Alcatel and ARCHOS team up for world’s first portable multimedia player adapted to broadcast mobile TV in the S-Band

Paris and Igny (France), November 6, 2006 - Alcatel (Paris: CGEP.PA and NYSE: ALA) and ARCHOS™ today announce that both companies are establishing a strategic cooperation agreement for Mobile TV. Within the framework of this agreement, ARCHOS will develop the world’s first portable multimedia player adapted to Alcatel’s “Unlimited Mobile TV solution”, a hybrid terrestrial and satellite broadcast solution based on an evolution of the DVB-H standard in the S-Band (2.2 GHz). Commercial availability of ARCHOS S-Band compatible devices is expected in the fourth quarter of 2007.

The joint solution will adhere to the upcoming standard being prepared in the DVB Forum by the dedicated DVB-SSP (Satellite Services for Portable devices) Workgroup. Alcatel will provide support to ARCHOS in terms of interoperability testing and in terms of access to chipset manufacturers implementing DVB-SSP. Both companies will also promote and expand the related S-Band technology and standards as a leading solution for mobile video broadcast, and accelerate the time-to-market of the joint solution.

On the occasion of this announcement, David MacQueen, Mobile Analyst at Screen Digest stated: “The availability of a range of attractive consumer devices will be important to the success of any mobile TV service. ARCHOS experience in the portable video player market will enhance Alcatel’s mobile TV offering. Portable multimedia player use is rising rapidly and broadcast TV could be a very attractive complementary application. Considering DVB-H S-Band’s strong technical elements and compelling business case, the key pre-deployment success factors are in place and Screen Digest anticipates a wide uptake of this solution in Europe.”

Henri Crohas, ARCHOS founder and chief executive officer, declared: “The group’s strategy is focused around various areas of marketing and technology development with the priority of always providing innovative products and meeting the demands of the consumer. The cooperation with Alcatel to bring broadcast mobile TV in the S-Band onto ARCHOS devices is definitely a concrete example of this strategy and it will provide us with significant new business opportunities.”

Olivier Coste, President of Alcatel’s mobile broadcast activities, added: “Alcatel’s agreement with ARCHOS enlarges the reach of Alcatel’s ”Unlimited Mobile TV“ solution. We are delighted that ARCHOS joins the ”DVB-H in S-Band“ ecosystem, thus opening the door to a new portable video players category adapted to mass market mobile TV. This cooperation represents a significant milestone in the ramp-up of the ”Unlimited Mobile TV“ solution, taking full advantage of the availability of the S-Band spectrum at the level of a whole country or a continent, and of our system’s ability to reach users wherever they are, including inside buildings.”

About ARCHOS
ARCHOS is the leader in the field of portable audio/video devices. ARCHOS invents for the customer on the move. In 1999, its Jukebox 6000 opened the mass market of hard drive based MP3 players. In 2002, ARCHOS attacked digital video and launched the first portable video player, Jukebox Multimedia, the forerunner of an entire new product category. Its Pocket AV range revolutionized leisure time for anyone wishing to enjoy television, music, videos or photos anywhere. Established in 1988, ARCHOS is present in Europe, the United States and Asia. ARCHOS is quoted on Compartment C of Euronext Paris, ISIN Code FR0000182479. Further information is available on www.archos.com


About Alcatel
Alcatel provides communications solutions to telecommunication carriers, Internet service providers and enterprises for delivery of voice, data and video applications to their customers or employees. Alcatel brings its leading position in fixed and mobile broadband networks, applications and services, to help its partners and customers build a user-centric broadband world. With sales of EURO 13.1 billion and 58,000 employees in 2005, Alcatel operates in more than 130 countries. For more information, visit Alcatel on the Internet: http://www.alcatel.com

About Alcatel’s “Unlimited Mobile TV” solution
The goal of Alcatel’s “Unlimited Mobile TV” solution is to make television available on mobile phones and other devices throughout rural and urban areas, including indoors, with a wide range of programming options and excellent image quality, regardless of the number of viewers simultaneously watching the same program. This universal broadcast coverage is possible thanks to the unique combination of a high-power geo-stationary satellite for cost-effective nationwide coverage and a network of low power repeaters, co-located with mobile base stations, to provide urban and indoor coverage. This innovative solution uses an evolution of the DVB-H standard in the 2 GHz MSS band, a telecom frequency band between 2.17 and 2.2 GHz associated with satellite usage, which is adjacent to the 3G/UMTS band. This 30MHz band is currently available all across Europe. For more information: www.alcatel.com/mobiletv

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Régine Coqueran

Corporate Media Relations

Alcatel

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