Southern Cross Cable provides international bandwidth from Australia, New Zealand and Hawaii to the USA. At present the company is currently delivering 620 gigabit/s of bandwidth while undertaking a capacity upgrade which is expected to immediately make available 200 Gigabits of capacity.
This upgrade means the total network’s lit capacity will now reach 1.4 Terabits per second and by March this will increase to 1.6 Terabits and to 2 Terabits by December. The company also states that it has the capacity to further upgrade the network to at least 6 Terabits by December 2013. This essentially indicates that Southern Cross Cable is trying to align it’s network to meet the growing demand of the market and that of the government’s National Broadband Network project.
So what does this mean and how will it affect us? Well, more availability of International capacity means that SCC can expand their supply. Recent SCC upgrades have witnessed increase ISP competition that resulted in data cap increases and price reduction. So perhaps 2012 may once again see some Internet Service Providers discounting prices, increasing data caps or simply providing better value for money propositions.
“With lower marginal capacity cost we have reduced our prices to the US from both New Zealand and Australia by 44%”
“it’s particularly pleasing to see how ISP competition has resulted in big increases to retail data caps over the last year for both Australian and New Zealand internet users, and to see the retail cost of data continuing to fall. Our new initiatives are again designed to support this process as another step towards the new NBN and UFB environments”
– Ross Pfeffer, Southern Cross Sales and Marketing Director.