Indonesia’s PT Telkom selects Alcatel-Lucent for country-wide carrier Ethernet service infrastructure

Paris, May 2008 – Alcatel-Lucent (Euronext Paris and NYSE:ALU) announced today that PT Telekomunikasi Indonesia (PT Telkom), the incumbent fixed telephone service provider in Indonesia, has chosen Alcatel-Lucent to deploy its industry-leading carrier Ethernet solution. This solution will enable PT Telkom to offer advanced services to businesses, with superior scale and hierarchical quality of service (QoS) across a unified Internet protocol (IP)/multiprotocol label switching (MPLS) networks infrastructure.

With nearly 300 exchanges being deployed by Alcatel-Lucent in greater Jakarta, West Java, Kalimantan and Sumatra, this will be the largest carrier Ethernet network in the country.

Carrier Ethernet is the use of high- bandwidth Ethernet technology for Internet access and for communication among businesses.This multi-service network will be used to deliver Ethernet virtual private network (VPN) and IP VPN services to enterprises, as well as circuit emulation for consolidating legacy enterprise applications (e.g. PBX). With hierarchical quality of service (QoS) features, which enable service providers to give distinctive treatment to individual services, the network is both customer- and service-aware to support secure communications and assured application performances.

“As the country’s largest carrier Ethernet infrastructure, it will support PT Telkom in our next-generation network transformation while enabling us to introduce new advanced services to enterprises throughout the country,” said Ermadi Dahlan, PT Telkom’s Network Director. “This reliable, high-speed network will make it possible for us to offer IP-based virtual private networks (VPN) and Ethernet VPNs as well as broadband Internet access to enterprises"

“We are building on our earlier success and experience in supporting PT Telkom’s optical, radio microwave and access networks,” said Frederic Rose, President of Alcatel-Lucent’s activities for Europe, Asia and Africa. “This selection is a demonstration of PT Telkom’s trust in the reliability of our solutions and the strong working relationship we have built over the years with the incumbent carrier.”

Under the terms of the contract, Alcatel-Lucent will deploy a Carrier Ethernet network based on Alcatel-Lucent’s 7750 Service Router, 7450 Ethernet Service Switch, 7250 Service Access Switch and 7705 Service Aggregation Router - all managed end-to-end by the Alcatel-Lucent 5620 Service Aware Manager. Alcatel-Lucent IP/MPLS solutions have been selected by more than 200 service providers in more than 90 countries. During the fourth quarter of 2007, Alcatel-Lucent reinforced its No. 2 position in IP/MPLS edge garnering 18% of the market according to Ovum-RHK. For more information, please visit: www.alcatel-lucent.com/ipnews