Southern Cross Targets Pacific Record with Ciena’s WaveLogic 6

Rhea-AI Summary

Southern Cross, an international capacity provider, plans to deploy Ciena's WL6e technology for 800 Gb/s wavelengths across the Pacific, aiming to provide reliable, energy-efficient, and high-bandwidth connections. The deployment is part of the Southern Cross NEXT expansion plans and will contribute to improved network performance across the region. Ciena's technology enables Southern Cross to quickly respond to network demands driven by cloud-based services and emerging applications.

Insights

Telecommunications Expert

The deployment of Ciena's WaveLogic 6 Extreme (WL6e) technology by Southern Cross is a significant development in the field of submarine telecommunications. This move is poised to substantially increase the bandwidth capabilities across the Pacific, which is a critical route for global data traffic.

The implementation of 800 Gb/s wavelengths is particularly noteworthy as it represents a doubling of the current standard of 400 Gb/s. This leap forward in technology is expected to cater to the burgeoning demand for data driven by cloud computing, streaming services and the proliferation of Internet of Things (IoT) devices. The upgrade is also likely to enhance the reliability and efficiency of transpacific data transmission, which is essential for businesses that rely on real-time data exchange.

From an energy efficiency perspective, the reported 50% reduction in watts per bit is an impressive advancement. As the data center industry faces increasing pressure to reduce its carbon footprint, such improvements in energy efficiency are not only beneficial for cost savings but also align with broader environmental sustainability goals.

Financial Analyst

The strategic investment by Southern Cross in Ciena's WL6e technology can have significant financial implications. For Southern Cross, the ability to offer 800 Gb/s services could translate into a competitive edge in the market, potentially attracting new customers and retaining existing ones with the promise of higher speeds and greater efficiency.

For investors, the focus should be on the potential for increased revenue streams from the deployment of this technology. The upgrade to higher bandwidth capacities may allow Southern Cross to command premium pricing for its services, particularly as demand for data continues to escalate. Moreover, the reduction in energy consumption per bit could lead to lower operational costs, improving profit margins.

It is also important to consider the impact on Ciena (NYSE: CIEN), the provider of the technology. The successful deployment and operation of WL6e with Southern Cross could serve as a case study for Ciena, potentially boosting its market reputation and leading to further business opportunities.

Market Research Analyst

The transpacific cable market is becoming increasingly competitive with several new projects announced in recent years. The upgrade of the Southern Cross cable network to include Ciena's WL6e technology could shift market dynamics, offering customers unprecedented data transmission speeds and efficiency.

Market research indicates a growing appetite for high-capacity networks, driven by the shift towards remote work, video conferencing and increased online presence of businesses. Southern Cross's move to enhance its network positions it well to capitalize on these trends. However, it's crucial to monitor how competitors respond to this development and whether they will accelerate their own technological advancements to keep pace.

Additionally, the deployment of this technology could have broader implications for the region, potentially influencing decisions by multinational corporations regarding where to locate data centers and strategic operations based on available network infrastructure and capacities.

Southern Cross readies to be first submarine cable operator to offer 800 Gb/s across the Pacific

SYDNEY, Australia--(BUSINESS WIRE)-- Southern Cross, Australasia’s independent specialist international capacity provider, is planning to deploy Ciena's (NYSE: CIEN) industry-leading WaveLogic 6 Extreme (WL6e) technology as a key part of the Southern Cross (SX) NEXT expansion plans from Sydney to Los Angeles. The use of WL6e technology in NEXT will allow the implementation of 800 Gb/s wavelengths across the single 12,500+km span, providing reliable, energy efficient, and high bandwidth connections to support offerings such as the recently launched 400GbE services from Southern Cross.

“We have a long-standing history with Ciena, and their strong history of innovation and deep understanding of our business needs have continued to be instrumental to our success. SX NEXT cable is a high-performance system and the first phase of the replacement of the original systems by 2030. Today, we’re once again announcing what is expected to be another networking world first, implementing Ciena WaveLogic 6 on SX NEXT to help us push the envelope in terms of high-speed bandwidth connectivity and energy efficiency,” said Laurie Miller, President and CEO, Southern Cross.

Ciena’s WL6e integrates new coherent DSP innovations to provide the highest capacity over fiber. WL6e supports 1.6 Tb/s single-carrier wavelengths for metro networks, 800 Gb/s services across the longest links, a 50% reduction in watts per bit, and requires less space compared to the previous generation for similar capacities. Ciena’s technology enables Southern Cross’ network to more quickly respond to fluctuating and often unforeseen network demands driven by cloud-based services, content, and emerging applications that use artificial intelligence.

“The Southern Cross NEXT cable is key to the transpacific cable ecosystem, contributing to improved network performance across the Pacific region – all on top of Ciena GeoMesh Extreme technology. Southern Cross has always looked to Ciena for the latest innovations to gain a competitive advantage. With this upgrade to WL6, Southern Cross will be able to provide customers with unrivalled connectivity, allowing them to enjoy applications and services of up to 800GbE,” said Dino DiPerna, Senior Vice President, Global Research and Development, Ciena.

Additional Resources:

• Press Release: WaveLogic 6
• Blog: The journey to 1.6 T: Understanding the technologies making 1.6 Tb/s possible
• Video: Ciena’s CTO, Steve Alexander talks with Southern Cross CEO, Laurie Miller about how Southern Cross NEXT is primed to meet surging bandwidth demands

About Southern Cross Cable

Southern Cross Cables Ltd (SCCL) is a leading independent Australasian supplier of international capacity to Carriers and Internet Service Providers (ISPs) in Australia, New Zealand and the Pacific region. SCCL was originally formed in 1997 to establish the Southern Cross Cable Network, a twin submarine cable link between Australasia and the United States West Coast and was designed to provide enhanced reliability, quality and network efficiency.

Further information on Southern Cross can be found at www.southerncrosscables.com.

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.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240123932478/en/

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 technology is Southern Cross planning to deploy for the expansion plans from Sydney to Los Angeles?

Southern Cross is planning to deploy Ciena's WaveLogic 6 Extreme (WL6e) technology.

What will be the capacity of the wavelengths across the 12,500+km span?

The capacity of the wavelengths will be 800 Gb/s.

What are the benefits of Ciena's WL6e technology for Southern Cross?

Ciena's WL6e technology provides reliable, energy-efficient, and high-bandwidth connections, allowing Southern Cross to quickly respond to network demands driven by cloud-based services and emerging applications.