Meta, formerly known as Facebook, has announced that its subsea cable investments are expected to contribute over half a trillion dollars to APAC and European economies by 2025.
In a bid to prove the commercial value of investment in subsea infrastructure, Meta has commissioned two studies by Analysys Mason and RTI International to explore the economic impact of their investments in APAC and Europe. It is hoped that these findings will demonstrate that subsea cable projects are economically viable for local providers in both developed and emerging markets.
The study by Analysys Mason suggested that Meta’s investments in the APAC region, where the company has developed two subsea cables (the Asia-Pacific Gateway and Jupiter), are expected to add approximately $422 billion in GDP between 2021 and 2025. It is also estimated that 3.7 million new jobs will be created in the region as a result.
Meta has significant growth plans in the APAC region with plans having been announced for eight new submarine cables which are due to be ready for service by 2025.
In Europe, where Meta has invested in the transatlantic Marea system as well as several other systems (such as AEC1 and Havfrue), RTI International found that the investment has been contributing about $18 billion per year since 2019 to Europe’s economy (equal to approximately 6 percent of its current average annual growth).
Meta also has plans to land two new cable systems in Europe in the next five years. By 2027, the new systems will be contributing roughly $65 billion per year to the European economy.
To keep up to date with the latest updates from the global submarine cable market, join us in London for Submarine Networks EMEA, taking place in London on 17th and 18th May.