TE Mulls Extending Submarine Cable through River Nile to Serve Africa

Telecom Egypt (TE)(ETAL-CA) is currently considering extending submarine cable to pass through the Nile river to extend Northward the Mediterranean and to serve a number of African countries.

Senior sources stated that extending the submarine cable will help to increase transferring databases entire Egypt and to connect many African countries with high-speed internet ADSL.

The sources said TE is going to launch experimental model of the river cable between Assiut and Sohag governorates.

The sources have informed Amwal Al Ghad that the targeted cable will contribute in boosting the quality of internet services, supporting the African expansion and linking Egypt with the Nile Basin countries.

The revenues of TE from renting an area less than 50% of its submarine cable TE North during the third quarter 2013 are around EGP320 million, TE is aiming to achieve consolidated revenues worth EGP1 billion at the end of the current year.

TE announced its business results at the end of Q3, disclosing that the net profits are EGP650 million, boosting with 22.7% growth rate and revenues up 16% (EGP2.9 billion).

Egypt is capturing 16% from the total value of submarine cables which transferring databases across the world, as 18 cables on an area of 160 K meter, seizing 50% of global databases through the internet network.