LSN News › Malaysia

World · Malaysia Bureau

US-backed undersea cable to connect Southeast Asia's digital hubs

A major submarine data cable project backed by American interests will link Malaysia, Vietnam, Singapore and Thailand, with operations expected to commence in late 2028. The 2,500-kilometre infrastructure investment, valued at US$400 million, represents a significant boost to regional digital connectivity.

LSN Malaysia · 22 October 2026

US-backed undersea cable to connect Southeast Asia's digital hubs

A new undersea data cable initiative will enhance connectivity across four key Southeast Asian markets through a US$400 million infrastructure project. The 2,500-kilometre submarine cable will establish direct digital links between Malaysia, Vietnam, Singapore and Thailand, creating an important addition to the region's telecommunications backbone.

The project, backed by American interests, is currently in the vendor selection phase, with telecommunications equipment manufacturers NEC and Alcatel under consideration to supply and potentially operate the cable system. Both companies bring extensive experience in submarine cable deployment across Asia-Pacific waters.

Operations are targeted to commence in late 2028, pending successful completion of the procurement process and construction phases. The cable is expected to significantly expand data transmission capacity between the four nations, supporting growing demand for cloud services, digital commerce and content delivery across Southeast Asia.

The initiative reflects broader efforts to strengthen digital infrastructure across Southeast Asia and reduce reliance on existing cable routes. Enhanced undersea connectivity typically translates to improved internet speeds, reduced latency and increased competition among service providers, benefiting businesses and consumers throughout the region.

The project adds to a growing pipeline of submarine cable investments in Southeast Asia, as demand for international bandwidth continues to surge amid rapid digitalization across the region's economies.