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Subsea Cables & Internet Infrastructure

Blog is devoted to educating readers about the subsea cable industry with a particular focus on recent events and new submarine cable projects. Ideal for those in the industry who wants breaking news on outages, new projects, and general industry trends. Roderick Beck worked as a sales contractor for Hibernia Atlantic and helps buyers procure capacity and providers make sales.

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The December 2006 Taiwan Earthquake: 11 Subsea Cable Outages

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August 26, 2024

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Burying Fibre Optic Subsea Cables In Shallow Waters: The How And Why

August 01, 2024

It is standard practice to bury subsea cables in shallow waters. This generally means the ocean or sea lying above the continental shelf. The shelf is really just that part of the continent that is submerged under water during the warm periods between the earth's recurring ice ages. During interglacial periods like now the shelves remain submerged and during each ice age the shelves become dry land as the sea levels fall due to less precipitation. Precipitation declines as the earth becomes colder and water is locked up in snow, ice, and glaciers on dry land. Indeed, during the last ice age the oceans were about 130 meters lower than today's levels and the continental shelves were dry land. In general, the continental shelves range from 100 to 200 meters below the water surface. At the continental shelf's edge the depths plunge down a steep slope to the bottom of the ocean. The purpose of burying is to protect a fibre optic cable from its most ferocious predators and enemi

How To Calculate An IRU Price For a 100G Wavelength

September 06, 2024

The IRU price should reflect your forecast of future lease revenes. If the current MRC is high and prices have been stable and are expected to remain so, then the opportunity cost of selling an IRU is high. You are sacrificing a lot of lease revenue if you sell that capacity. In this case the upfront IRU price should equal the three year MRC multipled by 4 to 6 years. So if the three year Faster cable MRC is $17K, then 48x to 72x times that number is fair value. So 48*$17K=$816K. Plus a standard 4% annual fee to cover the wavelength's share of maintenance and operations.. So strong markets and tight capacity mean that leasing is more attractive than IRUs to the supplier. Vice versa, the buyers will be desperate to lower their long term costs via an IRU. In my example, $816K divided by 15 years equates to $4500 per month excluding O&M. Bad for the seller. Good for the buyer. That's why so many of you are looking for IRU capacity to resell to your clients, but finding few se

The Best Subsea Cable Across The English Channel: Scylla

August 08, 2024

The English Channel has been a sore spot for the wholesale telecommunications industry. The key problem is the abundance of freight and fishing vessels. Ships are the number one global cause of subsea cable outages. They drop their anchors to come to a halt and also drag them to maintain stability in rough seas. For example, last autumn a Chinese freight ship called the New New Polar Bear dragged its anchor through the Baltic Sea knocking out a gas pipeline as well as the fibre optic cable attached to it. This Spring a Houthi missile hit the Rubymar cargo ship in the Red Sea; consequently, the crew abandoned ship. To do so, they dropped the anchor to halt the vessel so the crew could safely depart in the life boats. Afterwards, the Rubymar drifted 31 kilometers and its anchor severed 3 major subsea arteries of European/Asian traffic, namely the AAE1, EIG, and jointly owned Seacom/Tata cables. It took five months to get those three cables fixed due to the ongoing Houthi rebel conflict.

Subsea Cables & Internet Infrastructure

Blog is devoted to educating readers about the subsea cable industry with a particular focus on recent events and new submarine cable projects. Ideal for those in the industry who wants breaking news on outages, new projects, and general industry trends. Roderick Beck worked as a sales contractor for Hibernia Atlantic and helps buyers procure capacity and providers make sales.

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Roderick S. Beck: Budapest, Michigan, Tallinn, Estonia

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