Securing Annual Sales of 13 Billion KRW by 2029
Expanding Business from Submarine Communications to Power Cables
LS Marine Solution has signed a main contract for subsea optical cable maintenance in the Asia-Pacific region, accelerating the expansion of its subsea business.
LS Marine Solution announced on the 16th that it has signed the main maintenance contract for the Asia-Pacific region (Yokohama Zone). The Yokohama Zone refers to the area bounded by Alaska to the north, Taiwan to the south, Hawaii to the east, and China to the west.
LS Marine Solution's subsea optical cable installation vessel 'Segyero'. Photo by LS Marine Solution
Through this contract, the company has secured a stable fixed annual revenue of approximately 13 billion KRW. This amount corresponds to about 30% of last year's sales (approximately 42.8 billion KRW).
The maintenance targets are 19 subsea cable systems in the Asia-Pacific region, with a total length of about 85,000 km. The contract period is five years, from 2025 to 2029.
LS Marine Solution has entered the Asia-Pacific subsea optical cable maintenance market, which was monopolized by Japanese ship operators, and has been jointly participating in the business for nearly 30 years since 1997.
As global internet traffic demand surges, the capacity for new subsea communication cable installations is expected to increase. In particular, the Asia-Pacific market is considered the center of growth as the number of subscribers consuming internet content increases, leading to increased investments by OTT operators. The expected market size by 2028 is approximately 555 billion KRW, with an annual growth rate of 11%.
LS Marine Solution plans to continue its growth momentum by expanding its core business from subsea communication cables to subsea power cables. With the rapid expansion of offshore wind power projects domestically and internationally due to carbon neutrality efforts, the subsea construction market size is also expanding, and the company intends to actively leverage this opportunity.
An LS Marine Solution official stated, "Based on our collaboration experience with LS Cable & System in Korea, we plan to jointly enter overseas projects such as the Taiwan offshore wind farm construction," adding, "We expect greater performance improvements once the subsea power business is fully launched following subsea communication."
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