Voracious Web surfers, e-mailers and downloaders will use up the trans-Atlantic cables that were overbuilt early in this decade within the next five years, forcing carriers to invest in new ones in a market that's become used to adding bandwidth cheaply, according to research company Telegeography.
The telecommunications boom spawned so much new data capacity on fiber-optic cables across the Atlantic that the market has seen a supply glut and low prices for years, Telegeography said in a report released Monday. That has reduced the financial incentive for carriers to invest in new cables, but they may have to do so by 2014, said Telegeography analyst Erik Kreifeldt.
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