The evolution in building specific subsea cable routes is clear: Internet content providers do have the CapEx and the ambition to continue. MAREA subsea cable system is not a one-off, but a continuation of a trend to build a global footprint tuned to the Internet content providers’ target locations of data center assets and desire to minimize latency.
On their side, the carrier-neutral data center operators (like Equinix) have a compelling opportunity to terminate subsea cables directly at their inland premises. Their data centers will be strengthened with the addition of subsea cable system termination. New data center builds have an opportunity to unseat business from gravity data centers built by communications service providers, optimizing for future Internet content providers’ networks and terminating future subsea cable networks. To achieve this, carrier-neutral data center operators (and Internet content providers) can take advantage of the terrestrial/subsea technology convergence: terminal equipment, which was originally deployed in a cable landing station in close proximity to the beach where the cable reached the shore, can now be moved into inland data centers. Such a move eliminates demarcation points between data centers (reducing capital equipment costs) and allows to set up new capacity very quickly (shortening time to market).
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