Business Daily from THE HINDU group of publications Thursday, Oct 05, 2006 ePaper |
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Telecommunications Info-Tech - Mergers & Acquisitions
Thomas K Thomas
New Delhi , Oct. 4 Tata managed Videsh Sanchar Nigam Ltd and the East African Submarine Cable System (EASSy) are in discussions to merge their respective under sea cables linking India and Africa to Europe. The move will make the proposed under sea cable the second largest joint under sea cable after AT&T. While VSNL is rolling out a 9,000 km direct cable link between India and Europe via North Africa, EASSy will encircle the entire African continent through 9,900 km cable connecting 20 countries lying between South Africa and Sudan. The project envisages interconnecting the two under sea cable systems. VSNL sources said that the discussions are in initial stages and the project will be completed in about 2 years time.
Direct access
The merger with EASSy will give VSNL a direct access to the untapped African market. While there are other cable links such as the SAFE that lands in South Africa, EASSy offers the advantage of touching almost all the major countries in the African continent, which is touted to be the next growth market as far as telecommunication is concerned. EASSy will be connected to the African hinterlands through the East African Digital Transmission System. The tie-up with EASSy will strengthen VSNL's position in the global under sea cable market. VSNL already owns some of the biggest cables in the world such as Tyco and Teleglobe and is part of the Se-Me-We 4 consortium
More Stories on : Telecommunications | Mergers & Acquisitions | Videsh Sanchar Nigam Ltd
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