Zamtel, one of Zambia's telecommunication companies, plans to lay its own optic fiber network at a cost of 70 million U.S. dollars to improve communication and cut down cost of expenses, local media in Lusaka reported on Friday.

Managing director of Zamtel Simon Tembo was quoted as saying that neighboring countries have entered into an agreement with the company to carry their traffic which will earn the company extra income once the optic fiber is laid.

Tembo said a feasibility study has been carried out and design of the optic fiber is being worked on.

He said individual countries within the Common Market for Eastern and Southern Africa (COMESA) have taken upon themselves to develop optic fiber and Zamtel can not afford to lag behind.

He disclosed that the company was spending 3 million dollars annually for the use of external satellite dish in space as the country is not able to erect its own satellite.

The optic fiber network would cut down cost of the company once it was put into operation, said Tembo.

Tembo said his company was actively involved in the East African Submarine Cable System, which is designed to improve information communication technology connectivity and to provide cheaper communication within the region.

The system is expected to be ready for commercial service by the fourth quarter of 2007.

Source: Xinhua