Two Chinese telecommunications giants have reportedly teamed up to build a new subsea cable between Australia and New Zealand, estimated to be worth US$100 million.
Axin, the Australasian agent and representative of China Communications Service Corp, wants to build a 2300km cable between Auckland and Sydney, and has tapped Huawei Marine Networks Co to help build the link.
The direct link between the two countries would mean that companies seeking to only transfer information between the two countries would not have to share capacity on international subsea cables that redirect overseas, such as the Southern Cross cable or the planned Pacific Fibre cable that both iiNet and Vodafone NZ plan to use for international traffic.
Its capacity will probably be smaller than the existing Southern Cross Cable and the prospective Pacific Fibre cable — via redwolf.newsvine.com