Singtel and PT Telekomunikasi Indonesia International (Telin) have inked a significant deal today, signaling the beginning of a collaboration to establish a groundbreaking submarine cable system connecting Singapore and Batam, Indonesia. This endeavor, undertaken through the newly formed INSICA (Indonesia Singapore Cable System) Consortium, aims to address the escalating demand for data center telecommunications traffic between the two locations.
Expected to become operational in the fourth quarter of 2026, the INSICA cable system will span 100 kilometers, offering crucial support for the burgeoning data center connectivity requirements between Singapore and Batam. With a 24-fiber pair subsea cable and two distinct terrestrial cable paths, INSICA boasts a maximum capacity of up to 20 terabits per second per fiber pair. Such robust infrastructure promises exceptional bandwidth, seamless connectivity, and fortified network security, facilitating efficient resource sharing and scalability. Moreover, the introduction of this diverse link is poised to enhance network protection and reliability, ensuring uninterrupted operations for data centers round the clock.
Mr. Ooi Seng Keat, Vice President of Digital Infrastructure & Services at Singtel, emphasized the strategic significance of Batam as a burgeoning hub for data centers due to its geographical proximity to Singapore. He underscored how the INSICA cable system will bolster connectivity between the two countries, catering to the escalating demands of enterprises and cloud companies engaged in intensive, high-power density AI workloads. This initiative, he noted, aligns with the overarching goal of establishing a hyper-connected digital ecosystem to meet the long-term needs of the region’s digital landscape and fortify the regional economy.
Mr. Budi Satria Dharma Purba, Chief Executive Officer of Telin, highlighted the unprecedented growth anticipated in the global submarine cable market over the next decade, positioning Batam and Singapore as prime destinations for data center investments. He stressed how the INSICA submarine cable will play a pivotal role in addressing the pressing need for data center interconnectivity between these strategic locations.
In addition to facilitating direct connectivity between data centers, the INSICA cable system is poised to support the deployment of emerging technologies such as the Internet of Things, robotics, AI, and data analytics. These technologies demand high bandwidth and low latency for commercial-scale and real-time applications. The Southeast Asia data center sector is witnessing rapid expansion, propelled by advancements in AI, cloud computing, e-commerce, IoT, edge computing, and 5G, attracting substantial investment from established players and new entrants alike.