Alcatel introduces optical networks product group at SUPERCOMM '97; effort will hasten the evolution of the all-optical network layer.

NEW ORLEANS--(BUSINESS WIRE)--May 29, 1997--The all-optical network layer is emerging as an overarching transport mechanism to manage more effectively the rapid expansion of network capacity supporting new broadband access (e.g., the Internet) and ATM (asynchronous transfer mode) services. This photonic layer augments SONET (synchronous optical network) transport and service layers with wavelength routing and switching applications to provide ultra-reliable transport, while maximizing the capacity of the installed base of optical fiber.

Alcatel, exhibiting in Booth 149, is announcing here at SUPERCOMM '97 the creation of an Optical Networks product group to assist carriers in this area. Joe Bass, vice president and general manager, Will lead the new Optical Networks group, which develops Alcatel's flat-gain optical amplifiers (Alcatel 1610 OA), dense wave-division multiplexing (WDM) systems, optical add/drop rings, and optical cross connects.

Alcatel is holding a briefing for press and analysts at 10:00 a.m. on June 4 in Room 90 or 91 of the Ernest M. Morial Convention Center here to discuss the optical network layer, its benefits to the service provider, impact on the industry and how Alcatel will meet the needs of service providers.

"The evolution of optical networks will lead to more advanced networks that provide wavelength routing capability and new bit rate and format independent services falling outside of the SONET and SDH standards," said Mr. Bass. "As customers purchase these new, high-bandwidth services -- such as super LAN or ADSL for Internet access, the amount of traffic passing through service provider locations will increase dramatically. Optical switching and routing devices are inherently smaller than their electronic cousins, require less power, switch faster, and manage more bandwidth with less complexity."

For example, Alcatel continues to lead innovation of digital cross-connect systems, with its recent announcement of a 4,000 STS port matrix. But an optical cross-connect system can provide wavelength restoration and routing for the same bandwidth with a matrix nearly 200 times smaller. Optical systems will be used most effectively in tandem with broadband digital systems -- where the digital cross connect manages performance and aggregation of SONET payloads, while the optical cross connect provides bulk wavelength management and restoration.

The group retains control over Alcatel's existing line of SONET (synchronous optical network) time-division multiplexer (TDM) products: the Alcatel 1603/12 SM (155/622 Mbit/s rate), 1648 SM (2.4 Gbit/s) and 16192 SM (10 Gbit/s) -- all "in service" to demonstrate a number of network topologies, including advanced ring applications, at SUPERCOMM.

Alcatel has an established presence in the field of advanced optical transmission products, having shipped its first optical amplifiers in 1993 and recently winning major contracts to supply its 1610 OA product for 16-channel dense WDM networks. Alcatel now has more than 80 customers for the 1610 OA WDM system. In addition, Alcatel introduced and demonstrated an optical cross connect last year at SUPERCOMM '96 -- a full year ahead of any major competitor.

"Alcatel has the proven stability and makes the necessary investments for product development to assure continued network evolution for our customers," said Mr. Bass. "Our customers know that we will be there to assist them with their current and future optical network requirements."

Alcatel's activities in North America include the design, manufacture and service of a full line of voice, data, video and multimedia telecommunications products -- such as ATM switching systems, digital cross connects, DSL systems, fiber optic transmission systems, optical amplifiers, microwave radios, wireless communications switches, video codecs, and network management systems. The telecommunications and broadcast industries, private operators and corporations use these products to create high performance networks. The global operations of Alcatel make it one of the world's leading communications equipment manufacturers. Alcatel is part of the Alcatel Alsthom group, which maintains its headquarters in Paris. Alcatel Alsthom trades on the New York Stock Exchange as ALA.

CONTACT: Alcatel, Richardson

Michael Newsom, 972/996-7896

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