In any case, the deal fell through because of a strong anti-FLAG faction within KDD that could not tolerate the notion of giving any concessions whatever to IDC. There it stalemated until FLAG managed to cut a deal with China Telecom to run a full-bore 10.6 Gbps spur straight into Shanghai. While China has other undersea cable connections, they are tiny compared with FLAG, which is now set to be the first big cable, as well as the first modern Internet connection, into China.
