A new undersea telecommunications cable backed by the United States and designed to connect Malaysia, Vietnam, Singapore and Thailand is expected to select its equipment supplier later in October 2026. The project’s developers are choosing between Japan’s NEC and France’s Alcatel Submarine Networks, marking an important step toward establishing additional digital infrastructure across Southeast Asia.
The MViSTA cable is planned to cover approximately 2,500 kilometres (1,550 miles) and is expected to become operational in late 2028. The project has an estimated price tag of $400 million, according to Mark Procter, deputy head of Stavian High Tech Infrastructure, a subsidiary of Vietnamese conglomerate Stavian Group and one of the project’s developers.
The initiative is designed to strengthen regional connectivity while reducing reliance on Chinese suppliers for critical telecommunications infrastructure. Procter told Reuters that Chinese companies were excluded from the bidding process. The cable’s proposed route has also been designed to avoid areas of the South China Sea claimed by Beijing.
The supplier decision is currently being handled through a tender process, with the winning company expected to be announced before the end of October. Procter is also the chief operating officer of the special-purpose company established to develop and operate the network.
Alcatel Submarine Networks said it would not comment on an active tender, while NEC did not respond to a request for comment. US cable manufacturer SubCom was also invited to participate in the bidding process but declined because of existing commitments, Procter said.
MViSTA brings together several investors and infrastructure companies. Alongside Stavian, its shareholders include Tokyo-based investment firm Midas Capital and LitUp Network, a subsidiary of Malaysia’s OMS Group. LitUp Network will oversee the installation of the undersea cable.
APTelecom, a consultancy working with the US government on submarine cable infrastructure, has helped assemble the shareholder group and contributed to the project’s feasibility study.
The United States is supporting the project as competition between Washington and Beijing intensifies over telecommunications, artificial intelligence and other strategically important technologies.
Vietnam has become an important part of that competition. Washington has encouraged Hanoi to avoid Chinese technology providers in submarine cables, telecommunications networks and artificial intelligence infrastructure because of security concerns.
However, Vietnam’s approach to technology procurement has not been uniform. Last year, the country awarded contracts to Chinese telecommunications equipment makers Huawei and ZTE for parts of its 5G network rollout. That decision represented a significant change and prompted concerns among US and European officials.
The MViSTA project reflects an effort to develop alternative infrastructure using technology suppliers considered trusted by its backers.
Beyond the submarine cable, Stavian is planning a major data-centre campus in southern Vietnam that would connect directly to the new network. Procter said the development would not involve Chinese companies in any key technologies deployed at the campus.
A September statement from the US Trade and Development Agency (USTDA) described the planned facility as an infrastructure hub intended to accommodate operators of hyperscale cloud computing and artificial intelligence systems. The agency is financing a feasibility study to examine the development.
According to Procter, it will examine the use of trusted technologies and assess whether US export restrictions on advanced semiconductors could affect the planned infrastructure.
The proposed campus is designed to have a capacity of one gigawatt, making the availability of appropriate technology and the regulatory environment important considerations for the project.
Vietnam has faced recurring disruptions to its international submarine cables, which can affect internet connectivity and digital services. The country currently has six submarine cables and intends to increase that number to at least 15 by 2030. The government has accelerated approval procedures for MViSTA, Procter said, highlighting the importance of expanding the country’s international communications links.
The additional capacity could help address infrastructure limitations that have discouraged major US technology companies from establishing data centres in Vietnam. Reliable international connectivity is an important requirement for large-scale cloud computing and AI operations, which depend on substantial data transfers between facilities and users.
Nevertheless, the construction of new infrastructure alone may not be enough to attract major investments. Procter said the commercial prospects of the proposed campus would also depend on Vietnam’s regulatory framework.
Industry groups have frequently identified restrictions on transferring data across national borders as a significant obstacle to investment. Such rules could influence decisions by international technology companies considering Vietnam for large-scale digital infrastructure.
With the supplier selection expected this month, the MViSTA project is moving toward its next development stage. Its progress will be relevant to Vietnam’s plans to strengthen connectivity, as well as broader US efforts to expand trusted technology infrastructure across Southeast Asia.
