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China Telecom awards Alcatel-Lucent multi-million Euro contracts to offer advanced IP services in Jiangsu and Hubei


Alcatel-Lucent (Euronext Paris and NYSE: ALU) today announced that Jiangsu Telecom and Hubei Telecom, two subsidiaries of China Telecom, have selected Alcatel-Lucentís IP solution to deploy and expand their IP metro area networks for delivery of high quality IP-based services in Jiangsu and Hubei provinces. These multi-million Euro contracts were secured by Alcatel Shanghai Bell, Alcatel-Lucentís flagship Chinese company.

For Jiangsu Province, Alcatel-Lucent will deploy its industry-leading IP solution in the cities of Wuxi, Changzhou, Zhenjiang, Nanjing, Yangzhou, Taizhou and Xuzhou. Upon completion of the project at the end of 2007, both enterprises and consumers within these cities will be able to enjoy a broad suite of premium IP-based services such as high-speed Internet access and MPLS services.

For Hubei Province, Alcatel-Lucentís IP solution will be deployed in the cities of Wuhan, Yichang and Huanggang. Project completion is expected by the end of 2007, enabling Hubei Telecom to provide enhanced IP services such as IPTV to government customers and high-speed Internet access to residential users. The IP metro area network will also serve as the basis for further value-added services like Layer 2 and Layer 3 VPNs.

The Alcatel-Lucent IP solution includes the 7750 Service Router (SR), which is unique in its ability to ensure non-stop service delivery that is critical to meet customersí stringent expectations. Its rapid service provision ensures operators can quickly meet changing market demands.

Sun Jiuming, General Manager of Jiangsu Telecom said ďIncreasing customer needs result in requirements for a wider variety of new and highly reliable IP-based data services. Deploying the Alcatel-Lucent IP solution will help us better meet end-users needs and capture more market opportunity.Ē

ďBeing selected by Jiangsu Telecom and Hubei Telecom for their IP metro area network projects demonstrates Alcatel-Lucentís strong IP position in China, and reinforces our goal of helping operators meet growing business needs,Ē said Gerard Dega, President of Alcatel Shanghai Bell.

Today, major Chinese operators including China Netcom, China Telecom, China Unicom, and China Mobile have selected Alcatel-Lucentís IP suite of solutions to optimize their networks delivering high-performance, carrier-grade voice, data and video services to their customers. Alcatel-Lucentís IP/MPLS solutions are now serving in the production networks of 33 out of 34 Chinese provinces, regions and municipalities. Jiangsu Telecom and Hubei Telecom also join more than 170 service providers in over 65 countries who have selected the Alcatel-Lucent IP portfolio. According to Ovum-RHK, Alcatel-Lucent was #2 in the IP/MPLS Edge market segment in Q1 2007, with 20% market share.


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