BAKU, Azerbaijan, February 4. As of February 2026, the Digital Silk Way project, anchored by the Trans-Caspian Fiber Optic Line (TCFO) connecting Azerbaijan and Kazakhstan, is entering its final construction phase. The deepwater cable has already been produced, and laying operations are underway, signaling a pivotal moment for Eurasia’s digital infrastructure. The corridor is expected to become operational in the third quarter of 2026, with full completion by the end of the year, positioning the route as a strategic alternative for high-capacity data flows between Asia and Europe.
The TCFO corridor aligns strategically with China’s broader objectives under the Belt and Road Initiative, aiming to diversify its data transit routes. Historically, reliance on the Malacca Strait and other undersea cables traversing the Indian and Pacific Oceans, many of which are controlled by Western entities, leaves China vulnerable to potential disruptions. By establishing a data route across the Caspian Sea through Azerbaijan and Kazakhstan, China secures a more neutral and sanctions-resistant path, bypassing sensitive geopolitical zones such as the South China Sea and the Taiwan Strait. This route is poised to offer a “seamless” connection to European data centers, ensuring high-speed, low-latency access for cloud computing, artificial intelligence applications, and financial services.
Although official sources have not confirmed the direct involvement of Huawei or China Telecom in the TCFO project, these companies are known for supplying optical equipment and coherent 400G/800G systems in similar Belt and Road ventures. The TCFO corridor is designed to support transmission speeds of up to 400 terabits per second, positioning it as one of the highest-capacity regional cables relative to its length.
This technological backbone, combined with terrestrial integration through Azerbaijan and Kazakhstan, underscores China’s strategic interest in embedding its infrastructure expertise within Eurasia.
For Azerbaijan, TCFO is more than a cable - it is a step toward establishing Baku as a major digital hub. The city is being developed as an Internet Exchange Point, channeling traffic between Asia, Central Asia, and Europe. AzerTelecom, part of NEQSOL Holding, leads the project, turning the country’s geographic position into tangible digital capital. By linking TCFO to terrestrial networks through Georgia and Türkiye, the corridor offers significantly lower latency compared with alternative northern and southern routes, making it attractive for international cloud providers, AI-driven services, and financial transactions requiring high-speed connections.
The TCFO cable spans between 380 and 391 kilometers for its primary route, with a supplementary reserve path measuring approximately 341 kilometers. It establishes a direct connection between Sumgayit in Azerbaijan and Aktau in Kazakhstan. The project, with an investment exceeding $50.6 million, is primarily financed by AzerTelecom and Kazakhtelecom. Designed for high capacity and exceptional reliability, the corridor ensures uninterrupted East–West data flows, even in the face of regional geopolitical tensions.
The construction phase progressed through the completion of desktop studies in June 2025, followed by marine surveys in August 2025. Since then, deepwater cable installation has been actively underway.
From a geopolitical perspective, the TCFO corridor offers a low-risk alternative to traditional northern and southern data routes. While Russian northern corridors remain operational, they require longer terrestrial and undersea routes, rendering them susceptible to Western sanctions, regulatory obstacles, and potential service disruptions.
Southern routes through Iran or via the Persian Gulf, including projects like PEACE (Pakistan & East Africa Connecting Europe), face even higher risks due to sanctions, regional instability, and longer distances, which increase latency. By contrast, the Caspian route is shorter, offers higher capacity relative to its length, and maintains stable regulatory conditions, making it an attractive option for China and Central Asian nations seeking secure European connectivity.
The corridor also positions Azerbaijan as a central player in the emerging Middle Corridor for digital traffic, enhancing regional connectivity and reducing dependence on traditional Russian-controlled pathways. This low-latency, high-capacity route allows data to bypass both politically sensitive areas and aging infrastructure, creating a more resilient digital ecosystem across Eurasia.
In sum, the Trans-Caspian Fiber Optic Line exemplifies the convergence of technology, finance, and geopolitics. For Azerbaijan, it cements the country’s role as a critical digital hub, transforming geography into a strategic advantage. For China, it ensures direct, high-speed access to European markets, mitigating reliance on undersea cables in the Indian Ocean and Western-controlled nodes. As the corridor comes online later this year, the TCFO project offers a glimpse of a digitally resilient Eurasia, leaving observers to assess its broader implications for regional power dynamics and global data flows.