Continues market momentum for IP network and service transformation PARIS, June 1 /PRNewswire-FirstCall/ -- Alcatel (NYSE: ALA; Paris: CGEP.PA) today announced significant enhancements to its Triple Play Service Delivery Architecture (TPSDA), accelerating IP network transformation and enhancing the quality of experience for broadband consumer services. With these latest enhancements, Alcatel is continuing the momentum of more than 40 active triple play projects and ensuring its triple play architectural blueprint is closely aligned with the needs of service providers worldwide. "As triple-play service bundles are still in the early stages of deployment, service providers are making critical investments in network infrastructure to prepare for long-term growth in subscriber demand," said Mark Bieberich, Director, Yankee Group. "With this announcement, Alcatel demonstrates its operational experience from early TPSDA deployments by developing important new product capabilities that will help its expanding customer base meet subscriber demand and improve the user experience." The Alcatel IP portfolio has been selected by more than 130 service providers in 55 countries, including massive, multi-year IP network and service transformation projects at AT&T, BT, TeliaSonera and China Telecom. Alcatel is announcing new wins with SaskTel, one of Canada's most progressive full service communications companies, who selected Alcatel's triple play solution to enhance its Internet and entertainment services across Saskatchewan; U.S.-based integrated communications provider, NTELOS, who will deploy Alcatel's TPSDA for a triple play trial in Virginia; and U.S. independent service provider Brazoria Telephone who will deploy an end-to-end IP network solution to deliver new services to its customers in Texas. According to Synergy Research Group, Alcatel is #2 in the Services Edge Router category in Q1 2006, with 18% market share, following four consecutive quarters of market share gain. New to Alcatel's TPSDA are Release 4.0 of the Alcatel Service Router Operating System (SR OS) and Release 2.0 of the Alcatel 5750 Subscriber Services Controller (SSC). SR OS release 4.0 is available immediately and highlights include: -- Non-stop PIM (Protocol Independent Multicast)-based multicast routing and stateful IGMP (Internet Group Management Protocol) switchover to ensure Non-stop broadcast TV service delivery -- Non-stop network operation with in-service software upgrades -- Support for 'any mode of operation', increasing flexibility and accelerating network transformation for triple play services -- Programmable subscriber configuration policies, with automated subscriber management to accelerate High Speed Internet (HSI) migration from PPP (Point-to-Point Protocol) to DHCP (Dynamic Host Configuration Protocol), unifying and optimizing triple play operations 5750 SSC release 2.0 will be available in 3Q 2006 and highlights include: -- Support for Service Admission Control (SAC) as part of Alcatel's end- to-end TPSDA service assurance and control framework, future-proofing quality of experience for large scale, on-demand service delivery -- Integrated subscriber management for DHCP and RADIUS, enabling accelerated High Speed Internet (HSI) migration from PPP to DHCP, unifying and optimizing triple play operations -- Support for 'any mode of operation,' increasing flexibility and accelerating network transformation for triple play services With these enhancements, Alcatel continues to strengthen its position as a network transformation partner, bringing to market an unmatched, integrated triple play portfolio that spans IP, access, transport, subscriber policy, end-to-end network management products, services integration and a rich ecosystem of best-of-breed partners. "Alcatel has established an industry-leading blueprint for triple play services and garnered TPSDA customers at a rapid pace," said Basil Alwan, president of Alcatel's IP activities. "With these new enhancements to Alcatel's TPSDA, we are continuing to demonstrate our commitment to product and service innovation, enabling our customers to transform their broadband services portfolios." For more information on Alcatel's TPSDA solution and to view the press releases, visit http://www.alcatel.com/IPnews 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: Press: Tracy Dupree, +1-818-878-4408, , or Regine Coqueran, +33-1-40-76-49-24, , or Mark Burnworth, +33-1-40-76-50-84, , or Investor Relations: Pascal Bantegnie, +33-1-40-76-52-20, , or Nicolas Leyssieux, +33-1-40-76-37-32, , or Maria Alcon, +33-1-40-76-15-17, , or Charlotte Laurent- Ottomane, +1-703-668-7016, , all of Alcatel Web site: http://www.alcatel.com/ http://www.alcatel.com/IPnews

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