Deal finalized between Telecom Egypt and 4iG for subsea cable connection between Albania and Egypt

Telecom Egypt and Hungarian IT solutions provider, 4iG, have agreed to partner on the construction of a unique express subsea cable that will link Albania to Egypt. This plan follows an October 2023 Memorandum of Understanding (MoU) between the two parties, establishing a joint venture for the subsea cable project.

The agreement was signed by 4iG’s Chairman, Gellért Jászai, and Telecom Egypt’s Managing Director and CEO, Mohamed Nasr Eldi, in Budapest, Hungary. The signing was witnessed by the Hungarian Minister of National Economy and the Egyptian Minister of Communications and Information Technology.

The construction of the express subsea cable connecting Albania and Egypt via the Red Sea aims to provide a high-capacity telecommunications link between Africa and Asia to Europe, through Egypt, the Mediterranean, and Albania.

In addition to its connectivity role, the proposed cable, which relays telecommunications signals between land-based stations, also stands to enrich the variety of Mediterranean routes connecting Egypt with Italy and France. The option to extend the cable’s reach to encompass Libya, Cyprus, and Greece is also a possibility.

The proposed cable extending from Egypt will connect to various subsea cables moving towards Asia and Africa via the Red Sea and extending southeastwardly. This setup will provide Albania with improved connectivity to Frankfurt and other regions in Eastern and Central Europe, as well as the Balkans.

Telecom Egypt is no stranger to such collaborations, having previously partnered with others to develop similar connections. For instance, on January 29, 2024, a joint construction agreement was signed with Aqaba Digital Hub and NaiTel, a Jordan-based telecoms service provider. This agreement focuses on the construction of the “Coral Bridge,” a subsea cable system set to connect Egypt and Jordan.

Additionally, on January 16, 2024, Telecom Egypt along with Zain Omantel International (ZOI) announced their partnership to construct both land and sea pathways. These infrastructural developments will connect the Mediterranean Sea to the Arabian Sea and the Arabian Gulf, thereby creating a Eurasian data highway.

Telecom Egypt’s latest cable project is projected to acquire a significant portion of the data traffic market between Asia, East Africa, and Europe.

As mentioned by Egypt’s Minister of Communications and Information Technology, the country currently manages “more than 90% of international data traffic between the East and West.” Presently, with 14 international subsea cables in operation, plans are in progress to add another 5 subsea cables via international partnerships.

In a significant advancement, Telecom Egypt, the state-run telecommunications provider, was granted a 15-year license worth $150 million by the National Telecommunications Regulatory Authority (NTRA) in January 2024. With this license, Telecom Egypt became the first mobile operator in the country authorized to provide 5G services.