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France Telecom and Alcatel Sign a Frame-agreement for Fixed and Mobile Networks.

GENEVA--(BUSINESS WIRE)--Oct. 13, 1999--

Alcatel at Telecom Geneva - Hall 4, stand n(degree) 210

France Telecom and Alcatel have reached an agreement for the provision of switching systems as well as for Intelligent Networks.

The frame agreement, spanning the 1999-2001 period, covers the fixed as well as mobile networks of France Telecom, both in France and abroad. Alcatel will supply, in particular, the Alcatel 1000 system which, starting this year, is evolving toward a multimedia multiservice switching and routing system, the Alcatel 1000 MM. The Alcatel 1000 MM is part of the Alcatel 2iP(tm) next generation networking product suite. It allows operators to provide converged services handling both data and voice calls at aims at ensuring a smooth evolution of these networks toward Internet and multimedia services. This is achieved, in particular, through the packetization of the switching core, powerful Network Intelligence as well as high-speed access and transport. It also incorporates Call Server and Voice-over-IP (VoIP) technologies that are particularly well adapted to the operators' new needs.

Etienne Fouques, president of Alcatel's Switching and Routing division, declared: "We have a clear vision of the converged future and through the Alcatel 2iP(tm) program we are making this vision a reality. The Alcatel 2iP(tm) portfolio provides operators with complete carrier class solutions which allow them to migrate their existing infrastructure to the IP world in a cost-effective and flexible manner."

This agreement follows two strategic contracts recently signed with the French operator. The first one concerns the densification of the Itineris GSM network of France Telecom Mobiles in the Paris area. The second contract confirmed the choice, for 1999, of the Alcatel ADSL technology for the deployment of access networks in France. These will provide residential subscribers and business users with high-speed Internet access as well as with digital asymmetric leased lines.

About Alcatel

Alcatel builds next generation networks, delivering integrated end-to-end voice and data solutions to established and new carriers, as well as enterprises and consumers worldwide.

With 120,000 employees and sales of EURO 21.3 billion ($25.0 billion), Alcatel operates in more than 130 countries.

About France Telecom

France Telecom is one of the world's leading telecommunications carriers, with 1998 consolidated operating revenues of EUR 24.6 billion and operations in more than 50 countries.

France Telecom provides businesses, consumers and other carriers with a complete portfolio of solutions that spans local, long-distance and international telephony, data, wireless, multimedia, Internet, cable TV, broadcast and value-added services. France

Telecom held an initial public offering in October 1997 and is listed on the Paris and New York (NYSE: FTE) stock exchanges. For more information, visit France Telecom on Internet: http://www.francetelecom.fr

For full Alcatel Geneva Telecom press list, consult: http://www.alcatel.com
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Publication:Business Wire
Date:Oct 13, 1999
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