Hibernia Network’s cable project to connect New York and London traders at record speeds has resumed after coming unstuck last year, the cable company announced.
Hiberna is connecting London to New York, Halifax, Nova Scotia with a low-latency fibre-optic 4,600km cable, which promises to offer traders a five millisecond advantage on other high-speed traders.
Hibernia Networks claims that when the service becomes available, it will be the “newest and fastest fibre-optic path between New York and London”.
The fast connection will shave milliseconds off processing computer algorithms for high frequency trading, in which large volumes of transactions are made across different venues for small gains.
The milliseconds the new cable will save could make a difference of millions of pounds.
However, the cable took a back seat when Hibernia’s chosen vendor Huawei, came under fire in the US for security issues.
Hibernia Network revealed that the project will resume with new vendor TE SubCom (a subset of TE Connectivity) and is planned to go live in summer next year.
But European high-speed traders planning to buy Hibernia's services may come into a spot of bother. In 2013, European Union financial services chief Michel Barnier vowed to clamp down on high frequency trading with some of the toughest legislation in the world.