PARIS, May 23 /PRNewswire-FirstCall/ -- Alcatel (Paris: CGEP.PA and NYSE: ALA) and Microsoft Corp. today announced they will harness IBM's server systems technology to deliver solutions for carrier-class triple play/Internet Protocol Television (IPTV) deployments. This announcement, combined with the existing OEM agreement between IBM and Alcatel, solidifies IBM as a key member of the joint Alcatel-Microsoft IPTV ecosystem. As a result, IBM, Alcatel and Microsoft will work together to deliver these advanced systems to carriers deploying triple play service offerings. The optimization of IBM's server and storage solutions will include the ability to provide superior support for the Microsoft(R) TV IPTV Edition software platform within Alcatel's overall Triple Play Service Delivery Architecture (TPSDA). The companies will also cooperate on global go-to- market efforts that will include joint selling and marketing activities. The combination of Alcatel's network access experience, IBM's proven server solutions and Microsoft's software expertise and comprehensive IPTV Edition software platform is expected to speed time to market for IPTV services while improving system performance and architecture scalability for telecommunications service providers. In addition, with the pre-investment in performance testing and integration, the cooperation also has the potential to improve performance and lower CAPEX for service providers. "As the key services integrator and partner to many of the world's largest service providers seeking to deliver triple play offerings, our customers rely on us for guidance across all areas of their projects," said Monika Maurer, President for Alcatel's fixed solutions activities. "By working with established leaders like IBM and Microsoft we maintain tremendous confidence in the capabilities of the ecosystem, while providing our customers with the flexibility and reliability necessary for their next-generation network deployments." "IBM is pleased to be a key server platform provider in delivering integrated IPTV solutions to Alcatel and Microsoft customers," said Jim Pertzborn, Vice President for IBM's Systems and Technology Group. "Leveraging the breadth of IBM's xSeries(TM) and BladeCenter(TM) technologies will enable Alcatel and Microsoft to deliver reliable, scalable and cost-Effective IPTV solutions to their customers." "Our joint collaboration with Alcatel and IBM is a significant validation of the growing IPTV industry," said Christine Heckart, general manager of marketing for the Microsoft TV Division. "By working with these industry- leading companies we can continue to strengthen the Microsoft IPTV Edition platform while enabling service providers to cost-effectively deliver exciting new TV experiences for consumers." About Microsoft Founded in 1975, Microsoft (NASDAQ:MSFT) is the worldwide leader in software, services and solutions that help people and businesses realize their full potential. About Alcatel's user-centric triple play To meet today's quest for increased personalized and interactive services, Alcatel helps worldwide operators transform their networks and deliver a new, way better end-user experience. Alcatel's user-centric triple play builds on its leadership in broadband technology, IP networking, optics, new multimedia and video applications, as well as end-to-end services integration. End-users will enjoy unique, exciting services including video on demand, personal TV, community channels, online gaming and sharing of music, photos and home videos, all delivered simply and seamlessly via a range of devices and networks. Alcatel is currently involved in more that 35 triple play network projects worldwide including AT&T/SBC, BellSouth, France Telecom, Swisscom, Fastweb and Chunghwa Telecom. For more information: http://www.alcatel.com/tripleplay 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/ DATASOURCE: Alcatel CONTACT: Microsoft Press - Microsoft TV Team U.S.: Weber Shandwick Worldwide, Tel: +1-425-452-5400, , or Microsoft TV Team EMEA: Weber Shandwick Worldwide, Tel: +1 44 207 067 0500, ; or Alcatel Press - Regine Coqueran / HQ, Tel: + 33 (0)1 40 76 49 24, , or Mark Burnworth Web site: http://www.alcatel.com/ http://www.alcatel.com/tripleplay

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