N N Po a TP a P G Florence nt k d U Miyazaki si T l na in Benghazi Tel Aviv r E E TGN Western Europe . A ss a nger en L Morocco o Monaco Mangalia S Chongming N Cro P alle P a J W C h PG ern b Ch n ollo Alexandria - FO Sochi ac A uth C o a Ap S e So Bandon l C E Bilbao Marseille B Nanhui g/R Unity Columbus II Italy Varna R a 2 T - G S Fl N Ishikari 1 Israel U C c M P PC-1 Pascagoula lanti C - Yugoslavia IT A AP -At 4 K E E Nakhodka rnia TAT-1 Suez A Al Faw A -4 Dubrovnik Georgia-Russia EAC-C2C F Lynn ibe EKuwait-Iran W Bulgaria A H S-1 Ras Sidr Aqaba W Vigo SM E C APCN2 A NU S Kharg Pakistan-W Bar F aucas Poti C-J Ja E m A 1 Kuwait City V E Ajaccio ADRIA-1 O us C pa TP C ess Zafarana - SA I-M able S TPE n-US e Te xpr O Bushehr R S yste T E ri ne ject L A CORSAR m Georgia FEA Kyrgyzstan P c ri ro Barcelona B Durres Uzbekistan A C G Brookhaven E fe P E -1 s a l Me Alta Vista G E d J os Ingleside s ano Algeria C FOG Aranci Bari Istanbul China-US R r N rt Midway Is. C P-GOM I llpo Sardinia 1 I GBICS M p C n B Vero Beach S Northport Be AC- A G O N o J R er A C Nepal SEA-ME-WE-3 o K P t A C L H Submarineth Cable r Bandar Abbas E J I u y BAHAMAS-2 po M S P ia C o it c a e C Island Park lo th J S n ifi re BICS -1 3 pol Portugal r Bhutan A s c o M - A Libya o A N 5 c C- U Pa West Palm Beach F l Spain N Azerbaijan Okinawa N u T Armenia h TP TG i A Manasquan Al-Khobar E Otranto t f m T r -1 C A Egypt Khasab 2 Corfu I Fuzhou o Akita PC T N. Korea i -1 e e N c b United States u S FA r n TPE g/ G a U A s Tuckerton Halul o Ses Covetes ri G la A Sumaisma h A Pali P F I C Chabahar R -US S PAC Point Arena I 1 Lisbon Das Dubai s Greece A Turkmenistan China -U e Nassau III - -B ff Karachi Tanshui 2 Tajikistan an r us 1 e Fujairah ALPAL-2 Turkey CN p b Key West b O -n U Seixal O Toucheng P Ja i A m L e A F US S m lu a S Western Sahara abl Bangladesh Sendai an- e o O S C Jap a e C G c Sesimbra Abu Dhabi ed ic h ni Saudi Arabia M Lechaina Niigata C A if Mexico o ri it Ponta Delgada Al Seeb Palermo Koropi c r c a L OS-1 TeleCuba s a 2 n A F Catania EM Shantou Taiwan a Mazatlán S-1 e s - M Muscat T A Jap P ARCO - a G U.A.E. L -US an 1 I S l M A C hina Naoetsu -US Havana I I t e O EIG Po India C JK z T Columbus II T m FEA N Bizerte all Marmaris R o A China 2 A Chipiona FEA G Taean Kitaibaraki T S N - i Cadiz Taipa Fangshan Matsutou n Estepona Annaba J e T N -5 MAYA-1P a A El Djemila In Kelibia Ajigaura TPC h i Conil I-ME-WE Algiers d Mongla EAC C L A North Keawaula C o A Jeddah i Cox's Bazaar r a E P Makaha s R T S SEA-ME-WE-4 -U M Qingdao Ibaraki e a Cancun - -1 C A Columbus III A Vietnam TGN-IA S. Korea Kahe Point 5 Gibraltar E MyanmarO c Japan Japan-US Morro Bay O S M A SEA-ME-WE-3 Asilah S i Kumihama A SEA-ME-WE-3 F I f S C L - EAC-C2C -US Teutan I I AG - T i C Pusan Ninomiya ina Tulum San Luis Obispo - tl N H Chania 1 P c Ch Santiago de Cuba 1 a B A N Cayman-Jamaica I Columbus II W Cyprus A n Mauritania Atlantic I Asilah E K C Keoje Hamada s Tartus G Samuel L Spencer Beach 1 t G TGN Pacific u Port Sudan - E Grover Beach i Syria T Toyohashi - Cayman c b R G Laos 5 T -5 Cuba-Venezuela a m F B TPC M lu Mumbai V IC Me C P Shima -1 Co L S dN SJ Wake I. E TGN Pacific A A a U A ai uti AAG S Punta Cana Tortola lu Beirut Kitakyushu G N s Anguilla Casablanca Kochi HermosaKingston Beach San Juan Nouakchott Ocean E enn Afghanistan V Se S N LEV h Tripoli Ballesteros en ah St Martin M FEA H Ladyville or G C E Fukuoka I na-US ezu se-1 St Croix N M EIG - A J TPC-5 Chi a s Oman O A T Tripoli Nahariya la na C A C -US - Tijuana F u Mali Niger C E Iraq AG -5 China Almanac C A 2 TPC ub ib t 1 M x L T hul Darnah Haifa Iran p PE a r l - A Montserrat St. David's Bermuda G Tunisia n C La Union 5 o T a a N e Funchal A EI K A - - o Johnston Atoll C l n M A Al Ghaydah F Pyapon a C PC L A in ti A P N k Da Nang E C G Miyazaki T ia P k c S Baie-Mahault n rd A AA s a l Benghazi Tel Aviv F A A Trojillo i E . - I er o N. Mariana Is. Chongming 1 a g LYemen Morocco N Puerto Barrios Puerto Cortes allen a Thailand J E Philippines h G s Cape Verde h P r C b C n Alexandria ac A u Puerto Lempira 1 u a o Praia Chad Eritrea a e - b Martinique l Al Hudaydah Nanhui /R o c Dakar C g Unity a i Columbus II a 2 T X - l N v M V r G Israel Capepisa F C

a F e P -1 A e P e PC Puerto San Jose Puerto Cabezas n St. Lucia Pascagoula Senegal A A

Y C e T 3 E E d z m Antilles Crossing A u S G Batangas EAC-C2C F n - e Banjul Sudan N Suez - Al Faw A ECFS E E 1 la T Sri Racha E Kuwait-Iran Bridgetown S M Chennai Petchaburi Ras Sidr 2 A IC Aqaba APCN2 a A A A S W ppines r GCN Kingstown Aden O E - N Guam-Phili t C m t A - A Kharg Pakistan C-J J M Guam ap / l Sucujaque C - E C Kuwait City a ls ARCOS-1 Curacao PA L e a m i M Cambodia TPE n-U C r n A E 2 E Zafarana P S e Bluefields -1 A i e M P Grenada c t Burkina Faso T E i -W - T N e - A Bushehr A a i r n S C Riohacha s c i eDjibouti S W E A FEA P r C A s a c ife E -4 C- s Punto Fijo I El E 2 1 s Barranquilla - a Me Alta Vista E s Ingleside 1 dan A J o o s o Algeria S C FOG China-US r r - n N - Midway Is. i - GBICS C Guinea 4 C P-GOM I Sardinia M p C B Vero Beach S h C N o rn Cartagena Camuri T oc A A Nepal e Caracas r t A Benin E Vung Tau H SEA-ME-WE-3 C o n C n h i r C M L t Puerto Limon o i n S - A E Bandar Abbas r j i A o M S n V u y d A BAHAMAS-2 p m ri W S P ia e C e o t m u T P T i i a e r o S Tolu pa d M e - Conakry 3 M Bhutan A s h n r BICS o 1 d c E V e M - i Libya C A t -5 S - F A n t U Okinawa C Colon r 1 West Palm Beach l Nigeria u Battery Pratt f i Somalia a - N G h u P o c u A T E v 4 t t i T T o a r Al-Khobar Ebeye r o Panama City r m Sierra T P Khasab t s C A T Egypt Fuzhou o e Freetown S t r I b S A TPE /N u o I Reagan Test Site s G u Togo Ethiopia g P A G A P a a A tl s Leone Sri Lanka Halul l E a Sumaisma Chabahar -1 Pali P F S n I Ghana C TRU -US S t I 1 A J Das Dubai Pohnpei AN A hina m U PAC G i Cote d'Ivory I FE Songkhla H Majuro C i - - c Nassau II - y S C Tanshui n re S a s e Colombo Fujairah Karachi Marshall Is. N2 R pa Venezuela C -1 Key West S AC Liberia u O S A PC c a b S A A E b n S F 2 N E Toucheng A J i Georgetown S T- Monrovia m Cotonou Lagos L N Bangladesh a m 3 lu Western Sahara R MT C F e o Lome Central African Republic O A C P a C G E A P P S Kota Kinabalu Abu Dhabi ic h e n A Saudi CArabia A Micronesia s f r Accra i -3 A S Al Seeb i SAM-1 Mexico o ic Abidjan W WE Penang MD J s c r a M a E- Labuan F C Shantou Taiwan o a TeleCuba s Cameroon 2 -M r Mazatlán 1 s a M N A Muscat A Jap P Cayenne ARCOS- e- in O Port Harcourt - FALCON SC SE Tungku U.A.E. L US C an 1 I n S D C hina- -US Havana I e I Hulhumalé TIS O India C n Columbus II Douala S T r T G N Buenaventura SEA-ME-WE-3 Miri A 2 Kuantan A C FEA G e S N - Male A S Taipa Fangshan h J e Medan D N t MAYA-1 a A T M In S Maldives-Sri Lanka I-ME-WE C u H h A Kribi L d Mongla EAC Keawaula o A T A i Cox's Bazaar - Jeddah a P o o r 2 Makaha s R T S Mersing SEA-ME-WE-4 -U S n e a Colombia Cancun -1 C A A Vietnam TGN-IA o Kahe Point Mogadishu Melaka E Myanmar c O Bata S t Malaysia A Dumai SEA-ME-WE-3 i u I S Batam Kuching C - EAC-C2C f T i a I Tulum - W c H 1 A a N P Santiago de Cuba CS B S Cayman-Jamaica Uganda Mauritania C M G A Samuel L Spencer Beach 1 Port Sudan Tandjoeng Sangatta e G - - Santana Libreville T 5 Cayman Kenya D Laos C-5 Cuba-Venezuela Pontianak a F TP M Congo Mumbai C GL L L SJ Wake I. A O -1 Indonesia 2 U A ai AAG S Punta Cana Tortola A a Gabon G N Anguilla MCS P K Ecuador a Toweli E P enn San Juan Nouakchott C PC V Kingston S J S N -1 h e ea St Martin Ketapang M Ballesteros Ladyville n hor N C Punta Carnero ezu se-1 St Croix N M G - a Rwanda Oman O A T Salinas la Pangkalanbun na C A - Mali Niger C E AG C F A 2 TPC-5 ub ib t 1 M L T hul a r l - A Montserrat Congo, DRC Bandjermasin IG C La Union a a M N A E K A - Johnston Atoll l n A Burundi Bengkulu MATRIX Al Ghaydah F Pyapon C in ti A P Da Nang E C G Puerto Mancora Fortaleza c S Baie-Mahault Mombasa J A AA k a aK F A Trojillo a2 E South - I De N. Mariana Is. 1 Pointe Noire L Yemen Puerto Barrios Puerto Cortes eMa Thailand E Philippines s Cape Verde SU r C JAKABARE B Makassar Madang u Puerto Lempira 1 u a Praia Chad EritreaN - Martinique Al Hudaydah b Cabinda A B c Dakar C

o a i S X - U

v Pacific M V r Muanda Capepisa S a F e A e e Puerto San Jose Puerto Cabezas n St. Lucia Soyo Senegal Jakarta Y C e Tanzania T 3 d z m Antilles Crossing Dar es Salaam B A u S G Batangas n - e Banjul Sudan U Papua New Guinea N - A ECFS S E E 1 la Surabaja T Sri Racha E Bridgetown S M Chennai Petchaburi 2 Ocean Nzeto A IC a A A A S W ppines r GCN Kingstown Aden O E - N Guam-Phili t C m t Jember G - A M Guam s / e l Sucujaque Benculuk Raba N C - E C l ARCOS-1 Curacao PA L r a i M Cambodia C A A E P e Bluefields -1 A i n Luanda Sumbawa Besar 2 E M P Grenada c t Burkina Faso P E i -W - T N Mataram - A A e a i U East Timor S Riohacha F c E Djibouti S W E C i s A Point Moresby A C s Peru v a F Waingapu K E -4 s Punto Fijo e I u - E 2 Barranquilla -1 A J E A o Porto Amboim S s A M Kupang Solomon Is. S C - - r t S A in - N Guinea r U 4 h M C C Cartagena a R c A Camuri T l R A o A Caracas r Benin i A E Vung Tau H n C n 1 i a C M Puerto Limon - o i n S T A E r j A U S n - V Brazil id A - S A m i W S M e S r e m u T P T i a Moroni r A Tolu pa d M Conakry u M M o h e ADONES d ic E C t SAC S V S L m A t /L - A n AN Lurin Colon r 1 I Nigeria System Name Battery Pratt f i O P Somalia a u - N G u o c E v 4 t Benguela a C i T Wallis & o a N r Ebeye o Panama City r Angola Sierra - t N T P t s 2 r T Salvador e Freetown - Futuna S r Indian Ocean a A A t I Mayotte u o I Mozambique - Ethiopia Reagan Test Site s A Lucira Togo I Apia a P P t n l Leone d Sri Lanka E a -1 S n Ghana o C TRU Pago Pago n J N m G ti Cote d'Ivory EA Songkhla Pohnpei HA i c e y F C Majuro Landing Points -S a Zambia Colombo S Marshall Is. R Venezuela C - Namibe S A Liberia s S A 1 A C i F 2 N American Samoa c Georgetown S T E Cotonou Lagos a S N E a -3 Monrovia R MT C French Polynesia Lome Central African Republic L A C P i P Kota Kinabalu n E A P S 1 A C A Micronesia Vaitape s - Accra k -3 A DS Huahine SAM-1 c Abidjan W WE Penang M J Uturoa s ti E- Labuan C o Bolivia n M Madagascar Cameroon N -M r ai FALCON C EA Papeete Capacity la Cayenne n Port Harcourt S S Tungku Moorea C t On D Fiji A e TIS n A Tomasina Douala Hulhumalé Suva S M G r Arica Buenaventura C Male SEA-ME-WE-3 Kuantan A C Miri e E L A A S h IO T D t SAM-1 N Medan PIN 1 S R Maldives-Sri Lanka M S u H Zimbabwe A - Kribi I c T- Mauritius X o o i 2 RFS Year PANAM t W Terre Rouge Mersing S n n a Colombia A Port Hedland New Caledonia o l Mogadishu t C Bata Mouli Island Lifou Melaka t Malaysia A S Baie du Jacotet Dumai u Kuching South S Poindimie Batam a W Saint-Paul E Noum'ea H A a Namibia C A SPIN Tonga S S Uganda - M Reunion M A System Length N Libreville Tandjoeng Sangatta e A S Botswana Santana E Rio de Janeiro L Atlantic Swakopmund Kenya D - / A W Pontianak a C Congo T Walvis Bay ToliaryG L SAC/LAN A - L E 2 O Indonesia 2 Paraguay S - - e 1 3 a ibr Santos Gabon A F Ocean MCS P K ic Ecuador a Toweli P if C PC ac J -1 P N Ketapang Punta Carnero E SAM-1 F Rwanda Salinas Maputo A Pangkalanbun S r Australia u Congo, DRC vo Bandjermasin S ea A Burundi d Bengkulu MATRIX Florianopolis Puerto Mancora T Fortaleza Mombasa n J - E aK South 3 a t a2D Pointe Noire tr s eL e s a eM F l a S e S E JAKABARE UB i T Makassar Madang v s P m N

e Mtunzini i s A B Cabinda o IN C r R S

South Africa C U Pacific Muanda c n a R Durban r S U Soyo 1 e P M -1 a- th Jakarta IS TanzaniaDar es Salaam C n u B a 2 P a o N i w S U Papua New Guinea U n G P d S n Surabaja Ocean O N o n Nzeto -P G e -1 Perth A Jember G M JC Benculuk Raba N A A A S Luanda Sumbawa Besar Valparaiso e Mataram P Uruguay F E U East Timor Oxford Falls A Point Moresby Peru iv F Waingapu K Melkbosstrand e Brookvale u - A Alexandria J Porto Amboim S s A M Kupang Solomon Is. 44 Cape Town Sydney t S A N r U Coming Spring 2011 A a R Maldonado L l R / i A A C -1 a U T A Brazil - S A ANTEL S M Moroni S A ADONES South u M Argentina SAC/L S L ern Cro TAS m A Las Toninas AN Lurin IO ss MAN 2 P Wallis & Benguela N a C Angola - Takapuna t N Salvador 2 Pac TRANS- r - Futuna ATLAN SAFE Mayotte Indian Oceanific Fibre TASMAN a A TIS-2 Mozambique Whenuapai - Lucira I Apia n d Chile Inverloch o Pago Pago Sandy Point n Zambia e Namibe Bass Strait 2 s i American Samoa a Bass Strait 1 French Polynesia L i 1 n Vaitape - Stanley k Huahine c Uturoa ti Boat Harbour Wellington Bolivia n Madagascar a Moorea Papeete tl Fiji A A Tomasina Suva Arica C M E L A I T SAM-1 ON SPIN 1 Zimbabwe R - I ic Mauritius X NAM t W PA n Terre Rouge New Zealand A Port Hedland New Caledonia la t C Mouli Island Lifou A S Baie du Jacotet South S Saint-Paul Poindimie E Noum'ea SPIN Tonga Namibia A - N Reunion M A S E Rio de Janeiro L Atlantic Swakopmund Botswana - / A W C T Walvis Bay Toliary SAC/LAN A - E Paraguay S 2 - re Santos 3 Fib Ocean ic cif Pa E SAM-1 F Maputo A S r Australia u vo S ea A d Florianopolis T n - E 3 a t Santa Cruz tr s e s a F l AR-SAT e S E Tierra del Fuego i T v s P m e Mtunzini s i o IN r R South Africa C c R Durban rn a U 1 e P M -1 a- th IS C n u a 2 P a o N i w S U n G P d n O N o n -P G e -1 Perth A M JC A A S Valparaiso Uruguay Oxford Falls Melkbosstrand Brookvale Alexandria Cape Town N Sydney A Maldonado /L C A ANTEL S Southern C TA Argentina Las Toninas ross SMAN 2 Takapuna A SAFE Pacific TRANS-TAS TLANTIS-2 Fibre MAN Whenuapai Chile Inverloch Sandy Point Bass Strait 2 Bass Strait 1

Southern Ocean Stanley Boat Harbour Wellington

New Zealand

Antarctica

Santa Cruz AR-SAT Tierra del Fuego

0 1500 3000 4500 6000 7500 Kilometers

Southern Ocean

Antarctica

0 1500 3000 4500 6000 7500 Kilometers The Future Is Connected

45 Erick Contag s reported by ABI Research, Brazilian-based BM&F Bovespa, are Latin America will become one some of the largest exchanges in the Aof the fastest growing mobile world in terms of market value. BM&F capital expenders with over 10% Bovespa is reported to be the second compound growth between 2009 and largest in the Americas, and the leading 2015. The demand for wide-spread exchange in Latin America. access to broadband wireless services is driving mobile operators and Today’s trading entities require lowest carriers in the region to increase capital latency and redundant network expenditures to improve and expand connectivity to ensure their financial their networks, specifically their data transactions will be processed with and IP networks, to interconnect speed and accuracy. Traders and countries within the continent, as well exchanges also require global access so as to upgrade network equipment they can quickly make transactions from to operate submarine cable fiber one exchange floor to the next, with the networks between the continents. necessary speed, service availability, Service providers in the region are and precision that is critical to remain also positioning themselves to support competitive in the financial field. short-term events such as 2014 World Cup and 2016 Olympics to be held GlobeNet, which provides international in Brazil, and must be agile enough capacity between North and South to accommodate the increase in the America over the most advanced fiber BOLIVIA broadband traffic by viewers. optic cable system connecting Brazil, Bermuda, Colombia, the USA and MARKET OPPORTUNITY Venezuela to carriers, has seen a boom PARAGUAY There is a large opportunity in South in recent years of carriers serving the America for high-quality IP to address financial industry, especially to and from the increased need for global content, Brazil. Traders, financial banks and as well as the need for wireless services investment companies throughout South ARGENTINA URUGUAY for both small and large businesses. America rely on advanced networks to Carriers that target residential users conduct trades faster and more efficiently, also experience growth, as more all to gain competitive advantages and to households are quickly adopting better serve their client bases. Carriers broadband access and services, at more then trust GlobeNet’s secure capacity to affordable prices. Additionally, South access other key trading cities throughout American trading entities, such as the the Americas. 46 Over the next few years, media-rich We are also witnessing exponential partnering to hand-off data seamlessly content and HD video will continue to demand growth for high capacity HDTV and to better manage the end-user’s drive demand. The “always ON, always and 3DTV live video content. The recent experience, while expanding network connected” and “any place, any device” World Cup held in South Africa offered reach. In Brazil, GlobeNet’s subsea paradigm of the early 2000s is finally us a small taste of what we can expect for network is seamlessly interconnected becoming a reality as new devices hit the the World Cup and Olympic games to be with the terrestrial network of their parent market along with solid and extensive held in Rio de Janeiro in 2014 and 2016 company Oi. We also have strategic telecom infrastructures being built in respectively, where we expect all events to partnerships with regional carriers in many developing countries. This will be covered in HD. In order to anticipate all the markets we serve, allowing us to allow for the deployment of advanced huge bandwidth spikes related to these provide end-to-end, fiber-based services network services, while also closing the types of seasonal events and others, to our carrier customers. digital divide. service providers need to appropriately plan for such demand. By increasing Whether from one financial exchange to From a subsea perspective, network capacity across high-bandwidth terrestrial another or a streaming video of a sports upgrades and new deployments using and submarine fiber-optic cable networks, event, there’s a basic need for human 40Gbps technology, can be expected in the infrastructures will be ready to ultimately connectivity. As end-users of telecom future. The 100Gbps technology within 3 deliver the high quality content that the services, not only do we expect superior to 5 years, depending on system distances world expects. Optical fiber content quality of services but the highest end-user and potential new builds will also be transport is ideally suited, reliable, fast and experience. It’s the partner relationships present. Markets will continue to see cost-effective and will eventually replace or between carriers and with their technology consolidation among providers. Telecom at least complement existing satellite, and vendors, the attention from our engineers is a volume game and smaller operators wireless solutions. At the edge, end-users and technical support teams that ensure may need to partner or merge to be able to will expect to watch games and replays this high quality, human experience. face the market leaders. seamlessly on wireless HD devices for instant gratification, and network services NETWORK UPGRADES With the influx of new content globally providers need to have the agility to not Though partnering is essential in today’s and the voracious appetite by the end-user only accommodate such seasonal events, global economy, the actual subsea to consume the content, service providers but also to embrace emerging technologies cable infrastructure must constantly are seeking new platforms and creating for content delivery. be updated and improved to ensure new service bundles to provide the content optimal performance 24/7. GlobeNet over a variety of devices and transmission ADVANCEMENTS THROUGH recently announced its plans for 2011 mediums such as 3G and 4G wireless INTERCONNECTION network enhancements, including a networks, smart phones, ultra high-speed Ability of networks to interconnect ensures 200Gbps upgrade, from 360Gbps to broadband, and High Definition (HD) that capacity is reliable and available in 560Gbps of lit network capacity. Before digital TV. these bandwidth-driven times. Today, deploying, we successfully completed a more than ever, service providers are network trial to ensure the newest optical 47 transmission technology can support optimize resources. Optimizing the band network operators, spurred on by the this high capacity upgrade. As a result of spectrum is vital and new channels must increased activity by financial trading these tests, we awarded two equipment be allocated in the right place in order to communities in this region and are providers, Alcatel-Lucent and Xtera maximize future expansions. upgrading their network infrastructures to Communications, Inc., 100Gbps contracts prepare for the influx of new content. 2011 respectfully. The new network capacity MEETING INTERNATIONAL will be a banner year, filled with network deployment is scheduled to be complete CHALLENGES upgrades, technology advancements, by first quarter 2011 with further plans to As an international provider, our key to cooperation and ultimately, a better end- upgrade to a 1.00Tbps network thereafter. success is to employing multi-cultural, user experience. multi-lingual people with strong telecom Justified by detailed market intelligence, backgrounds. It is critical to hire the right Erick Contag is the Chief the need for upgrading fiber optic cable people for the job, and those that have Operating Officer for systems is imperative. Media-rich Internet a “think global / act local” mindset. GlobeNet. Mr. Contag applications are driving the significant Entering new markets is not an easy task brings more than 20 years demand for International capacity growth. and it cannot be assumed that cultures, of sales, marketing, business When upgrading a system at a large people, and the way of doing business are development, strategy and magnitude, careful research must be done the same all over the globe. It is important corporate management expertise to GlobeNet. in order to ensure that the market demand for a company to be sensitive to cultural His responsibilities include strategic is met properly. Detailed planning and differences, local laws and regulations, and management of the company's business coordination is needed to ensure that approach new markets with the highest operations as well as growing the business into equipment can be delivered in five levels of ethics based on universal values. new regions. countries and the upgrade is performed in close cooperation and teamwork with Additionally, having local knowledge of subsea technology vendors. the region in which the upgrade is taking place, as well as where the equipment is When upgrading a subsea cable network, being delivered from are key. Supporting many factors must be considered and logistics and understanding how diverse examined. It is important to look closely areas and cultures operate will allow the at the manufacturing process because plan of work to run smoothly. system upgrades are tailor-made for each system; system suppliers must be able LOOKING AHEAD TO 2011 & BEYOND to secure the critical components so that Latin America will be a key player in the the manufacturing process is completed global marketplace. South Americans to match the Plan Of Work requirements. are quickly adopting new technologies Engineering is another area of the and applications. Carriers are increasing upgrade that requires accurate planning to their partnerships with one another, and 48 Back Reflection by Stewart Ash & Kaori Shikinaka An Alternative Hero published in response to a paper given by a make wire rope for the mining, shipping M. Bebe in Paris in October 1881. It covers and railway industries. n our last issue we brought you the story many aspects of the 1851 project, going of Thomas Russell Crampton, relating on to discuss Newall’s other cable laying In his pamphlet Newall claims that his Ihis part in the first successful commercial inventions and the many infringements of interest in submarine cable design was submarine cable system and his claim to be his patents by other companies; however, stimulated by the famous Michael Faraday’s the inventor of the armoured submarine in this article we will concentrate on R. S. letter on gutta percha published in the st cable. However, further research on the Newall’s counter claim to be the original Philosophical Magazine on 1 March 1848. subject would suggest that, although many designer of armoured submarine cable and Shortly afterwards, Newall states he was contemporary and later publications credit his role in the 1851 Dover to Calais cable. consulted on the best means of carrying a Crampton with the armoured submarine telegraph wire across the Hudson river and cable design, this may not be accurate and Robert Stirling Newall was born in 1812, in response wrote a letter, dated 15th March that significantly more credit should be in Dundee, and became the owner of an 1848, in which he wrote “We cannot but given to a Scotsman, R. S. Newall. Indeed engineering business in that city. In response think that the cheapest plan would be to lay this precise observation was made by G. R. to a letter from his friend Lewis Gordon, sent the wire across the river under water. We M. Garratt in Errata on page 22 of his 1950 to him in 1838, from the mining region of believe it might be coated so as to insulate book “One Hundred Years of Submarine Clausthal in Germany, Newall began work it.” This, he claims, to have been the first Cables.” on designing a machine to manufacture suggestion of a submarine cable. He also wire rope. In 1839, Lewis, Newall and asserts that he made samples of his concept, nd Garratt cites a pamphlet published on 22 Charles Liddle formed a partnership and based on a soft core wire rope design, to May 1882, entitled “Facts and Observations on 17th August 1840, Newall took out a prove its practicality. relating to the Invention of Submarine patent for “certain improvements in wire Cable” in which R. S. Newall refutes many rope and the machinery for making such According to Newall, he provided C. J. of the claims made by Crampton himself rope.” Shortly afterward, R. S. Newall and Woolaston, the engineer of the Anglo- and on his behalf. The pamphlet was French Telegraph Company, with a sample 49 Company was established in Dundee to for infringement of his 1840 patent and company that had a similar patent to caused their works to be closed. It is Newall for soft cored wire rope. In 1854, now, according to Newall, that Crampton Küper’s was sold to Richard Glass who appears on the scene and contracts formed a partnership with George Elliot with Edward Weatherly (the successor to set up Glass, Elliot and Company and to Wilkins and Weatherly) to make the became R. S. Newall’s major competitor. Dover to Calais cable, based on a slightly These two companies each provided half of modified cable design of his own and with the cable for 1857-58 Atlantic cable but that new machinery again sufficiently modified is another story. Glass, Elliot was destined so as to “evade the patent.” On 5th August to form part of the Telegraph Construction 1851, Newall obtained a new injunction and Maintenance Company (Telcon) and restraining E. Weatherly from infringing its Enderby Wharf site in Greenwich his patent with this new machinery. As the (now Alcatel-Lucent) remains the oldest cable had to be laid by 30th September to manufacturing site in the submarine cable maintain the French concession, Crampton industry. On the 16th June 1903, on the had no choice but to go to Newall to resolve occasion of a visit of the delegates to the the problem. R. S. Newall and Company International Telegraph Conference to its undertook to manufacture the cable on Gutta Percha Works in Wharf Road London, the premises of Wilkins and Weatherly, Telcon published a booklet in English and of his armoured cable design to take to which they were obliged to rent, but used French on the history of the submarine Paris and, solely because of this cable their own labour, brought from Gateshead. cable industry. The 1851 cable is discussed sample, the company’s concession for the Newall also recounts that the design of the briefly but, unsurprisingly there is no Dover to Calais cable was renewed by the new machinery was flawed and had to reference to either Wilkins and Weatherly French Government. Newall attests that he be significantly modified, also additional or R. S. Newall. The only reference to the provided this support to Woolaston on the steam power had to be introduced to make manufacturer of the cable is: understanding that he would be employed the facility operational. Work stated on th “Messers, Küper and Co., wire rope makers to manufacturer the cable. the cable manufacture on 28 August 1851 and was completed by 24th September 1851, (whose business was subsequently acquired by R. S. Newall and Company tendered for ready for loading onto the Blazer. Messers Glass Elliot and Co., in 1854), obtained the cable manufacture on 4th June 1851, their first experience of this class of work confirming that it could be manufactured After the success of the 1851 cable, R. S. through the share they had in the manufacture in two months, but he affirms that they Newall and company had a complete of the cable of 1851.” received no response from the Anglo-French monopoly over submarine cable As Newall states that the original contract Telegraph Company. Around the same manufacture until 1854 and had so much length of 24 mile was manufactured by time (date uncertain), Newall obtained an work that they had to subcontract to his company at Wilkins and Weatherly’s injunction against Wilkins and Weatherly Küper and Company, a Camberwell based 50 factory, it is difficult to see what Küper’s involvement was unless it was in the Küper and Company’s works on the Surrey For those of you interested in reading manufacturing of the additional one Canal, Camberwell.” Newall’s pamphlet it can be found on mile that was necessary to complete the Bill Burn’s excellent web site at; www. link when Blazer ran out of cable short of It appears from R. S. Newall’s pamphlet atlantic-cable.com/Books/Newall/ along the French coast. Newall claims that he that he spent a lot of time and effort both with much more on the history of our provided Crampton with this additional defending his patent and refuting claims industry. We will leave you to make your cable, so it is possible that the work was of others to what he saw as his rightful own judgement as to what credit is due to subcontracted to Küper’s to save time and position in the history of the submarine Robert Sterling Newall. shipping costs. cable industry. In it he challenges a 1857 paper by Fredrick Windows and another Telcon went from strength to strength and by F. C. Webb given in July 1858, as well dominated submarine cable manufacture as the offending 1881 Bede paper. The for close to 100 years; in contrast, R. S. Newall first indication of his vexation is in a letter suffered many failures and finally left the from Newall that appears in the Times of industry in 1870. For a potted history of 12th November 1852 which makes oblique these companies you can do no better than reference to his being the inventor of a cable read “Cableships and Submarine Cables” within a wire rope, but it appears that it is by K. R. Haigh (Second Edition 1978). In not until the 1882 pamphlet that he makes 1950, Telcon published “The Telcon Story,” this claim definitively in writing. As already a history of the company to commemorate stated, this pamphlet the 100th anniversary of the industry. In was published in this, concerning the 1851 cable, they state response to a paper that “the cable had been made as well as possible published in Paris on in the inadequate wire-rope works of Wilkinson 11th October 1881, at a (sic) and Weatherley (sic), High Street, time when Newall was Wapping, under the eye of a Gateshead engineer 70 and had not been named Fenwick.” Almost certainly Fenwick involved in submarine was an R. S. Newall employee. The book cables for over a goes on to acknowledge that R. S. Newall decade. Why, 30 years prevented the contract being completed on, did he feel the need due to patent infringement and concludes: to go into print, was he trying to put the record “The works were closed and the gate of the yard straight or was this one was guarded against strangers, specially the final attempt to secure opportunist Mr. Newall or any of his servants; what he saw as his but in the end Newalls completed the cable rightful legacy? 51 at Gateshead. Some of the cable was made at 52 Pacific Telecommunications Council 16-19 January 2011 Honolulu, Hawaii Conferences Website Global Submarine Cabling Forum 28-30 March 2011 Reykjavik, Iceland Website

ICPC Planery Meeting 12-14 April 2011 Singapore Website

International Telecoms Week 2011 23-25 May 2011 Washington, DC USA Website

ENTELEC 24-26 May 2011 Houston, Texas USA Website

Submarine Networks World 2011 27-29 September 2011 Singapore Website

53 My friend, “The Society for Worldwide Interbank Financial Letter to a I have raised the following question several Telecommunication (SWIFT), a provider of financial times in my correspondence to you: “Are we messaging, sends about 15 million messages a building the network that's needed?” In other day over cables. 1 million of these are financial Friend words, does the existing architecture of the transactions, amounting to over $4.7 trillion dollars global submarine fiber optic network respond a day commuting via the same undersea cables. The properly to everyone’s needs? Does it serve finance hub Hong Kong doubles its dependency, i.e. everyone fairly? And for the ones who are being the volume of messages going through these cables, served, is it done in a secure manner? every 18 months.” When several cables were simultaneously Three cable chokepoints have been identified, cut in the Mediterranean, near Egypt and in where undersea cables converge and where, if the Bachi straits between the Philippines and cut, outages could have severe consequences. Taiwan, I did not perceive a lot of concern The first is in the Luzon Strait, the second in the within our community. And this, despite the Suez Canal-Red Sea-el Mandeb Strait passage fact that 70 percent of Egypt's connection to the and the third is in the Strait of Malacca. outside internet was lost, 12 million people were Another subject of the article is the obvious suddenly knocked offline. In Pakistan, and in unfairness of the global infrastructure. If internet India, 50 to 60 percent of online connectivity access is as vital as water or electricity, why do was lost! we accept the fact that several countries and/ Are we still in the 60s or 70s where a or remote communities are still unconnected transatlantic cable cut was not a problem? I today? Thanks to ACE, 8 more west Africa perfectly remember the times when a call to countries will be finally connected by mid 2012, New-York from Paris was not a guaranteed 25 years after the first transatlantic fiber optic deal. “Due to a technical reason, please call again cable. tomorrow.” The consequence of all this is that our A few people are starting to finger point these community cannot continue to live as is. I know issues. An article was published on December many people will say that there is nothing we 21, 2010 in the Huffington Post titled, “Undersea can do about it. I am a supplier, I supply what Cables: the Achilles Heel of our Economies.” the owner/carrier want. I am a carrier, I build the This was a very provocative title, and difficult to cable I need in accordance to my business strategy. swallow for us, so proud to bring such powerful I am a financier, I invest in a project which shows infrastructure to the world community. reasonable prospects of profit. The author is a senior analyst from EWI, My response: This is true, there is nothing East-West Institute. This “non-profit” body has we can do individually, but as a community, been recruited to champion international policy don’t we have a responsibility? aspects and propose measures to ensure the security of the world’s digital infrastructure. To highlight the criticality of the submarine 54 cable network the article states: by Jean Devos A Funny Thing Happened...

55 Advertisers Index ISSN 1948-3031 Global Marine Systems www.globalmarinesystems.com 9

Issue Themes: Nexans www.nexans.com 5 January: Global Outlook OFS www.ofsoptics.com 4 March: Finance & Legal PTC www.ptc.org/ptc11 15 May: Subsea Capacity July: Regional Systems WFN Strategies www.wfnstrategies.com 52 September: Offshore Energy November: Subsea Technology

Advertising enquiries:

Sales Manager Kristian Nielsen Tel: +1 (703) 444-0845 Email: [email protected]

Sales Representative, Europe & AFRICA Wilhelm Sicking Tel: + 49 (0) 201-77986 Email: [email protected]

Sales Representative, Asia Pacific Michael Yee Tel: +65 9616 8080 Episode 5: Pacific Communications Council (PTC) Email: [email protected]

e've been hinting for months system on its own full-color page including provide mobile access to our magazines, RSS that we have some exciting news a bordered map. Each system will have a feed and podcasts, and will be available at Wover here at SubTel Forum, and pullout box which includes: no charge in the iTunes and Android stores. now I'm happy to finally announce two • Landing points new products that we hope will become That's all for this month. We're off to PTC tremendous resources for our industry. • Capacity 2011. See you in Honolulu! • System length In Spring 2011, we will release our first • System owner annual Submarine Cable Almanac. This perfect bound book will be mailed free of • RFS year charge to our subscriber list, including • Region senior government and international organization officials, telecom company The Submarine Cable Almanac will include executives and team, support and supply a comprehensive presentation of statistical company management, and technical, sales and descriptive data covering the entire and purchasing staff, field and shipboard world. Contents will also include discussion personnel, academicians, consultants, of topical developments and summary of financiers and legal specialists. recent industry historical events.

The Submarine Cable Almanac will serve as Additionally, we are in the process of a to complement our submarine cable map developing a SubTel Forum application and will feature each major international for the iPhone and Android. This app will

57 What do you think? Click on the Letter To The Editor icon and drop me a line. I’d love to hear from you.