US and China clash over undersea cables that power AI

The global race for artificial intelligence has moved beneath the ocean. The United States and China are now fighting for control of the undersea fibre-optic cables that carry nearly all intercontinental data. These cables are the backbone of the digital economy. They transmit about 99 per cent of cross-border data traffic at high speed. As demand for data to train and run advanced AI systems grows, so does the strategic importance of these networks. On Tuesday, Beijing accused Washington of “politicising” the global undersea cable system. The accusation follows reports that the US has increased pressure on allies to exclude Chinese firms from building or maintaining new cable routes. The dispute marks a new front in the broader US-China tech rivalry. Both countries see control over data infrastructure as essential to their economic and security interests. The cables, once seen as neutral utility infrastructure, are now part of a high-stakes geopolitical stand-off.