Singtel, Australia’s Telstra and SubPartners have entered into a joint agreement, building a new subsea cable linking Perth and Singapore.

Singtel entered into a Memorandum of Understanding (MOU) on March 31. The purpose is to build a new international submarine cable connecting Singapore and Perth.

APX-West, the cable, will be 4,500km long, with two fibre pairs. They would provide a minimum of 10 Terabits per second capacity each pair along with two-way data transmission.

This new cable will run between Perth on the west coast of Australia to Singapore, says ZD Net.

“The APX-West cable will be a new data superhighway to expand data connectivity and capacity between Singapore and Australia, providing network redundancy and the lowest latency from Australia to South-east Asia, the Middle East and Europe,” said Ooi Seng Keat, vice president, Carrier Services, Group Enterprise at Singtel.

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According to Keat, these capabilities the company can meet customer’s growing need for data. He also added that unified communications, enterprise data exchange, online gaming and Internet TV will also be the perks.

The construction of this cable is expected to begin at the end of July and scheduled for completion in 2018. APX-West will perform as an alternative to the SEA-ME-WE 3, the current data cable between Singapore and Perth, says Telecomasia.

According to Telstra’s executive director for International Operations and Services, Darrin Webb the need for products and services via the Internet has enhanced.

He also said that the demand for video streaming, cloud and international connectivity is still growing. These are the reasons a newer and faster cable is being constructed.

“This is a unique commercial model for the Perth-Singapore route that will satisfy the ongoing bandwidth requirements of both network operators and internet content hosts,” SubPartners founder and chief executive Bevan Slattery said.

The information on expenditure was not disclosed in the MOU. However, APX-West is supposed to cost in excess of US$100 million (S$135 million), says Today Online.