Plans sink for major submarine fiber cable system

Aug. 2, 2012
The board of Pacific Fibre, a submarine fiber cable network that would link Australia, New Zealand, and the U.S., has called it quits.

The board of Pacific Fibre, a company assembled in 2010 to raise funds to deploy a submarine fiber-optic cable network that would link Australia, New Zealand, and the United States, has called it quits. The board concluded that it would not be able to raise the NZ$400 million the project would require, and therefore the company has ceased operations.

“A 13,000-km cable is clearly an audacious thing to try and do," explains Pacific Fibre board chairman Sam Morgan via a press statement. "We were fortunate to find supportive shareholders, fantastic staff, and early customer support from the likes of REANNZ and Vodafone. We’ve spent millions of shareholder funds trying to get this done, and despite getting some good investor support we have not been able to find the level of investment required in New Zealand initially and more broadly offshore.”

Pacific Fibre signed a supply agreement with TE Subcom in July of last year for a two-cable system, each with two fibers, with a design capacity of 12.8 Tbps. The target completion date was 2014.

Related Story: TE Connectivity, CommScope bank on slow, steady growth of India's cabling market

“We started Pacific Fibre because we know how important it is to connect New Zealanders to global markets. The high cost of broadband in New Zealand makes it hard to connect globally and it is this market failure, not a technical failure, that we tried hard to solve,” added the company's co-founder and director, Rod Drury.

“We feel like we’ve done everything we can to succeed and we are all hugely disappointed that we have not managed to get there,” concluded Pacific Fibre's board chairman Morgan.


Related News: Fiber-optic connector consumption dips in 2012

Optical network spending falls 23%

Prysmian, DSM ink multi-year fiber deal

Sponsored Recommendations

Power up your system integration with Pulse Power - the game-changing power delivery system

May 10, 2023
Pulse Power is a novel power delivery system that allows System Integrators to safely provide significant power, over long distances, to remote equipment. It is a Class 4 power...

The Agile and Efficient Digital Building

May 9, 2023
This ebook explores how intelligent building solutions can help businesses improve network infrastructure management and optimize data center operations in enterprise buildings...

400G in the Data Center

Aug. 3, 2022

Network Monitoring- Why Tap Modules?

May 1, 2023
EDGE™ and EDGE8® tap modules enable passive optical tapping of the network while reducing downtime and link loss and increasing rack space utilization and density. Unlike other...