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Press Release -- May 29th, 2012
Source: Alcatel-Lucent

Alcatel-Lucent to expand availability of high-speed broadband services in China via program to expand China Telecom’s fiber optic access network

China Telecom selects Alcatel-Lucent for Euro 100 million contract to build out fiber-to-the-home network to deliver high-speed Internet access, video streaming services and more in all 31 Chinese provinces

Paris, May 29, 2012 – Alcatel-Lucent (Euronext Paris and NYSE: ALU) today announced that it will significantly expand China Telecom’s broadband access network, bringing services such as IPTV, video-on-demand and voice-over-IP (VoIP) services to millions of homes in China.

The Euro 100 million contract – secured through Alcatel-Lucent Shanghai Bell, Alcatel-Lucent’s flagship company in China – will lead to the deployment of fiber-to-the-home (FTTH) networks across China’s 31 provinces, enabling China Telecom to serve millions of households with a wide range of high-speed services and guaranteed quality of service.

The project is a key milestone in China Telecom’s ambitious ‘Broadband China, Fiber Cities’ plan which was launched at the beginning of 2011 to bring FTTH coverage to 100 million households and 30 million subscribers by 2015. The project is also closely aligned with China’s National Broadband Strategy.

Wei Leping, Director of China Telecom’s Science & Technology Committee, said: “Leveraging Alcatel-Lucent’s leading broadband access portfolio and its extensive experience with large-scale deployments around the world, we are able to provide subscribers with a premium broadband experience.”

Rajeev Singh-Molares, President of Alcatel-Lucent Asia-Pacific Region, said: “This project highlights the rapid expansion of broadband in China. It also demonstrates our strong and growing leadership position in the FTTH market as we help accelerate the availability of superfast broadband throughout China.”

About the Alcatel-Lucent technology solution for China Telecom

Alcatel-Lucent will supply Chine Telecom with its industry-leading 7360 Intelligent Services Access Manager (ISAM) system, which supports GPON as well as EPON broadband technologies. The ISAM family is a cornerstone of Alcatel-Lucent’s High Leverage NetworkTM architecture.

Alcatel-Lucent is a worldwide leader in fixed broadband access. Today, one out of three fixed broadband subscribers around the world is served through an access network provided by Alcatel-Lucent. Alcatel-Lucent is involved in over 160 FTTH projects worldwide.

Alcatel-Lucent is playing a critical role in driving innovation in fixed broadband access.On March 27th2012, the external linkGreenTouch™ consortium announced and demonstrated a new technology, invented by the scientists of Bell Labs, the research arm of Alcatel-Lucent, which will dramatically reduce energy consumption in FTTH networks. The breakthrough Bit-Interleaved Passive Optical Network (Bi-PON) technology enables a power reduction of 30 times over current technologies while improving performance and reducing cost.

About Alcatel-Lucent (Euronext Paris and NYSE: ALU)

The long-trusted partner of service providers, enterprises and governments around the world, Alcatel-Lucent is a leading innovator in the field of networking and communications technology, products and services. The company is home to Bell Labs, one of the world’s foremost research centers, responsible for breakthroughs that have shaped the networking and communications industry. Alcatel-Lucent was named one of MIT Technology Review’s 2012 Top 50 list of the “World’s Most Innovative Companies” for breakthroughs such as lightRadio™, which cuts power consumption and operating costs on wireless networks while delivering lightning fast Internet access. Through such innovations, Alcatel-Lucent is making communications more sustainable, more affordable and more accessible as we pursue our mission – Realizing the Potential of a Connected World.

With operations in more than 130 countries and one of the most experienced global services organizations in the industry, Alcatel-Lucent is a local partner with global reach. The Company achieved revenues of Euro 15.3 billion in 2011 and is incorporated in France and headquartered in Paris.

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