Singtel and NEC to Construct 8,900km Asian Subsea Cable for AI and Cloud Computing Growth.

Wednesday, Jul 16, 2025 8:54 pm ET2min read

Singtel, a Singapore-based telecommunications company, and NEC, a Japanese technology firm, are leading a consortium to build an 8,900km subsea cable linking Singapore to Japan and other countries in Asia. The Asia United Gateway East cable project aims to meet the growing demand for data infrastructure driven by AI and cloud computing. The cable, expected to be completed by 2029, will use advanced fiber-optic technology to carry high volumes of internet and data traffic.

Singtel, a leading Singapore-based telecommunications company, and NEC, a Japanese technology firm, have joined forces to build an 8,900km subsea cable linking Singapore to Japan and other countries in Asia. The project, known as the Asia United Gateway East (AUG East) cable, aims to meet the growing demand for data infrastructure driven by artificial intelligence (AI) and cloud computing.

The consortium, chaired by Singtel, includes Amazon Web Services, Microsoft, ARTERIA Networks, Chunghwa Telecom, DREAMLINE, Globe Telecom, Telekom Malaysia, and Unified National Networks. The cable is expected to be completed by the third quarter of 2029 and will use the latest submarine fiber-optic technology.

According to Mr. Alan Tan, chairperson of the Asia United Gateway Cable Management Committee and Director of Submarine Cable Planning at Singtel, "The surge in demand for high-speed connectivity and the bandwidth needed for AI innovation in the region makes developing resilient, high-capacity digital infrastructure more important than ever." The AUG East cable system is designed to complement existing submarine cable systems in the region, providing additional bandwidth to meet consumers' and businesses' demand for reliable and low-latency data access.

The AUG East system will feature a high-count fiber pair system, capable of supporting millions of simultaneous ultra-high-definition video streams. This advanced technology is crucial for meeting the forecasted growth in network traffic from AI applications, which is expected to exceed conventional application traffic by 2031 [1].

NEC, a top company in the submarine cable business, will leverage its extensive experience to ensure the success of the project. Mr. Tomonori Uematsu, Corporate Senior Vice President with NEC Corporation, stated, "NEC is honored to have been selected as a partner for this significant project, which will support increasingly bandwidth-intensive applications driven by technological advancements in data centers and artificial intelligence."

The AUG East cable system will not only enhance digital connectivity but also improve network diversity and resilience in the event of natural disasters like earthquakes. By connecting the digital hubs of Singapore and Japan, the project will play a critical role in advancing digital inclusion and catalyzing economic growth across the region.

The financial details of the investment have not been disclosed, but the consortium is committed to meeting the growing demand for high-speed connectivity and bandwidth, driven by the rapid growth of AI and AI-enabled applications.

References:
[1] https://www.tradingview.com/news/reuters.com,2025-07-16:newsml_JCN101050a:0-aug-east-consortium-and-nec-to-develop-high-capacity-submarine-cable-system-across-east-asia/
[2] https://www.lightreading.com/cable-technology/aug-east-cable-to-meet-surging-ai-bandwidth-demand
[3] https://asia.nikkei.com/Business/Telecommunication/Singtel-led-group-to-build-8-900km-Asian-subsea-cable-with-NEC

Singtel and NEC to Construct 8,900km Asian Subsea Cable for AI and Cloud Computing Growth.

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