Submarine Cables

The activity as a whole includes the manufacturing, laying and maintenance of submarine cables immersed at depth and generally buried, intended to carry communications or electric power. Commercial services associated with the setting up of projects are included in the activity. Umbilicals are not included, failing reliable statistics.

Observations

• The activity recently recovered after a significant low in the previous decade, without reaching levels comparable to the major telecommunication projects of the end of the 1990s. The activity was not so severely impacted by the economic slowdown of 2008-2009 as cable manufacturing and laying as a whole.
• In the telecommunication cable sector, the recovery is due to projects in Africa where French companies are present as manufacturers: upgrade, with continental extensions, of the EASSY cable (from South Africa to Djibouti with several intermediary local connections) in 2011, operational since Aug. 2010, 10,000 km; WACS (West Africa Cable System), 14,000 km, built for connecting South Africa to Portugal and London through the West coast of Africa; due to start operation in 2011; ACE (Africa Coast to Europe), 14,000 km, initially from Gabon to France with intermediary local connections, but now extended to South Africa, due to start operation in 2012.
• The largest submarine cable manufacturers as well as laying and maintenance companies are international in terms of markets, location of their subsidiaries and premises, and operation of their cable laying vessels. Some French companies are very active on these businesses.
• The markets of copper and aluminium - commodities of critical importance for cable manufacturing - were largely driven by the recent economic situation of developed countries, like those of other metals. This explained a sizeable downward trend in their price curves from 2006 to 2009, followed by an increase in 2010.

Price of metals of critical importance for cable manufacturing

• Submarine Cables