Submarine network to lower internet costs
Apr 22, 2008
THE cost of using internet at home, cafes and offices is set to significantly drop with the construction of a new submarine cable network on the East African coastline.
By John Odyek
THE cost of using internet at home, cafes and offices is set to significantly drop with the construction of a new submarine cable network on the East African coastline.
The submarine cables enable cheap, faster transfer of big amounts of voice and data communication across the globe.
Seacom, a Mauritius-based company, is constructing the submarine cable network that will link East Africa, South Africa, Europe and Asia.
The group presented its business plans to the Government at the Kampala Serena Hotel recently.
The Aga Khan Fund for Economic Development has paid $75m for a 25% stake in Seacom. Aga Khan and several international companies have also invested $600m in the project.
The cables are also expected to create more jobs in the internet sector, Dr, Ham Mulira, the information and communication technology minister, said.
He said the technology would reduce the cost of voice and data transmission by up to 80%.
The monthly cost of satellite links to internet service providers presently stands at about $5,000 to $15,000 per two megabits per second. But the target is to reduce the monthly rate to about $45 to $200 per two megabits.
“This will yield reduction to end users enabling them to access internet and other ICT services at rates comparable to those in Europe and America,†Mulira said.
“This project and others are expected to support the creation of 12,000 jobs per year from a minimum of 30 call centres operating on two shifts. “The call centres cannot operate now because of inadequate bandwidth, limited power supply and the absence of other information and communication technology infrastructure.â€
“Eastern Africa has been the only part of the world without submarine cables connectivity,†said Brian Herlihy, the president of Seacom.
“The fundamental structures are starting to be in place now. The impact on the cost of doing business will be huge.
“Power supply and telecommunications facilities are important elements for economic development,†Herlihy stated.
“With the construction now underway, and about 16 months left to commissioning date, we are on schedule to meet the bandwidth needs of the 2010 Soccer World Cup in South Africa,†he commented.
Brian Ntege, the director NFT Consult, an ICT firm said: “The question now is when Seacom and similar companies could begin providing services to customers and not whether the construction of the cables should take place.â€
THE cost of using internet at home, cafes and offices is set to significantly drop with the construction of a new submarine cable network on the East African coastline.
The submarine cables enable cheap, faster transfer of big amounts of voice and data communication across the globe.
Seacom, a Mauritius-based company, is constructing the submarine cable network that will link East Africa, South Africa, Europe and Asia.
The group presented its business plans to the Government at the Kampala Serena Hotel recently.
The Aga Khan Fund for Economic Development has paid $75m for a 25% stake in Seacom. Aga Khan and several international companies have also invested $600m in the project.
The cables are also expected to create more jobs in the internet sector, Dr, Ham Mulira, the information and communication technology minister, said.
He said the technology would reduce the cost of voice and data transmission by up to 80%.
The monthly cost of satellite links to internet service providers presently stands at about $5,000 to $15,000 per two megabits per second. But the target is to reduce the monthly rate to about $45 to $200 per two megabits.
“This will yield reduction to end users enabling them to access internet and other ICT services at rates comparable to those in Europe and America,†Mulira said.
“This project and others are expected to support the creation of 12,000 jobs per year from a minimum of 30 call centres operating on two shifts. “The call centres cannot operate now because of inadequate bandwidth, limited power supply and the absence of other information and communication technology infrastructure.â€
“Eastern Africa has been the only part of the world without submarine cables connectivity,†said Brian Herlihy, the president of Seacom.
“The fundamental structures are starting to be in place now. The impact on the cost of doing business will be huge.
“Power supply and telecommunications facilities are important elements for economic development,†Herlihy stated.
“With the construction now underway, and about 16 months left to commissioning date, we are on schedule to meet the bandwidth needs of the 2010 Soccer World Cup in South Africa,†he commented.
Brian Ntege, the director NFT Consult, an ICT firm said: “The question now is when Seacom and similar companies could begin providing services to customers and not whether the construction of the cables should take place.â€