International communications traffic grew 64% in 2008,
spurring investment in network capacity despite the recession,
according to data fromTeleGeography's
Global Bandwidth Research
Service.
More than 60% of US network operators surveyed plan to light new
optical fibres on their network in 2009, TeleGeography said. Telcos
also plan to lay 16 new undersea cables in 2009, more than those
laid in 2001, the peak of the submarine cable investment
bubble.
"While the number of cables being laid is impressive, this
current batch of new cables won't break the bank," said
TeleGeography analyst Alan Mauldin. "Most new cables cover shorter
distances and use simpler designs than their predecessors. This
helps keep costs down."
Telegeography said total spending on submarine cables in 2009
would reach $2.6bn, a fifth of the $13.5bn spent in the 2001
frenzy.
New submarine cables entering service,
1998-2011
