Transpacific internet traffic continues to surge mightily, according to a release by NTT America today. NTT’s total capacity on its global backbone between Japan and the USA has now reached 300Gbps, which the company bills as more than any other network. I don’t doubt them, as this is NTT’s home turf of course. Their bandwidth is spread across three cable systems: Japan-US, TGN Transpacific, and of course PC-1. It’s interesting that they aren’t including the newer Unity or TPE cables on that list yet, probably because they don’t need to do so immediately as they integrate PC-1 into their network.
NTT purchased PC-1 last year, and you can see why they did so – their transpacific needs are growing rapidly. Having one of those cables under their belt gives them extra bargaining power when purchasing from the other systems and allows them to more predictable access to bandwidth in the future. Not that there is a shortage of undersea fiber out there right now, what with Unity, TPE, and AAG all now in operation.
How all that potential capacity affects the bandwidth market in the region is an open question for 2010. Pricing may be pressured, but on the other hand traffic growth in Asian markets has been held back by the higher prices. Substantial price reductions may lead to an even greater explosion in demand.
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Categories: Internet Traffic · Undersea cables
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