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Telecom, Vodafone and Telstra invest in trans-Tasman cable

Telecom, Vodafone and Telstra have signed a non-binding memorandum of understanding (MoU), to co-invest in the construction of a new submarine cable between Auckland and Sydney.

The Tasman Global Access Cable (TGA) will help boost New Zealand's international telecommunications connectivity and is expected to cost about $US60 million. It will include three fibre pairs with a capacity of 30 terabits per second.

Telecom CEO, Simon Moutter, and Vodafone New Zealand CEO, Russell Stanners, said the new cable between A/NZ reflected the growing importance of trans-Tasman internet traffic.

According to the statement, about 40 per cent of Telecom and Vodafone's international internet traffic is between A/NZ, this figure was about 10 per cent in 2000.

"We're seeing increased data content being provided from Australia-based servers by global companies and being accessed by New Zealand internet users. An additional cable connection with Australia will strengthen the business case for international data servers to be located in New Zealand," the statement said.

TGA partners are expected to finalise the design in the next few months and aim to complete the project in mid to late 2014.


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