Singtel and PT Telekomunikasi Indonesia International (Telin) have signed a Memorandum of Understanding to create a new submarine cable system connecting Singapore and Batam, Indonesia. This new system, called INSICA (Indonesia Singapore Cable System) Consortium, is expected to be operational by the fourth quarter of 2026.
The INSICA cable system will span 100 kilometers and will cater to the increasing demand for data center telecommunications traffic between Singapore and Batam. It will consist of a 24-fiber pair subsea cable and two different terrestrial cable paths, providing a maximum capacity of up to 20 terabits per second per fiber pair.
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This will result in improved bandwidth, connectivity, and network security, allowing for efficient resource sharing and scalability. The new link offered by INSICA will enhance network protection and reliability, ensuring uninterrupted operations for data centers. Notably, Batam is becoming a popular location for data centers due to its proximity to Singapore.
The cable system will enhance connectivity between the two countries, supporting the high-power AI workloads of enterprises and cloud companies. Ooi Seng Keat, Vice President of Digital Infrastructure & Services at Singtel, emphasized the importance of this cable system in creating a hyper-connected digital ecosystem to meet the region's digital future demands and boost the economy.
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Budi Satria Dharma Purba, CEO of Telin, highlighted the growth potential of the global submarine cable market, positioning Batam and Singapore as attractive locations for data center investments. The INSICA submarine cable will address the need for data center interconnectivity in these strategic locations. The direct connectivity between data centers will facilitate the deployment of emerging technologies like the Internet of Things (IoT), robotics, AI, and data analytics, which require high bandwidth and low latency for real-time applications.
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The data center sector in Southeast Asia is rapidly growing, driven by advancements in AI, cloud computing, e-commerce, IoT, edge computing, and 5G, attracting investments from various players in the industry.
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