The Asia Pacific Gateway submarine cable
Vietnam's government has granted permission to domestic Internet providers to invest in a Southeast and East Asia undersea Internet cable, with the aim of improving the country's Internet speed, news website thesaigontimes.vn reported Thursday.
The military-run telecom company Viettel, FPT telecom company and Hanoi-based CMC Telecom Infrastructure Joint Stock Co., were allowed to invest approximately US$40 million into the 10,000-km Asia Pacific Gateway (APG) submarine cable network.
More than half of the investment will come from Viettel.
The $450-million cable will run directly from Malaysia to South Korea and Japan, with links branching off to other countries and territories, including Singapore, Thailand, Vietnam, Hong Kong, Taiwan and China.
In Vietnam, it will land at the central province of Da Nang.
The network is designed to withstand earthquakes and typhoons, and is expected to become operational in the third quarter of 2014 with a carrying capacity of 15.3 terabits per second, said Nguyen Van Khoa, CEO of FPT telecom company.
He also said the cable will be one of the ways to help his company, set to contribute $10 million, secure and stabilize its network service.
Le Dang Dung, deputy CEO of Viettel, said when investing in an Internet cable, Internet providers can save large sums since they will no longer be forced to lease cables from other providers.
According to a BBC report on July 5, Facebook said it would help fund the project in order to support is growth in South Asia.
Both Viettel and FPT have been investing and using the Asia America Gateway AAG Internet cable, which connects Asian countries and the US and has been operating for roughly four years.
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