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US$255 million invested between 2004 and 2007 vs. $35 million between 2000 and 2003.

BOSTON (November 9th 2007) — Demand for connectivity to North America from the Caribbean is still growing at over 30% per year, according to a new report published today by Pioneer Consulting. The “Caribbean Submarine Fiber Optics Report 2007” is an update to research carried out by Pioneer in 2003. Despite the sustained investment activity in the Caribbean over the last few years, Pioneer’s report highlights a number of areas where there are still new opportunities:

• Access infrastructure is still hampering broadband growth

• “Regional in-fill” is occurring where viable point-to-point routes not served directly by one of the major North America-Latin America systems are being established.

• More direct connections to North America are being established

• Haiti gets its first cable and other initiatives are still in the pipeline

• Evolution of mobile data technology increases demand for submarine capacity

• New licenses becoming available

• Demand for increased route diversity and better cable protection

• Capacity upgrades taking place

• Pre-DWDM cables becoming economically unviable

Commenting on these findings, Julian Rawle, Managing Partner at Pioneer, said, “Compared with the situation in 2003, many of the islands now have much improved connectivity and, in many cases, a choice of providers.” Rawle also points out, “In contrast with other submarine fiber optic markets around the world, rational building behavior has prevailed. As a result, new competition is driving down prices and offering new services but there is no significant capacity overhang to send bandwidth prices into freefall.”
Pioneer’s report expects Puerto Rico to remain the key driver of Caribbean demand, followed by the Dominican Republic.

About Pioneer Consulting

Pioneer Consulting provides research on cutting-edge technologies in the wireless space, both fixed and mobile and is known for its expertise in wireless LAN, Software Defined Radio, Wireless Backhaul, 2G, 3G and 4G cellular technologies. Pioneer provides market-leading insights on technologies that are aimed at altering the wireless value chain or are causing the re-engineering of traditional wireless network architecture.

For more information on Pioneer Consulting and its products and services visit the company's Web site


Julian Rawle
Managing Partner
Phone: +1 781 281 1974

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