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Microsoft Invests In Undersea Cable Projects

Posted by samzenpus on from the under-the-sea dept.

An anonymous reader writes: Microsoft announced today that it will partner with a group of telecom companies in order to build new undersea cables. A new cable will connect data centers in China, South Korea, and Japan to the West Coast. Microsoft hopes the New Cross Pacific (NCP) Cable Network will improve connection speeds and boost its competitiveness in cloud computing. They also made deals with Hibernia and Aqua Comms, to invest in a cable with each company connecting Microsoft's datacenter infrastructure from North America to Ireland and the United Kingdom. A company announcement reads in part: "Additionally, we joined a consortium comprised of China Mobile, China Telecom, China Unicom, Chunghwa Telecom, KT Corporation with TE SubCom as the cable supplier. As part of our participation in the consortium, Microsoft will invest in its first physical landing station in the US connecting North America to Asia. The New Cross Pacific (NCP) Cable Network will provide faster data connections for customers, aid Microsoft in competing on cloud costs, all while creating jobs and spurring local economies. The goal of our expansions and investments in subsea cables is so our customers have the greatest access to scale and highly available data, anywhere."

18 of 41 comments (clear)

  1. A worrying trend by Anonymous Coward · · Score: 2, Insightful

    Software companies (Microsoft, Google, Facebook) are investing in internet infrastructure because they are out of ideas.

    1. Re:A worrying trend by Rich0 · · Score: 1

      Software companies (Microsoft, Google, Facebook) are investing in internet infrastructure because they are out of ideas.

      Or does this reflect some kind of market inefficiency where it makes more sense for a software company to run cables across the ocean than to deal with the telecoms who already specialize in such things? Perhaps the existing service providers abuse their market power too much, to the degree that people would rather DIY.

    2. Re:A worrying trend by westlake · · Score: 1

      It seems odd to hear the geek complain when the big corporation spends substantial sums on global infrastructure.

    3. Re:A worrying trend by Shatrat · · Score: 1

      It just shows that at a certain level of volume it makes more sense to produce the product yourself. These companies need to move terabits of traffic long distances. If they did this purely by leasing capacity from traditional telecoms they would be paying millions of dollars per month. For that kind of money, you can build one hell of a transport network and then have control as well as cost savings. Unfortunately with Submarine routes the only reliable way to get fiber in the cable is to be a member of the consortium building it. You can't come along years later and buy dark fiber because it's all in use quick.

      --
      09 F9 11 02 9D 74 E3 5B D8 41 56 C5 63 56 88 C0
    4. Re:A worrying trend by Ol+Olsoc · · Score: 1

      It seems odd to hear the geek complain when the big corporation spends substantial sums on global infrastructure.

      Slashdot isn't what it used to be. Today, whatever gets posted, it's set upon like blowflies on a wildabeest carcass with people saying how they hate it.

      It costs good money to fertilize that lawn those damn teenagers are walking on.

      --
      The shepherds did so well protecting the flock that the sheep no longer believed that wolves existed.
    5. Re:A worrying trend by chilenexus · · Score: 1

      Out of ideas, or to protect themselves from ISPs that seem intent on using bandwidth as an excuse to throttle connections to their sites and extort money from them? If they become peers to the ISPs (becoming ISPs themselves), then the arguments that comcast/verizon/AT&T use against content providers like Netflix will fall apart and they'll have to go back to hatching new evil schemes.

  2. They out to compete for the Seattle market by Anonymous Coward · · Score: 1

    Message to Microsoft: when your HQ employees only have access to Comcast (Pray you don't have a problem) and CenturyLink (Pray you don't need bandwidth), you'd be really well served to increase local capacity (a-la Google Fiber) to your local markets.

    Good job sending more fiber to Asia, though.

    1. Re:They out to compete for the Seattle market by Dorkmunder · · Score: 1

      Amen to that! As someone living in Seattle who can't get any good access (even if I decided to sacrifice a firstborn child and go with Comcast I wouldn't be able to as they don't support my area) I'm actually shocked that Microsoft hasn't seen that they could make bank just bringing Seattle into the 20th century of broadband (I know, I'm not asking for much).

  3. It's official! by penguinoid · · Score: 1

    Pretty soon Microsoft is going to be underwater.

    --
    Don't waste your vote! Vote for whoever you want, unless you live in a swing state it won't matter anyways
    1. Re:It's official! by Anonymous Coward · · Score: 1

      I sea what you did there.

  4. Use up that cash pile... by Bruce66423 · · Score: 2

    Microsoft continues to have vast amounts of cash; that some of it is going to be used to build some useful infrastructure is a good thing. However the idea that this is best value for shareholders, who surely invested in a software company, is less obvious.

  5. Re:Not only software companies by pslytely+psycho · · Score: 1

    "Any exciting new video games lately? Same old shoot-em-up?"

    May I suggest Kerbal Space Program,
    Yes, it's definitely a 'shoot em up,' but not the same ol' shit. You build and shoot off rockets, spaceplanes etc using actual orbital mechanics.

    Extremely hard. Doesn't hold your hand. You will fuck up. Most amazing game I've played. (2 1/2 years)

    Just came out of early access.

    https://kerbalspaceprogram.com/en/

    --
    Donald Trump, on a crusade to make Nixon look respectable
  6. This is good by Etherwalk · · Score: 2

    Microsoft continues to have vast amounts of cash; that some of it is going to be used to build some useful infrastructure is a good thing. However the idea that this is best value for shareholders, who surely invested in a software company, is less obvious.

    Fundamentally, a large part of what MS is selling today is its cloud services. Software subscriptions, OneDrive, MS hosted Exchange, Cloud computing, etc...

    Better data links can be helpful with that. Think load-balancing or parallel processing or insurance against depletion of resources. If someone makes a bad call or an unexpected load comes up rapidly beyond their planned needs, low-latency connections let them offshore the needed resources for a day or two while they work to bring in a few thousand new machines locally, for example.

    Data links they control also improve security. MS actually has pretty good privacy policies, people, and security compared to other providers; the more third-party companies involved in that, the less secure it is.

  7. Re:NSA problem by LordLimecat · · Score: 2

    The NSA isnt the problem.

    China Telecom

    Thats the problem. Look up who they are and who is the hand that feeds them.

  8. In other words ... by gstoddart · · Score: 1

    Microsoft is investing in tasty network capacity for its cloud computing so the NSA et al will be able to demand access.

    I sincerely hope everybody tells MS to go piss up a rope because they can't be trusted.

    Because, as long as the Patriot Act is in effect, Microsoft can't be trusted. Nor can any US cloud provider.

    --
    Lost at C:>. Found at C.
  9. This will be interesting... by Demonoid-Penguin · · Score: 1

    ...as every past partner to a project with M$ has not been very happy (except Darryl from SCO).

    I expect that IBM will be taking bets.

  10. Thanks - helpful comment by Bruce66423 · · Score: 1

    n/t

  11. Re:NSA problem by LordLimecat · · Score: 1

    Comparing the NSA to the Chinese MSS can only be done by one who is completely in ignorance of them.