HK Telecom in Vietnam deal
HONGKONG Telecom has signed a memorandum of understanding with counterparts in Thailand and Vietnam to plan the first high-capacity telecommunications cable to Vietnam.
The undersea cable, to be landed at Vung Tau in Vietnam, Sri Racha in Thailand and Deep Water Bay in Hongkong, would operate at 560 million bits a second using fibre-optic technology.
The partners say the cable should be complete by the end of 1995 and would be connected to other cable systems in the region to form part of the expanding network of high-speed cables in Asia.
A Hongkong Telecom statement last night said the three companies were seeking further partners in other countries, and are launching a tendering process aimed at finding a contractor to install the system.
The move follows statements three weeks ago by John Tonroe, Hongkong Telecom's finance director, saying it would be the vehicle for Asian expansion for Cable and Wireless, its largest shareholder.
Mr Tonroe noted at the time that Vietnam had no modern cables, and said that the company was intent on following other Hongkong companies, which have made the territory Vietnam's second largest foreign investor.