Navigating the Evolving Landscape of Submarine Cable Investment

APTelecom Director Ian Mclean, featured in Submarine Telecoms Forum Industry Report, explores the dynamic pricing trends, capacity growth, and market forces shaping the future of submarine cable investment.

Historically, the Asia-Pacific region has witnessed remarkable pricing dynamics, driven by a large demand for data and connectivity. However, on the trans-Pacific route, factors like geographic constraints have created unique challenges.

With upcoming cable systems like the Echo Cable System, ACC-1 System, Bifrost Cable System, Hawaiki Nui Cable System, and JUPITER Cable System, the trans-Pacific market is set to see nearly 60 fiber pairs available by 2026. This increased capacity could lead to lower prices, increased competition, and questions about financial sustainability may arise.

The impact on pricing also depends on growing demand, driven by technologies like 5G, AI, IoT, and automation. While demand is expected to surge, delays in capacity upgrades, supply chain disruptions, and geopolitical factors may influence pricing dynamics.

As the trans-Pacific subsea market continues to evolve, innovative approaches will be key to meeting the growing demand for connectivity and data transfer.

Flip to page 54 of the Report Below, or click here.