Flow Jamaica, a subsidiary of Cable & Wireless, is making significant strides in enhancing its network infrastructure to withstand natural disasters by investing millions in moving critical parts of its core network underground. This initiative is part of a broader strategy by Flow’s parent company, Liberty Latin America Limited (LILA), which aims to bury 170 kilometers of its core network infrastructure across the Caribbean. This move is designed to improve resilience and minimize disruptions caused by hurricanes, following lessons learned from the impact of Hurricane Beryl.
LILA’s President and CEO, Balan Nair, announced the investment during the company’s earnings call on August 7. The initiative will focus on large Caribbean markets, including Panama, Jamaica, The Bahamas, Puerto Rico, Barbados, and the British Virgin Islands. LILA’s commitment reflects a proactive approach to safeguarding communication networks in the face of increasingly frequent and severe weather events.
Stephen Price, General Manager of Flow Jamaica, explained the significance of the “backbone” network, which serves as the central conduit for high-speed data transmission through fiber optic cables. “The backbone can be thought of as a main highway, with exits leading to local road networks. By relocating this core network underground, particularly between May Pen and St. James, we aim to protect our infrastructure and ensure more reliable service during natural or man-made disasters,” Price noted.
Flow Jamaica’s network is further strengthened by its subsea festoon network, which surrounds the island with seven different landing points, providing an additional layer of redundancy to help keep the island connected even if some parts of the network are compromised.
While Hurricane Beryl did cause some disruptions, Flow Jamaica’s mobile population coverage has rebounded to 96%, a significant improvement from the 77% coverage immediately after the hurricane. Despite the initial setbacks, only 52 of the 1,700 impacted communities have yet to be fully restored. This recovery underscores the resilience of Flow Jamaica’s network and the company’s commitment to customer service.
To expedite restoration efforts, Flow Jamaica is receiving assistance from a team of 30 skilled technicians from its sister companies, Liberty Costa Rica and Más Móvil in Panama. Additional resources, such as generators, have also been deployed to power sites still lacking commercial electricity.
In addressing the seven damaged towers in Jamaica, Flow Jamaica has partnered with Phoenix Tower International (PTI), which now manages 1,300 mobile tower sites across the Caribbean. PTI is currently assessing the necessary repairs and has committed to completing them promptly. Restoration efforts are ongoing, particularly in areas like St. Elizabeth, where power outages remain a challenge.
Hurricane Beryl has had a significant financial impact on LILA, with estimated losses in revenue and adjusted operating income ranging between US$10 million and US$20 million for the latter half of 2024. To rebuild and enhance network resilience, LILA will invest an additional US$10 million to US$20 million in infrastructure and equipment. Despite these challenges, LILA is set to benefit from weather derivatives, collecting a net amount of US$44 million as a derivative gain, helping to offset the financial blow.
Flow Jamaica’s focus on long-term resilience and reliability has also seen positive customer engagement. Despite a recent shutdown of the 2G network, Flow Jamaica continues to expand, adding subscribers for the 16th consecutive quarter, with the island now accounting for 62% of Cable & Wireless Caribbean’s 1.95 million mobile subscribers.
Financially, Cable & Wireless Communications Limited, the parent company of Flow Jamaica, reported a three per cent increase in its C&W Caribbean segment revenue, reaching US$368.3 million for the second quarter of 2024. The company remains committed to reinvesting in its infrastructure to mitigate future risks and improve service reliability across the region.
As Flow Jamaica continues its recovery and enhancement efforts, the company acknowledges the ongoing challenges faced by communities most affected by Hurricane Beryl. In response, the Flow Foundation has provided humanitarian aid, including care packages, food items, and school uniform vouchers, to residents in hard-hit areas like St. Elizabeth and Clarendon.
Stephen Price concluded, “We appreciate the patience and understanding of our customers during this period and assure them that we are working tirelessly to restore full services and strengthen our network for the future. Our goal is to make every day better for our customers.”