STOCK TITAN

SEA-ME-WE 4 Enables Global Digitalization with Enhanced Connectivity Powered by Ciena

Rhea-AI Impact
(Neutral)
Rhea-AI Sentiment
(Positive)
Tags
Rhea-AI Summary
SEA-ME-WE 4 cable system, powered by Ciena's GeoMesh Extreme, doubles capacity from 65Tb/s to 122Tb/s on the congested Asia-to-Europe route. The upgrade enhances network capacity, flexibility, and durability, meeting the growing demand for bandwidth in the region.
Positive
  • None.
Negative
  • None.

Insights

The expansion of the SEA-ME-WE 4 submarine cable's capacity is a significant development in the telecommunications sector, particularly for the Asia-to-Europe route. This upgrade reflects the increasing data flow between these regions, which is a direct consequence of the digital transformation and economic globalization. The doubling of capacity from 65Tb/s to 122Tb/s represents a substantial increase in the infrastructure's ability to handle large volumes of data traffic, which is crucial for businesses that rely on cloud computing, data centers and online services.

Furthermore, the use of Ciena's GeoMesh Extreme and WaveLogic 5 Extreme coherent optics is indicative of the industry's shift towards more efficient and powerful network solutions. By increasing the capacity per wave to 450Gb/s, the upgrade not only meets current demands but also provides scalability for future growth. This is particularly important for the telecom operators in the consortium, as it may lead to improved margins due to better cost efficiencies and potentially enhanced service offerings for their customers.

The strategic importance of the SEA-ME-WE 4 cable system in facilitating international connectivity and trade cannot be overstated. As such, this upgrade could have positive implications for the stock performance of the participating telecom companies and Ciena, considering the long-term benefits of increased capacity and improved network resilience.

The announcement of the SEA-ME-WE 4 cable system upgrade is a noteworthy event for investors, as it may influence the financial performance of the involved entities. Ciena's role in providing the technology for the upgrade could reflect positively on its revenue growth and market position, given the scale and importance of the project. The investment in cutting-edge technology suggests confidence in the continued demand for bandwidth, which is being driven by trends such as the Internet of Things (IoT), 5G deployment and remote work.

For the telecom operators within the SEA-ME-WE 4 consortium, the enhanced capabilities of the cable system could lead to competitive advantages in terms of service quality and reliability. This is particularly relevant for the Asia-to-Europe corridor, which is one of the busiest data traffic routes in the world. The ability to offer higher capacities and better performance could translate into customer retention and acquisition, ultimately impacting the bottom line.

Investors will likely monitor the ripple effects of this upgrade on the broader market, including potential impacts on regional internet service providers and content delivery networks. The upgrade may also stimulate further infrastructure investments as competitors seek to match or surpass the new standard set by SEA-ME-WE 4.

The upgrade of the SEA-ME-WE 4 cable system is a strategic move in response to the burgeoning demand for data transmission capacity. This demand is fueled by the proliferation of digital services, e-commerce and the increasing interconnectivity of global economies. With the Asia-to-Europe route being a critical link for many businesses, the enhanced capacity could facilitate smoother and more reliable data exchange, which is essential for maintaining the momentum of digitalization in these regions.

From a market perspective, this development could stimulate further growth in sectors such as cloud services, digital entertainment and online education, which are heavily reliant on robust and high-capacity network infrastructures. The improved network could also accelerate the adoption of emerging technologies that require high bandwidth, such as virtual reality and augmented reality, thus potentially opening new markets for innovators and content creators.

Moreover, the increased capacity may lead to more competitive pricing for bandwidth, benefiting end-users and potentially leading to increased internet penetration rates in underserved areas. The long-term economic impact of such infrastructure improvements is often substantial, as they enable new business models and support the overall digital ecosystem.

GeoMesh Extreme doubles capacity for the SEA-ME-WE 4 cable on the congested Asia-to-Europe route

HANOVER, Md.--(BUSINESS WIRE)-- To support growing demand for more bandwidth across the Asia-to-Europe route, SEA-ME-WE 4 (South East AsiaMiddle EastWestern Europe 4) recently completed an upgrade to its submarine cable system. Powered by Ciena's (NYSE: CIEN) GeoMesh Extreme submarine network solution, the upgrade enables a capacity increase from 65Tb/s to 122Tb/s on the SEA-ME-WE 4 cable system.

“Ciena’s cutting-edge technology is helping us in optimizing the resources of the SEA-ME-WE 4 cable, thereby enhancing its capabilities to address evolving connectivity demands through enhancement in network capacity, flexibility, and durability. This upgrade holds particular significance given the pivotal role of the SEA-ME-WE 4 cable system in driving digitalization efforts across the diverse regions where the system is passing through,” said Sidheeque Machinal, Management Committee Chairman, SEA-ME-WE 4 consortium.

With GeoMesh Extreme, leveraging Ciena’s 6500 Packet-Optical platform, SEA-ME-WE 4 can maintain pace with voracious global demand for bandwidth, protect terabits of traffic, and ensure optimal network availability. Additionally, Ciena’s WaveLogic 5 Extreme coherent optics help significantly lower costs by increasing the capacity per wave up to 450Gb/s. SEA-ME-WE 4 is also utilizing Ciena’s Navigator Network Control Suite for real-time visibility into and control of network performance.

“The Europe-to-Asia route, where SEA-ME-WE 4 is situated, is experiencing a major digitalization push, resulting in extreme capacity demands. With Ciena’s field-proven expertise in building critical submarine network infrastructure, we’re helping SEA-ME-WE 4 address rising capacity demands by making the switch to network architectures that adapt to leverage intelligence, scalability, and programmability,” said Thomas Soerensen, Vice President, Global Submarine Solutions, Ciena.

Operated by a consortium of 16 telecom operators, SEA-ME-WE 4 is an approximately 18,800 km submarine cable connecting Singapore, Malaysia, Thailand, Bangladesh, India, Sri Lanka, Pakistan, United Arab Emirates, Saudi Arabia, Egypt, Italy, Tunisia, Algeria, and France.

About Ciena

Ciena (NYSE: CIEN) is a global leader in networking systems, services, and software. We build the most adaptive networks in the industry, enabling customers to anticipate and meet ever-increasing digital demands. For three-plus decades, Ciena has brought our humanity to our relentless pursuit of innovation. Prioritizing collaborative relationships with our customers, partners, and communities, we create flexible, open, and sustainable networks that better serve all users—today and into the future. For updates on Ciena, follow us on LinkedIn, Twitter, the Ciena Insights blog, or visit www.ciena.com.

Note to Ciena Investors

You are encouraged to review the Investors section of our website, where we routinely post press releases, SEC filings, recent news, financial results, and other announcements. From time to time we exclusively post material information to this website along with other disclosure channels that we use. This press release contains certain forward-looking statements that are based on our current expectations, forecasts, information, and assumptions. These statements involve inherent risks and uncertainties. Actual results or outcomes may differ materially from those stated or implied, because of risks and uncertainties, including those detailed in our most recent annual and quarterly reports filed with the SEC. Forward-looking statements include statements regarding our expectations, beliefs, intentions or strategies and can be identified by words such as "anticipate," "believe," "could," "estimate," "expect," "intend," "may," "should," "will," and "would" or similar words. Ciena assumes no obligation to update the information included in this press release, whether as a result of new information, future events or otherwise.

Press Contact:

Chua Wei Wei

Ciena Corporation

+65 9833 2654

pr@ciena.com

Investor Contact:

Gregg Lampf

Ciena Corporation

+1 (410) 694-5700

ir@ciena.com

Source: Ciena Corporation

FAQ

What is the name of the submarine cable system mentioned in the PR powered by Ciena's GeoMesh Extreme?

The submarine cable system mentioned is SEA-ME-WE 4.

What was the capacity increase achieved on the SEA-ME-WE 4 cable system after the upgrade?

The capacity increased from 65Tb/s to 122Tb/s on the SEA-ME-WE 4 cable system.

Which Ciena solution was used to power the upgrade on the SEA-ME-WE 4 cable system?

Ciena's GeoMesh Extreme submarine network solution was used to power the upgrade.

How does Ciena's WaveLogic 5 Extreme coherent optics help in reducing costs?

Ciena's WaveLogic 5 Extreme coherent optics help lower costs by increasing the capacity per wave up to 450Gb/s.

What network control suite is SEA-ME-WE 4 utilizing for real-time visibility and control of network performance?

SEA-ME-WE 4 is utilizing Ciena's Navigator Network Control Suite for real-time visibility and control.

Ciena Corporation

NYSE:CIEN

CIEN Rankings

CIEN Latest News

CIEN Stock Data

12.54B
140.66M
0.92%
101.67%
4.32%
Communication Equipment
Telephone & Telegraph Apparatus
Link
United States of America
HANOVER