China Telecom, CAT to deploy inter-regional broadband link

Monday 4 July 2016 | 07:54 CET | News

China Telecom and Thai operator CAT Telecom have signed an investment framework agreement for a land- and water-borne high-speed broadband project to link China and Southeast Asia. China Telecom and CAT are now seeking partners and strategic alliances for the new project, The Nation reports, citing Uttama Savanayana, Thai minister of information and communications technology. CAT and China Telecom will soon launch a joint venture to implement the project, he added.

CAT Telecom plans to invest around THB 3 billion in the inter-regional broadband link project. CAT’s return will come from its share of profit based on the JV ratio. The inter-regional internet system will link Asean nations with mainland China.

The system will originate in Hong Kong, pass through Thailand, Laos and the other counties in the CLMV subregion (Cambodia, Myanmar and Vietnam) before swinging upwards back to China. Currently, in Thailand, over 90 percent of internet streaming overseas has to go down to Singapore and Malaysia before reaching destinations even in China, but the project is expected to cut the distance, and thus reduce expenses.

The submarine cable in the second phase of the project will facilitate maritime communication in east China and Southeast Asia, the Thai minister also said.

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