Reliance Communications awards Alcatel-Lucent all-IP next-generation, CDMA and GSM network expansion

Alcatel-Lucent (Euronext Paris and NYSE: ALU) today announced that it has been awarded an IP-based next-generation, CDMA and GSM network contract valued at more than USD400 million from Reliance Communications, India’s largest integrated telecom service provider. This contract will enable Reliance Communications to expand its wireless network to more than 20,000 towns and 600,000 villages. This project represents one of the largest telecom expansions undertaken by a telecom operator anywhere in the world.

“In our endeavor to build a best-in-class infrastructure in the country, offering better overall performance and a higher quality of service to many million Indians, our wireless network will cater to customers across 20,000 towns and 600,000 villages upon completion of the current phase of expansion,” said Anil Ambani, Chairman, Reliance Communications. “The expansion of our wireless CDMA and GSM network would further enhance our competitive edge in effectively participating in the achievement of our national teledensity targets of 500 million by 2010, thereby contributing to economic growth.”

In the framework of this contract, Alcatel-Lucent will upgrade Reliance’s CDMA and GSM network with additional mobile switching centers and base stations. Alcatel-Lucent also will provide a comprehensive suite of network integration services, including network optimization, system support and general project management. This project substantially strengthens Alcatel-Lucent’s position in the Indian mobile market and extends the range of wireless solutions that Alcatel-Lucent provides to Reliance Communications.

“For a project of this magnitude, Reliance Communications needed a supplier with a deep understanding of and experience with the leading wireless technologies. Alcatel-Lucent is unique in the broadness of its wireless portfolio and the depth of its expertise. After years of faithful cooperation, the people of Reliance Communications understand that the Alcatel-Lucent team are committed to continue to deliver innovative solutions to Reliance Communications to help it enhance the quality of service it provides its subscribers and to enable it to enhance its leadership position in Indian telecommunications space,” said Patricia Russo, CEO, Alcatel-Lucent. “The expansion of the Reliance network, particularly in rural areas, will help improve the lives of millions in India, and is further evidence of our commitment to meeting the communications needs of high-growth economies.”