New analysis from WFN Strategies and SubTel Forum, as reported in Communications Day, predicts a substantial increase in transPacific bandwidth capacity, estimating it to grow from 720Tbps to 2230Tbps within four years.
This estimate accounts for seven new cable announcements, including Echo, Topaz, and Hawaiki Nui, but was calculated before Google’s recent cable announcements.
The report outlines that eight planned systems in the transPacific market are expected to be ready for service between 2024 and 2027. These systems aim to significantly boost capacity along their respective routes, with many vying for similar pathways. The analysis suggests that rising bandwidth demands from cloud services are driving renewed interest in the transPacific region, comparable to the growth rates in the transAtlantic market.
APTelecom’s Ian McLean noted that the surge in capacity might lead to substantial price erosion initially but that continued rapid demand for data connectivity could offset this trend. Technologies like 5G, satellite, and AI are contributing to increased demand in the Asia-Pacific region.
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