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China Telecom leverages Alcatel-Lucent CDMA/EV-DO Rev. B technology at Expo 2010

Shanghai, 01 June, 2010

Alcatel-Lucent (Euronext Paris and NYSE: ALU) today announced that it has been selected as the sole equipment provider for China Telecom’s CDMA/EV-DO Rev. B network at the Expo 2010 in Shanghai. Alcatel-Lucent’s solution, which has been installed in the United States Pavilion, enables China Telecom to boost its mobile broadband network speeds by up to three times and

offer increasingly sophisticated 3G services - including VoIP, voice-on-demand and media streaming. Alcatel-Lucent’s selection, which was secured by Alcatel-Lucent Shanghai Bell, its Chinese flagship company, follows an earlier trial of the multi-carrier Rev. B technology with China Telecom in three districts of Shanghai.

The Alcatel-Lucent EV-DO Rev. B solution is a software upgrade that builds on operators’ existing CDMA base stations and enables a two- to three-fold improvement in the forward link peak data rates (6.2 Mbps for 2.5MHz and 9.3 Mbps for 3.75 MHz); peak data rates for the reverse link are improved proportionally (3.6 Mbps for 2.5 MHz and 5.4 Mbps for 3.75 MHz). Mobile operators’ end customers can thus enjoy higher-speed access to mobile Internet-based audio and video content, as well as faster mobile network connectivity through their laptops.

“We continue to focus on operators’ investment protection and OPEX reduction strategies - refreshing older, embedded CDMA technology with “greener”, higher-capacity options that are positioned to integrate LTE,” said Romano Valussi, president of Alcatel-Lucent Shanghai Bell. “As a long-term partner of China Telecom, Alcatel-Lucent is committed to further improve China Telecom’s existing CDMA/EV-DO network – enabling our customer to offer state-of-the-art mobile broadband services building on their installed equipment.”

Alcatel-Lucent is the global leader in CDMA - supplying CDMA solutions to more than 70 customers in 40 countries and supporting the top 5 global operators. Alcatel-Lucent is working with tier one operators as they evolve their networks from CDMA/EV-DO to incorporate LTE technology, ensuring the smooth interoperability of their 3G and 4G network infrastructures. In China, China Telecom has partnered with Alcatel-Lucent to deploy CDMA/EV-DO networks in 56 cities throughout 9 provinces. According to industry analyst firm Dell’Oro, Alcatel-Lucent leads in terms of worldwide CDMA revenues with a 37% market share (cumulative 2009)1.

[1] Mobility Report 4Q09: Market Summary & Vendor Information - GSM/GPRS/EDGE, CDMA, WCDMA, Mobile WiMAX - Worldwide & Regions (February 24, 2010 - Dell'Oro Group)

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