Undersea cable offers ultrafast connection between U.S. and Brazilian markets
After five years of work, a new low-latency connection has been established between the New York metropolitan area and the Brazilian city of Sao Paulo, making it possible to send data back and forth in milliseconds.
Seaborn Networks, the Massachusetts-based company that developed the new connection, promises that its undersea fiber optic cable will have the ability to deliver roundtrip latency of just 105 milliseconds. Seaborn also stresses that its connection will be more reliable than existing Brazil-U.S. routes, with no stops in hurricane-prone Florida.
The Seabras-1 submarine cable, which cost $520 million to develop, will have particular value for financial institutions in the U.S. that trade futures, options and other products listed on B3, the Brazilian exchange based in Sao Paulo. The North American end of the cable is in Carteret, N.J., close to where many U.S. exchanges and trading firms have their data centers. That should make it relatively easy for financial institutions to tap into the new link.
To help it pitch the new connection to financial institutions, Seaborn is partnering with Spread Networks, which operates the fastest fiber-optic connection between New York and Chicago and is widely used by firms active in U.S. equity and equity derivatives markets. Spread Networks will be the exclusive "channel partner" for financial customers interested in using the Seabras-1 line, Seaborn says.
The next link in the chain will be Argentina. Seaborn has reached an agreement with Grupo Werthein, an Argentine business group, to construct a submarine cable between the two Latin American countries. The project, which is slated to be completed in the second half of 2018, will allow a new level of low-latency connectivity between Buenos Aires and New York.
