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Technology Stocks : Alcatel (ALA) and France

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To: zbyslaw owczarczyk who wrote (3682)11/7/2001 7:25:21 AM
From: zbyslaw owczarczyk  Read Replies (1) of 3891
 
Alcatel Increases Multiservice WAN Market Share

Yankee Group says Company ideally positioned to make further gains on competition

Paris, November 5, 2001 - Alcatel (Paris: CGEP.PA and NYSE: ALA) is the only vendor to
strengthen its hold in the multiservice wide area network (WAN) market, according to The
Yankee Group, a leading technology research and strategic consulting firm. The Yankee
Group's October 2001 Multiservice WAN Switch Market Analysis indicates Alcatel increased its
global market share from 20 to 24 percent in this critical market, which includes both network
edge and core. The Yankee Group forecasts a 10 percent year-over-year growth in the WAN
switching market in 2001, and predicts that Alcatel will continue to see greater growth for its
multiservice product portfolio than its competitors.

"The WAN multiservice market is being driven by a 30 percent increase in demand for data
services, increasing ATM deployments in wireless core networks, and growth in
next-generation voice networks," said Christin Flynn, director, Carrier Convergence
Infrastructure at The Yankee Group. "Carriers have been waiting for either MPLS or a higher
capacity switch fabric and density. New product developments, such as Release 2 of the
Alcatel 7670 Routing Switch Platform, offer carriers the right mix of scalability, density and
MPLS functionality. Alcatel's commitment to continued investment, combined with its strong
European presence, give the company a distinct opportunity to gain further market share at the
expense of equipment vendors more heavily dependent on revenues from North America."

Alcatel's portfolio of multiservice WAN products includes the Alcatel 7670 Routing Switch
Platform (RSP) and the Alcatel 7470 Multiservice Platform (MSP). The multiprotocol Alcatel 7670
RSP is multiprotocol label switching (MPLS)-enabled and designed for the core and edge of
next generation multiservice networks. With in-service scalability from 2.4 Gb/s in the edge to
450 Gb/s in the core, the Alcatel 7670 RSP offers carriers the ability to scale existing
multiservice networks to meet the demands placed on the core by the rapid increase of IP
traffic. With more than 30,000 systems shipped to some of the world's largest service
providers, the Alcatel 7470 MSP is a highly flexible platform ideal for multiprotocol networks that
support a variety of revenue-ready services for delivery across a broadband infrastructure.

"Alcatel is committed to developing best-in-class multiservice products that offer the scalability
and flexibility essential to meet the business and network needs of our customers," said Barry
Denroche, vice president, Switched Data Networks, Alcatel. "The latest Yankee Group report
confirms this strategy. And, we remain confident about Alcatel's continued strength in the WAN
multiservice market based on the enthusiastic support for our recently launched Alcatel 7670
RSP Release 2."

About The Yankee Group
As a global leader in technology research and strategic consulting, The Yankee Group provides
accurate, reliable, and trusted research; custom consulting; and personalized one-to-one client
interaction encompassing all areas essential to business success: Internet, electronic
commerce, communications, wireless, computing, and enterprise applications. Now in its fourth
decade, the company is headquartered in Boston and maintains offices throughout North
America, Europe, Latin America, and the Pacific Rim. For more information visit: http://
www.yankeegroup.com

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 sales of EURO 31 billion in 2000 and 110,000 employees, Alcatel operates in
more than 130 countries.

Contact press@www.alcatel.com
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