Saturday, March 26, 2011

Africa - Increasing competition in international links with more cables coming into service

[business daily africa] Competition within the international fibre optic segment is set to intensify in coming months as new players enter the market and existing projects move to consolidate on their regional presence.

Kenyan firms will soon enjoy increased access to the Internet through an expanded number of fibre optic cable providers within the next six months, a factor that analysts say could push pricing for data products down in the next year.

The privately owned Seacom project is one of three international fibre cables that connects directly to Kenya’s coast, carrying high-speed data connectivity to the countries within the region.

“The latest developments are integral to the continued development and expansion of networks in Africa and in particular to countries that have had limited access to broadband connectivity,” said Suveer Ramdhani, Seacom’s Head of Product Strategy.

Seacom, alongside the government-led TEAMs and operator-run EASSy projects, provide the region with cheaper and more reliable internet and telephony connectivity.

International fibre operator Seacom recently announced that it has extended its network deepening competition in the fibre segment as operators race to connect the eastern seaboard of Africa.

The company said it had added Botswana, Lesotho, Namibia, Swaziland and Zimbabwe to its network, saying the move was part of an ongoing focus to connect the continent.

All three projects are likely to compete with a new entrant in the form of France Telecom, which recently announced that it was committing Sh1.5 billion (14 million euros) to extend the “Lower Indian Network 2” (LION 2) submarine cable to the LION cable to Kenya via Mayotte.

With the LION and LION2 cables, France Telecom will have access to three telecommunication highways, enabling it to route voice and data telecommunications via La RĂ©union and Mauritius.

Fibre optic firms flood Kenyan coast

No comments: