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Technology Stocks : Alcatel (ALA) and France -- Ignore unavailable to you. Want to Upgrade?

To: Michael M who wrote (1793)	5/16/2000 12:58:00 AM
From: Steve Fancy	Respond to of 3891

CHINA TELECOM SELECTS ALCATEL'S 'WET AND DRY' OPTICAL NETWORKING SOLUTIONS TO BUILD TWO DWDM NATIONAL BACKBONES Paris, May 15, 2000 - Alcatel, the world leader in optical networking, today announced it has signed two contracts (worth 20 million USD) with China Telecom, China's largest national telecommunications carrier, to build two Dense Wavelength Division Multiplexing (DWDM) national backbones. The new projects - Shendahu and Xichengyu - will enable China Telecom to undertake a major expansion of its telecommunication infrastructure to keep up with the country's growing demand for fast multimedia services. These awards further demonstrate Alcatel's ability to continuously find new ways beyond conventional solutions in optical networking and position the Company as prime supplier of 'wet and dry' DWDM technology to China Telecom. Up to now, Alcatel is the only company that obtained the Final Acceptance Certificate (FAC) on China Telecom's DWDM projects. The new high speed optical links, connecting Shenyang to Dalian to Shanghai - 2,000 km long, and Xian to Chengdu to Chongqing - 3,500 km long, will provide China Telecom with the first 32 channel DWDM systems ever deployed in China for commercial applications. "We want to offer our customers breakthrough technology and innovative solutions", said Vice President Chang Xiaobing of China Telecom Group. "Alcatel's expertise in terrestrial and submarine transmission is a really distinctive feature that will help us achieve the goal of adding enduring value to our customers." "Asia is a focal point in Alcatel's worldwide optical networking strategy", stated Christian Reinaudo, President of Alcatel Optics. "By strengthening the long lasting co-operation with China Telecom, Alcatel aims to support them in paving the path towards the network of the future and play a considerable role in the rapidly growing Chinese Internet market." Alcatel will supply, install, commission and maintain systems from their new Optinex transmission product line, that offers a wider range of cost-effective solutions than anyone in the industry, including the newest IP ones with guaranteed quality of services (QoS). The links are based on Alcatel's SDH multi-service nodes and on state-of-the-art 32 channel DWDM systems, operating at 2.5 Gbps- upgradable up to 10 Gbps, which allow the transmission of more than 20 million telephone conversations simultaneously. The Shendahu project encompasses a 170 kilometer repeatless submarine link from Yantai to Dalian, which entails the deployment of Alcatel's FEC (Forward Error Correction) new technology. This is the first time this technology is used in China. The whole network is managed by an integrated and efficient network management system to provide end-to-end services. About Forward Error Correction (FEC) Fec is a technique by means of which redundancy (i.e. extra information) is transmitted together with transported data, using a pre-determined algorithm. The receiving device has the capability of detecting and correcting multiple bit errors that could occur during transmission thanks to the redundancy (i.e. extra information). The signal transmitted with FEC is more 'robust' thus allowing operators to build up longer distance connections without the deployment of many repeater stations. About Alcatel In November 1999, RHK, a leading telecommunications analyst firm, said that Alcatel holds a 21% share - the number one position - of the world's total transport market, which comprises submarine and terrestrial transmission systems. RHK noted that Alcatel's market-leading 37% market share in the submarine networks segment helped secure the top position in the total transport market. In addition, RHK found that Alcatel commands a 37% share of the digital cross-connect systems (DCS) segment. Cross-connect systems contain the enabling technology for operators to offer high bandwidth services. Alcatel is also cited as the global leader in terms of DWDM market share for the global market encompassing both terrestrial and submarine applications. 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 120,000 employees and sales of EURO 23 billion in 1999, Alcatel operates in more than 130 countries. alcatel.com