submarine networks industry challenges
TRANSCRIPT
Alcatel Submarine Networks - Confidential 1
Paul Gabla
27th May 2021
Submarine NetworksIndustry Challenges
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Market trends for submarine cable networks
1.2 million km optical cables in service
Submarine cables transport 99% of Internet trafficCables Satellites
> 300Tb/s > 300Gb/s
Transport Access
25 years 10 years
Strong growth fueled by online apps, cloud computing, streaming, VR/AR, 5G …
OTTs are building networks for themselves, not for resale
Market growing from 2bn in 2016 to 4bn in 2024
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$bn
2.0 2.0 2.3 2.3
3.93.4 3.5 3.6 3.7 3.8
0.3 0.30.3 0.4
0.40.4 0.4 0.4 0.4 0.4
0
1
2
3
4
5
2016 2017 2018 2019 2020 2021 2022 2023 2024 2025
Market for submarine systems – solid growth
2.3 2.32.6 2.7
4.33.8 3.9 4.0 4.1 4.2
2Africa
Telecom systemsServices
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Route Planning Marine Survey Permits Design
Manufacturing Marine Lay Support & MaintenanceInstallation & Commissioning
What does full turnkey supply mean ?
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Dry plantWet plant
Area coveredby ASN
The submarine network
Cable Repeaters Marine Operations Terminal Testing PM20% 15% 35% 10% 10% 10%
Typical split of submarine network construction costs
A complex integrated system, with high performance and reliability expectations
Cablestation
Data Center / POP
Terrestrial network
Data Center / POP
Terrestrial network
CableLandingStation
Survey, Lay, Maintain CableLanding Station
Back-hauling
Back-hauling
Branching UnitsR-OADM
Wet repeater amplifiersSLTE Power Feed
Equipment Cable SLTEPower Feed Equipment
Dry repeater
Dry repeater
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• Evolution of cost per km
• Over the same period, system capacity has multiplied by more than 1000
Technology developments (1/2) – cost of capacity
Construction cost 2000 2020
Transatlantic system (6500km) 250 M$ 125 M$
Transpacific system (10000km) 500 M$ 250 M$ - 50%
Over 20 years, the cost per bit/s per kmhas been dramatically reduced
by a factor of > 2000
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And soon…
From 1990 to 2020, submarine system
capacity multiplied by160,000
2019 2020 2022 20232021 2024+
350Tb/s 700Tb/s500Tb/s 1Pb/s
1
10
100
1
10
100
1
Gb/
sTb
/sPb
/s2.5G
10G100G
1T
1990 2000 2010 2020
channel cardWDM
SDM
X00G
per fibre
per cable
560MElectronics
SDM2.1 SDM2.2 SDM2.3
Technology developments (2/2) – system capacity
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650,000kmOf optical cables deployed
Leading-edge and reliable optical technologyHigh capacity Networking flexibility25-years long-term support
50,000km per year The largest manufacturing capabilityin the industry
ASN technical and industrial capability
Comprehensive portfolioTelecom systemsOil & GasDefense & Security
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The submarine networks industry DNA
Reliability
Innovation
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Market and industry challenges
Green and climate change
awareness
Keeping up withthe technical race
Market growthsustainability ?
Supplier industry must scale up
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think ahead,trust ASN.