China Telecom Partners with Alcatel On Mass Broadband Access
Deployment in China
Agreement sets blue print for long-term strategic co-operation
Paris, March 22, 2001 - Alcatel (Paris: CGEP.PA and NYSE: ALA), the world leader in
broadband access solutions, today entered into a nationwide frame agreement with
China Telecom, China's largest telecommunications network operator and service
provider, to jointly deploy digital subscriber line (DSL) technology across the country.
Alcatel will supply China Telecom, which owns 99% of the fixed telephone
infrastructure in China accounting for 130 million lines, with its industry-leading 7300
DSL Access Multiplexer (DSLAM) and DSL Speed Touch modems. The strategic
agreement is expected to become the blue print for China Telecom to work with Alcatel
for nationwide deployment.
The explosive increase in Internet users in China, from 8.9 million a year ago to 22.5
million by the end of 2000, has created demand for high speed access and broadband
services, such as video-on-demand (VOD), multi-media distance learning, tele-working
and video conferencing. Alcatel's advanced 7300 DSLAM multi-service platform
supports both symmetric and asymmetric services including VOD, Virtual Private
Networks, Voice over DSL, and QoS differentiation services. This capability will enable
China Telecom to fully utilise its existing copper network to offer broadband access
services to residential and small and medium enterprise (SME) users.
"I am sure that this will be inspiring news to all Internet users, who are continuously
asking for higher speed and broadband services," said Chang Xiaobing, Vice President
of China Telecom. "By working this way, operators like China Telecom will be able to
provide to end-users a wide range of broadband services in a cost-effective way."
Alcatel was the first vendor to introduce DSL to China more than five years ago and is
now working in more than 10 provinces, including Beijing, Shanghai, Jiangsu,
Guangdong and Fujian, etc. Chinese consumers have demonstrated an increased
appetite for new communication technology, which has been further stimulated by the
government's recent emphasis on developing broadband networks in the most
developed areas of the country.
"More than anything, it is our strategic partnership with China Telecom that we value
most as we look forward to jointly developing China's red-hot broadband access
market," said Dominique de Boisseson, Chairman and CEO of Alcatel China. "This
agreement with China Telecom will ignite a nation-wide integrated approach bringing
Alcatel's worldwide expertise and rich experience to the benefit of our customers and
end users."
Alcatel leads the worldwide DSL market with more than 52 per cent market share,
supplying six million lines worldwide in 2000. Alcatel is also the top supplier in the world
DSL modem market in both unit sales (25.2 percent, or 1.6 million units) and revenue
(26.2 percent) in 2000, according to Dell'Oro Group, a leading industry research firm.
About Alcatel
Alcatel builds next generation networks, delivering integrated end-to-end voice and
data networking solutions to established and new carriers, as well as enterprises and
consumers worldwide. With 130,000 employees and sales of EURO 31 billion in 2000,
Alcatel operates in more than 130 countries. For more information on Alcatel's DSL
solutions, visit alcateldsl.com, and alcatel.com.cn.
Contact press@www.alcatel.com |
