Tech Asia: Japan seeks bigger role in Asia's subsea cables as AI rewires demand

Traders including Sumitomo, leasing firms and telecom newcomers enter critical sector

17. Juni 2026 um 12:25 Uhr / Von Tsubasa Suruga, Nikkei Asia

NTT Data Group CEO Yutaka Sasaki speaks during the 2026 Semafor World Economy conference in Washington, DC, on April 17, 2026. Bild: Mandel Ngan / AFP via Getty Images

TOKYO -- After more than 25 years in the subsea cable business, Yoshio Sato had come to see the limits of the industry's traditional way of doing things.

That model, built around dozens of telecommunications companies jointly financing and owning most subsea cable systems, helped construct the undersea networks that carry more than 99% of global internet traffic. But coordinating so many stakeholders often slowed decision-making and forced compromises. As artificial intelligence drives an unprecedented expansion of digital infrastructure, those drawbacks have become harder to ignore.