Tatas launch $100 mn undersea optic cable

Tata Group chairman Ratan Tata today launched India's first fully-owned undersea optical cable, which connects global IT hubs Singapore and Chennai.

The launch of the $100 million, 3,175-km Tata Indicom cable comes barely two days after the Tatas announced the acquisition of Tyco Global Network for $130 million.

Tata said, "The Tata Indicom cable brings a new dimension to the Tata Group's engagement with Singapore. It is also a major new link in the rapidly growing network of ties in bringing India and Singapore together, in trade, finance, investment, services and communication."

The cable has the capacity equivalent to 77 million simultaneous phone calls and will increase Singapore's connectivity to the world by 60 per cent.

Tata said the cable would prove to be an important link for the growth of broadband business that will serve the needs of corporate customers and households.

Asked if the Tatas had deep pockets to sustain major operations and investments without immediate returns, he said, "We have to have a strong base and which we have."

VSNL executives said the completion of the cable and the Tyco acquisition would put VSNL way ahead of other international players.

Said VSNL director (operations) N Srinath, "The cable, along with our national long-distance backbone, will enable us to offer the highest levels of service at reasonable tariffs to our customers in India as well as abroad."

The cable system utilises the DWDM (dense wavelength division multiplexing) technology, and has equipment for providing back-up in case of wavelength failure. The undersea cable will play a crucial role in the pan-Asia network, connecting Singapore to Tokyo and Europe.

The project was completed in a record 10.5 months. A project of such magnitude generally took up to 15 months to complete, said HSV Prasad, general manager (engineering), VSNL.

Speaking on the occasion, Singapore's education minister T Shanmugaratnam complimented the Tatas for evincing keen interest in Singapore's development.