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Reliance Communications (RCom) announced plans to lay a 68,000-km undersea cable, estimated to cost $600 million, to carry data across Europe and Asia. 

Per multiple media reports, the system, which will connect its base in India with Italy to the West and Hong Kong on the East, is expected to treble the revenues in five years for its wholly-owned subsidiary Global Cloud Exchange, which is laying the cable. The cable, projected to be operational by the third quarter of 2020, will have  revenue potential of $1 billion per year, RCom Chief Executive Bill Barney told reporters.

The new cable, which was described as being able to reach more than “75% cent of the youth in the globe,”  will increase RCom’s capacity tenfold. The financing will come from partners, which at this point number six, including Alibaba, that account for $300 million. The investor fold could increase to as many as 30. Barney said that RCom expects to get over $700 million through such pre-sales as against the cost of $600 million.

The reports that RCom, saddled by debt, has struggled in recent years, recently exited its consumer-facing wireless business to focus on the enterprise segment.

Barney said the company expects a spurt in IT and telecom activity in the country over the next five to ten years, due to which it is betting on the cable business.
The Belau Submarine Cable Corporation (BSCC) and NEC Corporation (NEC) announced the completion of a new submarine cable that will connect the Republic of Palau to Guam and onward connectivity to Asia, North America and the rest of the world. A press release said that the Palau Spur will interconnect with the existing SEA-US submarine cable—which connects the Philippines and Indonesia to the west coast of the U.S. via Guam and Hawaii—from a branching unit located between the Philippines and Guam. The Palau Spur has an initial design capacity of 500 Gbps. NEC is supplying some 200 km of cable for the project, including a pre-lay shore end of about 7 km. "Yesterday, this island nation was still dependent on satellite communications, but from today, this new cable will bring information at the speed of light, improving the quality of life for those living in and traveling to Palau," said Toru Kawauchi, general manager of NEC’s Submarine Network Division." Palau, an archipelago of over 500 islands that is part of the Micronesia region in the western Pacific Ocean, has a population of about 21,700 people.

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