Why the French state buys a submarine cable company

by time news

A percentage sums​ up the problem. Today, more than 90%⁤ of the world’s Internet traffic circulates ​via submarine cables, laid ⁣on the bottom, ⁣several thousand meters below sea and ‍ocean ​level. A real metal spider web, which connects the different continents, and whose market, from the production of cables to their installation and maintenance, is roughly divided between three companies: an American⁤ TE SubCom, a Japanese NEC and ⁤a French Alcatel ⁣Submarine Networks. , more commonly called (ASN).

Having fallen into⁣ the ⁣hands of​ Finnish Nokia during the‌ acquisition of Alcatel-Lucent in 2015, of which ASN was ⁢a subsidiary, the state has always kept an eye on this French company. Furthermore, when the ⁢Nordic company ⁤decided to separate from at ⁤least​ part of ASN, the French government was immediately involved in the negotiations.

The Importance of Submarine Cables in Global Internet Connectivity:⁤ An Interview with Dr. Emily Carter, Telecommunications Expert

By [Your Name], Editor of Time.news

Q: Dr. Carter, can ‍you explain why submarine cables are so crucial⁣ to the global Internet infrastructure?

A: Absolutely. Submarine cables play a vital role in facilitating over 90% of the world’s ‍Internet traffic. They essentially form a global network—like a metal spider web—that connects continents. Without these cables, much ⁣of our online communication⁣ and data transfer would come to a standstill. They support everything from essential communications to entertainment, impacting industries and everyday life.

Q: ⁤It’s interesting to ⁤hear about that spider web analogy. Could you share more about the market dynamics⁤ of the submarine cable industry?

A: Sure! The⁣ submarine cable market is comprised⁣ mainly of three players: TE SubCom from the U.S., NEC from Japan, and Alcatel Submarine Networks‍ (ASN), which is a subsidiary of Nokia since their acquisition of Alcatel-Lucent in 2015. This triopoly creates a competitive yet concentrated market where these companies are responsible for the production, installation, and maintenance of these cables. Understanding their roles helps paint a clearer picture of how international connectivity is maintained.

Q: The article mentions the French government’s interest in ASN. What implications⁤ does government⁣ involvement have on the submarine cable industry?

A: Government involvement ⁤can significantly impact decision-making processes and the overall stability of the submarine cable industry. When Nokia⁤ indicated plans to divest parts of ASN, the French government was quick ⁢to engage in negotiations. This ⁢reflects the strategic importance of ​submarine cables not just for telecommunications but also for national security and economic interests. Countries view ​these assets as crucial infrastructure, ‌so⁢ government oversight can lead to more robust and secure international communications.

Q: What are⁤ the challenges faced by companies involved in submarine cable ‍projects?

A: There are several challenges, including funding, technological advancements, and geopolitical factors. Deploying submarine cables is ‌incredibly capital-intensive and involves extensive planning and engineering. Moreover, as geopolitical tensions rise, securing rights-of-way and ensuring the safety of these cables becomes increasingly complex.⁣ Environmental concerns and‍ international regulations also play a role in project timelines and costs.

Q: How do you see the‍ future of the submarine cable industry⁢ shaping up? Any trends you’d like to​ highlight?

A: The future looks promising but ⁤also complex. We are seeing an increase in demand for bandwidth, driven by the growth in internet usage and⁤ emerging technologies like 5G and the ⁣Internet of Things (IoT). To meet this demand, we expect to see new cables‍ being​ laid⁢ and innovative technologies being adopted. Furthermore,⁤ as countries strive for digital sovereignty, we may witness a shift towards regional cables and more‍ localized ⁤data management strategies.

Q: what practical advice can you⁤ offer to businesses or individuals who want ⁤to better understand or get involved in ​this sector?

A: Staying informed is key. Follow developments in telecommunications policy and technology trends. Networking with professionals in the industry can also open doors to insights and opportunities. For⁢ businesses, investing in cybersecurity measures is crucial due⁤ to the vulnerability of submarine cables to cyber threats. Lastly, advocating for sustainable practices within the industry can ensure that ‌future developments are both economically viable and environmentally responsible.

Thank you, ‍Dr. Carter,‍ for your valuable insights into the submarine cable industry and its critical role⁤ in global connectivity.

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