Alcatel-Lucent Invited by SOFTBANK MOBILE to Trial Femto BSR In-Building Mobile Access Solution in Japan.

PARIS -- Alcatel-Lucent (Paris: Euronext and NYSE: ALU) today announced that its Femto Base Station Router (BSR) was invited by Japanese service provider SOFTBANK MOBILE to participate in the experimental trial of mobile high-speed data "in-building" solutions announced by SoftBank on June 29.

The goal of the trial is to demonstrate the commercial viability of the solution and will encompass testing of voice and HSPA high-speed data services in a range of building environments. The trial also will involve integration of the solution into Softbank's network and feature a number of enablers such as auto-configuration that are preconditions for the smooth rollout of commercial service.

The Femto Base Station Router is an innovative solution that packs third-generation mobile W-CDMA/HSPA radio access and core network elements into one compact, easy-to-deploy unit. The solution benefits operators by enabling them to reduce their network costs. It benefits users by enabling them to access broadband wireless services with a high-speed connection and exceptional coverage in homes and small offices.

"This trial by SOFTBANK MOBILE of our commercial capabilities is a major step forward in accelerating the availability of Femto BSR for in-building wireless solutions," said Frederic Rose, Alcatel-Lucent APAC President. "Alcatel-Lucent's Femto BSR offers an ideal way for service providers - such as SOFTBANK MOBILE - to provide broadband wireless services in a home or small office more efficiently than they could with a traditional cellular network."

At the heart of the Femto Base Station solution is Alcatel-Lucent's revolutionary "flat IP (Internet Protocol)" architecture and patented auto-configuration approach. The advantage of this flat architecture is that it effectively reduces the number of network elements (and related "layers") that network traffic has to travel through and eliminates bottlenecks in the network, thereby increasing data throughput and decreasing latency. The Femto Base Stations are also able register themselves automatically on the network, a feature that enables operators to deploy and more easily manage large numbers of smaller, stand-alone base stations.

The planned trial activities are expected to begin in the fourth quarter of 2007.

As a global leader in the development and deployment of third-generation (3G) networks, Alcatel-Lucent has deployed commercial 3G (W-CDMA/HSPA and CDMA/EV-DO) systems for more than 70 operators worldwide.

About Alcatel-Lucent

Alcatel-Lucent (Euronext Paris and NYSE: ALU) provides solutions that enable service providers, enterprises and governments worldwide, to deliver voice, data and video communication services to end-users. As a leader in fixed, mobile and converged broadband networking, IP technologies, applications, and services, Alcatel-Lucent offers the end-to-end solutions that enable compelling communications services for people at home, at work and on the move. With 79,000 employees and operations in more than 130 countries, Alcatel-Lucent is a local partner with global reach. The company has the most experienced global services team in the industry, and one of the largest research, technology and innovation organizations in the telecommunications industry. Alcatel-Lucent achieved proforma combined revenues of Euro 18.6 billion in 2005, and is incorporated in France, with executive offices located in Paris. [All figures exclude impact of activities transferred to Thales]. For more information, visit Alcatel-Lucent on the Internet: http://www.alcatel-lucent.com

About Softbank

Softbank Group is the holding company for several businesses linked to Internet culture, technology services and e-commerce. Three companies are at the core of the operation: SOFTBANK BB for broadband infrastructure, SOFTBANK TELECOM for fixed communication and SOFTBANK MOBILE for mobile telecommunication business.