Telecommunications provider Vocus Group has announced the execution of a binding agreement with Alcatel Submarine Networks (ASN), referred to as contract-in-force (CIF), for the construction of the Australia-Singapore Cable (ASC) system.
The submarine cable system, measuring about 4,600km in length, will link Australia to Singapore, and Indonesia.
It will be able to provide a minimum of 40Tbps from Western Australia to South East Asia. Its capacity is expected to expand via technology advancements over the coming years.
The $170M project is expected to take approximately 19 months to construct — completion is expected by August 2018. The effective life of the ASC is estimated to be a minimum of 25 years.
In November 2015, Vocus and Nextgen Networks signed a Memorandum of Understanding (MoU) for the project. However, Vocus has acquired Nextgen Networks for AUD700M in June 2016.
Vocus said in a statement: “ASC was a key strategic consideration in Vocus’ decision to purchase Nextgen Networks, as it, in combination with Nextgen’s trans-Australian fibre network, creates a fully interconnected, high capacity fibre network owned by Vocus from the East Coast of Australia through to Singapore (via Perth), with direct connectivity into Indonesia.
“In combination with the Nextgen network, ASC delivers Vocus a unique competitive advantage which provides a platform to increase utilization of both assets.”