By Aashi Sehrawat
Reliance Communications has recently announced a
USD 600 million investment to lay a 68,000 km undersea cable network, called
The Eagle. This network will carry data to Europe and Hong Kong from its
headquarters and expects USD 700-billion in annual revenue on completion.
The Eagle express submarine cable system will
connect its base in India with Italy to the west and Hong Kong on the east. It
is expected to treble revenue in five years for its wholly-owned subsidiary
GCX, which is laying the cable as the company said. It will reportedly be the
company's sixth submarine cable system and is expected to be operational by the
third quarter of 2020, RCom chief executive officer Bill Barney said. He also
added that the new cable will increase its total capacity by 10 times as
compared to the current capacity.
It will be financed by the partners,whose
numbers can increase till 30, adding the company expects to get over $700
million through such pre-sales as against the cost of $600 million.It has already tied up with six partners including Alibaba, through which they
have raised USD 300 million in commitments.This cable system will create a Next Generation IP and Cloud environment across the emerging markets corridor.
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