Belgian Network Relies on Alcatel 7770 in Core; BELNET Delivers Advanced Internet Applications on Alcatel's IP/MPLS Core Platform.

Business Editors/High-Tech Writers

DALLAS--(BUSINESS WIRE)--Jan. 29, 2003

Alcatel (NYSE:ALA), a worldwide leader in carrier-class network infrastructure solutions, today announced that BELNET -- the Belgian national research network for education, research and public communications services -- has selected the Alcatel 7770 Optical Broadband Exchange (OBX) for the backbone of BELNET's nationwide Internet Protocol (IP) network.

The Alcatel 7770 OBX also will be the international gateway for BELNET'S nationwide network and will perform the peering to GEANT, the European-wide research network sponsored by the European Community. BELNET operates a high-capacity network to deliver service to universities, research institutes, and many government offices in Belgium. Currently 340,000 users in more than 150 sites have high-speed Internet connectivity via BELNET.

"Our IP network showcases new networking concepts and supports advanced Internet applications like streaming, videoconferences and tele-teaching," said Pierre Bruyere, chief executive officer of BELNET. "The Alcatel 7770 OBX provides the reliable infrastructure we require for stringent service delivery and dependable up-time. The OBX's service differentiation capabilities complement our requirements as they deliver true quality of service -- which is essential for high-quality real-time applications."

"Alcatel has significantly improved the delivery of IP services with the introduction of the 7770 OBX," said Michel Rahier, president of Alcatel's broadband networking activities. "This IP/MPLS (Multiprotocol Label Switching) core platform offers a strong and unique value proposition of a carrier-class and truly scalable infrastructure. We are working with innovative operators such as BELNET to create IP core networks that cost-effectively support the proliferation of high-quality broadband services and prove they are profitable to our customers and valuable to the end users."

About the Alcatel 7770 OBX

The Alcatel 7770 OBX delivers true telco-grade reliability, based on the Alcatel Carrier Environment Internet System (ACEIS) -- an essential component of building five nines (99.999 percent) reliability into IP core networks. In addition, unparalleled scalability from 100 Gbps to 1.9 Tbps of line capacity means the 7770 OBX will grow in line with IP networks for significantly longer than existing routers. The Alcatel 7770 OBX was designed specifically for true carrier-class networking: a turning point for the Internet core. With its combined scalability and ACEIS technology, operators can avoid spending up to 50 percent more for the same network performance. Higher service availability and performance ensure premium revenue opportunities, which are further enhanced by superior traffic management capabilities. Building on the strengths of the Alcatel 7770 product line technology, the OBX brings to market an optimized modularity and central office practicality.

About BELNET

BELNET operates the Belgian national network dedicated to education, research institutes and public services. For more information, www.belnet.be.

About Alcatel

Alcatel designs, develops and builds innovative and competitive communications networks, enabling carriers, service providers and enterprises to deliver any type of content, such as voice, data and multimedia, to any type of consumer, anywhere in the world. Relying on its leading and comprehensive products and solutions portfolio, stretching from end-to-end optical infrastructures, fixed and mobile networks to broadband access, Alcatel's customers can focus on optimizing their service offerings and revenue streams. With sales of Euro 25 billion in 2001, Alcatel operates in more than 130 countries. For more information, http://www.alcatel.com.