Alcatel-Lucent Brazil Expects US$500mn Revs in 2007

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The recently merged communications solutions company Alcatel-Lucent expects its Brazilian unit to bill around US$500mn in 2007, tech news service Computerworld reported Alcatel-Lucent Brasil president Jonio Foigel as saying.

Alcatel-Lucent, which provides solutions for service providers, enterprises and governments to deliver voice, data and video communication services, estimates that Brazilian operators will invest around US$1bn over the next three years to meet the demands of triple play convergence.

"We aim to target this area," Computerworld reported Foigel as saying.

Alcatel-Lucent also hopes to grow in the areas of IP ethernet networks as well as reaping benefits from the arrival of 3G and WiMax in Brazil, he said.

CONSOLIDATION

Following the merger between French equipment supplier Alcatel and US network infrastructure supplier Lucent Technologies on November 30, 2006, the main challenge of the company will be the consolidation process, according to Foigel.

The company is in the midst of an integration process and the new structure of the Brazil unit will be announced by mid-2007.

However, he did reveal that Alcatel-Lucent Brasil will have three business units to attend to the global accounts of Telefónica, Telmex and locally owned groups, namely Brasil Telecom and Telemar.

JOB LOSSES

Alcatel-Lucent expects to axe 9,000 jobs worldwide, but the company still has not decided on the situation in Brazil, according to Foigel.

The executive believes that the impact will not be so big in the country, where Alcatel and Lucent have complementary operations.

The worst affected countries will be those where there are R&D and production units that are increasingly being outsourced, he said.

Alcatel-Lucent achieved combined sales of 18.6bn euros (US$24.3bn) in 2005 and is incorporated in France with its executive offices located in Paris. The group has 79,000 employees and operations in over 130 countries.

BNAmericas.com"

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Tags: [ethernet]  [brasil telecom]  [alcatel]  [telmex]  [triple play

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