NTT launches $119m subsea unit in Singapore
NTT has launched a new subsea cable unit in Singapore to maximise on the growing demand for connectivity in Southeast Asia.
Formed with partners of the Fund Corporation for the Overseas Development of Japan’s ICT and Postal Services (JICT) and WEN Capital (WEN), they established Orient Link.
NTT holds a 42% stake in Orient Link, with JICT and WEN holding 38% and 20% respectively. A total of $119 million was raised in capital and JICT, which supports Japanese telecos expanding their overseas presence, plans to inject up to $78 million into Orient Link, according to a media statement on 10 October.
According to NNA Business News, the newly formed company already had plans to start laying a new cable in December, as confirmed by Hajime Miyazaki, director of the London unit, NTT. The new system to Singapore, which is also Southeast Asia’s financial hub, is due to be completed in two years.
The move will help the company offer bandwidth as well as data centre services, through its subsidiary Netmagic, a provider of end-to-end cloud computing solutions. Once completed the newly expanded network will allow NTT to compete with the likes of Tata Communications, Airtel and Sify, to offer connectivity to the international cable landing station in Mumbai.
“We are planning to bring international fibre to India at some point of time,” said Sharad Sanghi, MD and CEO of Netmagic to BusinessLine. “Once that happens, we will also look at offering broadband connectivity to telecom companies. As and when that happens, there will be a lot of demand for data centre services along with bandwidth.”