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Alcatel-Lucent Wins Chinese Contracts Worth $1.7 Billion

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Alcatel Lucent has inked two framework agreements valued USD1.7 billion in total with China Mobile and China Telecom, to provide network upgrades, integration and maintenance services in 2009. The agreements were secured through Alcatel Lucent Shanghai Bell, Alcatel Lucent's Chinese company.

Under an agreement valued approximately USD1 billion with China Mobile Alcatel-Lucent will provide its GSM/EDGE solutions, TD-SCDMA wireless networking equipment, optical, microwave and IP transmission offerings, IP service routers, application platforms and related services

In a comparable agreement with China Telecom, valued at approximately US$700 million, Alcatel-Lucent will supply its 3G CDMA/EV-DO networking equipment, application platforms, optical and IP transmission platforms, IP service routers and network maintenance services to support the rollout of the company's 3G wireless broadband network.

"We are honoured to have been selected as a major provider of cutting-edge solutions for China Mobile and China Telecom. Alcatel-Lucent Shanghai Bell is fully committed to supporting their rapid transformation to 3G, and their smooth evolution to LTE/4G in the future", said Olivia Qiu, head of Alcatel-Lucent activities in East Asia and President of Alcatel-Lucent Shanghai Bell. "The agreements also set the stage for future collaboration with these customers on the ongoing improvement of their networks."

At the end of 2008, a consortium led by Alcatel-Lucent Shanghai Bell and Datang Mobile won the largest share in China Mobile's tender for the second phase of its TD-SCDMA mobile network trial. Also in 2008, China Telecom selected Alcatel-Lucent Shanghai Bell for a USD230 million upgrade of its CDMA mobile network. China's third mobile network operator, China Unicom recently selected Alcatel-Lucent to deploy 3G W-CDMA networks in 14 Chinese provinces.

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