eastern africa submarine cable system (eassy)

Eastern Africa Eastern Africa Submarine Cable System Submarine Cable System

(EASSy)(EASSy)

CLOSING THE FINAL LINK AROUND AFRICA

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OverviewOverview► IntroductionIntroduction► Current ScenarioCurrent Scenario► The OpportunityThe Opportunity► System Configuration and Global ConnectivitySystem Configuration and Global Connectivity► Potential InvestorsPotential Investors► Key features of the proposed SystemKey features of the proposed System► Benefits to AfricaBenefits to Africa► Project CostsProject Costs► Project StatusProject Status► Planned Project MilestonesPlanned Project Milestones

Eastern Africa Submarine Cable SystemEastern Africa Submarine Cable System 33

IntroductionIntroduction►Liberalisation of the telecommunications Liberalisation of the telecommunications

sector has led to evolution of internet, sector has led to evolution of internet, VOIP, mobile market & integrated network VOIP, mobile market & integrated network solutions.solutions.

► It is therefore necessary that an It is therefore necessary that an appropriate infrastructure is developed to appropriate infrastructure is developed to carry the rapidly increasing traffic.carry the rapidly increasing traffic.

►The Eastern Africa Submarine Cable The Eastern Africa Submarine Cable System has been conceived in this System has been conceived in this context.context.

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Current ScenarioCurrent Scenario

► West Africa covered by SAT-3/WASC & Atlantis-2West Africa covered by SAT-3/WASC & Atlantis-2► Currently no other cable initiative for East AfricaCurrently no other cable initiative for East Africa► Eastern Africa Region exclusively reliant on Eastern Africa Region exclusively reliant on

SatelliteSatellite► Limited satellite capacity, earth station and Limited satellite capacity, earth station and

terrestrial infrastructure in regionterrestrial infrastructure in region► Increase in demand for intra-regional and global Increase in demand for intra-regional and global

connectivity, data services and VOIPconnectivity, data services and VOIP► Low demand for telecommunications systems Low demand for telecommunications systems

globally – buyers-market in submarine cable globally – buyers-market in submarine cable industry!industry!


Current ScenarioCurrent Scenario► NEPAD has identified and endorsed the East NEPAD has identified and endorsed the East

African cable as a priority project.African cable as a priority project.

► The proposed East African Submarine Cable will The proposed East African Submarine Cable will provide the last link to completely encircle Africa provide the last link to completely encircle Africa by high capacity optic fibre telecommunications by high capacity optic fibre telecommunications networksnetworks


The OpportunityThe Opportunity► Hi quality broadband international connectivity Hi quality broadband international connectivity

reaching Madagascar, Eastern & Southern reaching Madagascar, Eastern & Southern AfricaAfrica

► Restoration for EASSy via existing submarine Restoration for EASSy via existing submarine cables such as SAFE, Sea-Me-We-3, SAT-3cables such as SAFE, Sea-Me-We-3, SAT-3

► Access to untapped emerging markets in voice, Access to untapped emerging markets in voice, mobile and Internet trafficmobile and Internet traffic

► Reduce Region’s dependency on SatelliteReduce Region’s dependency on Satellite► Lower network costs at higher bandwidthLower network costs at higher bandwidth


Mahajanga

Mtunzini

Zanzibar

Eastern Africa Submarine Cable System (EASSy)


Zanzibar

Malaba


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SEA ME WE 3

SAFE

SAT-3/WASC

Global Connectivity

Eastern Africa Submarine Cable SystemEastern Africa Submarine Cable System

Germany

Portugal

Brazil

Senegal

South Africa

EgyptMalaysia

Australia

Japan

SEA-ME-WE-3 (35Countries)

SAFE(5 Countries)

ATLANTIS-2(6 Countries)

SAT-3 / WASC(11 Countries)

56 Countries

India

EASSy

(11 Countries)

Strategic Global CoverageStrategic Global Coverage


Investment InterestInvestment Interest► The following (11) parties have signed the The following (11) parties have signed the

Memorandum of Understanding (MOU) for the Memorandum of Understanding (MOU) for the development of the system:development of the system:

• Telkom Kenya Telkom Kenya Zanzibar Telecom Zanzibar Telecom Uganda TelecomUganda Telecom MTN UgandaMTN Uganda TDM MozambiqueTDM Mozambique Telkom South AfricaTelkom South Africa Djibouti TelecomDjibouti Telecom SentechSentech Telecom MalagasyTelecom Malagasy Rwanda TelecomRwanda Telecom Botswana TelecomBotswana Telecom


Signed LOI & Signed LOI & C&NDAC&NDA

SwazilandSwaziland LesothoLesotho EthiopiaEthiopia

Not Signed Not Signed LOI&C&NDALOI&C&NDA

ZambiaZambia ZimbabweZimbabwe EritreaEritrea SudanSudan SeychellesSeychelles BurundiBurundi DR CongoDR Congo SomaliaSomalia ComorosComoros

Potential Participants from other Potential Participants from other African CountriesAfrican Countries


Potential International InvestorsPotential International InvestorsThe following International Carriers amongThe following International Carriers amongothers have shown interest in the project andothers have shown interest in the project andtheir participation is expected in the form oftheir participation is expected in the form ofinvestment.investment.• Belgacom – Belgium, BT - UKBelgacom – Belgium, BT - UK• Teleglobe – Canada ,Telenor - NorwayTeleglobe – Canada ,Telenor - Norway• AT&T & MCI - USAAT&T & MCI - USA• France Telecom ,KPN - NetherlandsFrance Telecom ,KPN - Netherlands• Cable & Wireless and Telekom MalaysiaCable & Wireless and Telekom Malaysia


Key Features of the SystemKey Features of the System► The The completion of an optic fibre ring around Africa in completion of an optic fibre ring around Africa in

conjunction with other optic fibre submarine cable conjunction with other optic fibre submarine cable systemssystems

► The first optic fibre connectivity between Eastern Africa The first optic fibre connectivity between Eastern Africa and the global optic fibre networkand the global optic fibre network

► A superior optic fibre connectivity utilizing Synchronous A superior optic fibre connectivity utilizing Synchronous Digital Hierarchy, direct Optical Amplification and Digital Hierarchy, direct Optical Amplification and Wavelength Division Multiplexing technologyWavelength Division Multiplexing technology

► High capacityHigh capacity► Superior qualitySuperior quality► Cost-effective alternative transmission mediumCost-effective alternative transmission medium► Provides excellent diversity and restoration options for Provides excellent diversity and restoration options for

the usersthe users

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Dar Es SalaamDar Es Salaam(Tanzania)(Tanzania)

DjiboutiDjibouti

MogadishuMogadishu(Somalia)(Somalia)

MtunziniMtunzini(South Africa)(South Africa)

MaputoMaputo(Mozambique)(Mozambique)

MahajangaMahajanga(Madagascar)(Madagascar)

ZanzibarZanzibar(Tanzania)(Tanzania)

MombasaMombasa(Kenya) (Kenya) Repeaterless

Optional link

RepeaterlessOptional link

Optional Branchand BU

ConfigurationConfiguration


Technical DescriptionTechnical Description

► System length 8 840 kmSystem length 8 840 km► Dense Wavelength Division Multiplexing Technology Dense Wavelength Division Multiplexing Technology

(DWDM)(DWDM)► Direct Optical Amplification TechnologyDirect Optical Amplification Technology► Additional feeder network through repeaterless festoon Additional feeder network through repeaterless festoon

systems, if requiredsystems, if required► 2 fibre pair system configured as a collapsed ring2 fibre pair system configured as a collapsed ring► Proposed ultimate capacity per fiber pairProposed ultimate capacity per fiber pair

16 or 32 wavelengths at 10 Gbit/s16 or 32 wavelengths at 10 Gbit/s Total capacity of 320 or 640 Gb/sTotal capacity of 320 or 640 Gb/s

► Initial equipage: 1 or 2 wavelengths per fiberInitial equipage: 1 or 2 wavelengths per fiber► System design life of 25 years.System design life of 25 years.


Benefits to AfricaBenefits to Africa► Improved high capacity optic fibre connectivity within Africa Improved high capacity optic fibre connectivity within Africa

and the rest of the world. and the rest of the world. ► Enables new services and products not possible before due Enables new services and products not possible before due

to bandwidth restrictionsto bandwidth restrictions► Contributes towards the socio-economic development of the Contributes towards the socio-economic development of the

regionregion► Reduced unit costs (capital and operational) for global Reduced unit costs (capital and operational) for global

connectivity, leading to increased profitsconnectivity, leading to increased profits► Reduced out payments to foreign telecommunications Reduced out payments to foreign telecommunications

(satellite) facility providers.(satellite) facility providers.► Direct routes through own infrastructure obviate the need for Direct routes through own infrastructure obviate the need for

transits through Third Parties - reduced out payments.transits through Third Parties - reduced out payments.► Expansion in inter-Africa trade, facilitated by better Expansion in inter-Africa trade, facilitated by better

communication in the region.communication in the region.


Project CostsProject Costs► Project cost for a system from SA to Djibouti estimated Project cost for a system from SA to Djibouti estimated

at US$200 Millionat US$200 Million► This includes US$170 million for the System Supply and This includes US$170 million for the System Supply and

US$30 million for project managementUS$30 million for project management► The above excludes the cable station building and The above excludes the cable station building and

ancillary services which is estimated at US$2Million ancillary services which is estimated at US$2Million each.each.

► There are planned 8 cable stations at Mtunzini - South There are planned 8 cable stations at Mtunzini - South Africa, Mahajanga - Madagascar, Maputo-Mozambique, Africa, Mahajanga - Madagascar, Maputo-Mozambique, Dar es Salaam and Zanzibar –Tanzania, Mombasa – Dar es Salaam and Zanzibar –Tanzania, Mombasa – Kenya, Mogadishu – Somalia and Djibouti – Djibouti.Kenya, Mogadishu – Somalia and Djibouti – Djibouti.


Project StatusProject Status

► Initial feasibility study completedInitial feasibility study completed► MOU signed by eleven (11) parties.MOU signed by eleven (11) parties.► Project Management Committee (PMC) and Working Project Management Committee (PMC) and Working

Groups formed. Groups formed. ► PMC chairman and Working Group Team Leaders PMC chairman and Working Group Team Leaders

appointed. appointed. ► Tasks in the next phase are as follows:Tasks in the next phase are as follows:

Carrying out detailed feasibility study Carrying out detailed feasibility study Developing the project financing modelDeveloping the project financing model Drafting of Construction & Maintenance AgreementDrafting of Construction & Maintenance Agreement Invitation of tenders for supply of SystemInvitation of tenders for supply of System


Project Management CommitteeProject Management Committee► PMC Chairman – Telkom KenyaPMC Chairman – Telkom Kenya► Project Secretariat - Telkom KenyaProject Secretariat - Telkom Kenya► Project Coordinator - Zanzibar TelecomProject Coordinator - Zanzibar Telecom► Commercial &Finance WG Leader - Uganda Commercial &Finance WG Leader - Uganda

TelecomTelecom► Interim Procurement WG Leader – Telkom South Interim Procurement WG Leader – Telkom South

AfricaAfrica► Construction &Maintenance Agreement WG Construction &Maintenance Agreement WG

Leader – TDM MozambiqueLeader – TDM Mozambique► Backhaul Coordination WG - NEPADBackhaul Coordination WG - NEPAD


Planned Project MilestonesPlanned Project Milestones► Sign MOUSign MOU Q4 2003Q4 2003

► Agree on Configuration Agree on Configuration Q2 2004Q2 2004

► Issue Invitation to TenderIssue Invitation to Tender Q3 2004Q3 2004

► Financial ClosingFinancial Closing Q4 2004Q4 2004

► Sign Supply Contract & C&MASign Supply Contract & C&MA Q2 2005Q2 2005

► Cable RFCSCable RFCS Q4 2006 Q4 2006


The successful implementation of the East African Submarine Cable System is expected to make significant contribution to the development and provision of ICT services and facilitate the intra-regional as well as international trade.

ConclusionConclusion


The EndThe End

eastern africa submarine cable system (eassy)

Documents

submarine cable industry

cable initiative

east african cable

existing submarine cables

optic fibre ring

telecommunications systems

telecommunications sector

priority project