NEC Wins $475M Sub-Sea Cable Contract

Asia Global Crossing cable will link Hong Kong, Malaysia, Singapore, the Philippines, and Taiwan

October 18, 2000

1 Min Read

TOKYO -- NEC Corporation (NASDAQ:NIPNY) (FTSE: 6701q.1) (TSE: 6701) announced today that it has signed on the 13th of October, the construction contract with Asia Global Crossing Ltd. (NASDAQ: AGCX) for the Phase 2 of East Asia Crossing Submarine Cable System Project, that will connect Hong Kong, Malaysia, Singapore, the Philippines and Taiwan. The contract is worth approximately $475 million on a turnkey basis, Upon completion, East Asia Crossing will be connecting Japan, Taiwan, Korea, Hong Kong, Singapore, Malaysia and the Philippines. At a design capacity of 2.56 terabits, East Asia Crossing will be the fastest system deployed in the region.

In addition to providing pan-Asia connectivity, East Asia Crossing will also provide seamless global connectivity by linking with Asia Global Crossing's submarine cable system, Pacific Crossing, the only non-consortia link in service between the U.S. and Japan; Global Access Limited, a 1,560 route kilometer Japanese terrestrial network; and the rest of the Global Crossing Network, which will link more than 200 major cities worldwide.

Under the terms of the contract, NEC will deliver Phase 2 connecting Hong Kong to Singapore in ready-for-service condition in the fourth quarter of 2001. Phase 2 will add about 7,900 kilometers of undersea fiber optic cable to the system, bringing East Asia Crossing together with Phase 1, to approximately 19,500 kilometers. East Asia Crossing will incorporate four fiber pairs with state-of-the-art dense wavelength division multiplexing (DWDM) technology, to form multiple self-healing rings, providing internal restoration capability in the event of a link outage.

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