Southern Cross Cable Cuts Prices

[Sydney, AUSTRALIA] Southern Cross Cable
Network has reduced the base prices for its trans-Pacific
and trans-Tasman bandwidth services by 20 percent, which are due to be operational by
November 15.

The base price for a 15 year 155Mb connection between Australasia and the U.S.
has been reduced from $20.6 million to $16.6 million (US $12.9 million to
US $10.4 million). Connections from Hawaii to the U.S. have been reduced from
$2.2 million to $1.8 million (US $1.4 million to US $1.1 million) and between
Australia and New Zealand from $6.6 million to $5.2 million (US $4.1 million
to US $3.28 million).

Southern Cross Director Asia Pacific, Ross Pfeffer said the price reductions
had been planned “for some time” and follow sales from the company’s second
data gathering meeting of US $553 million. A third meeting will be held in
Hawaii between August 22 and 25.

Pfeffer said the company was following a strategy of rewarding customers who
signed up early. He said there had been an unprecedented increase in demand
as the November service date approaches.