Alcatel Lands 3G UMTS Network Contract

Alcatel announced the signature of a contract with tele.ring, the Austrian fixed and mobile network operator, for the supply of a turnkey 3G/UMTS network.

Inset shows the Alcatel's Evolium 3G/UMTS solution discussed below.

The deployment of the networks will begin in May. The first phase will cover mainly Vienna, Graz and Linz, that will mean 25% of Austria's
population, until end of 2003.

Under the terms of this contract, Alcatel will introduce a complete set of UMTS features and network configurations within the GSM/GPRS network of tele.ring thanks to its field-proven Evolium? multi-standard base stations.

Alcatel's Evolium 3G/UMTS solution features the UTRAN (UMTS Terrestrial Radio Access Network) radio systems including UMTS base stations (Node B) and Radio Network Controllers (RNC), the packet core network systems and transmission equipment.

The Evolium? multi-standard platform integrates all technologies, from
GSM/GPRS to EDGE and UMTS and allows all solutions in one for a smooth
upgrade of existing networks. Alcatel's approach to the introduction of
UMTS in existing GSM networks focuses on protecting the operator's
investment in general, and on Radio Access Network (RAN) system, in
particular.

"We have for a long time partnered with Alcatel building high-quality
networks that meet the demands of the outstanding growth of our GSM/GPRS
subscribers", declared Hubertus Hofkirchner tele.ring's, Chief Executive
Officer of tele.ring. "We chose Alcatel's 3G/UMTS solution because it
offers flexible upgrades for existing infrastructure which enables
tele.ring to offer seamless 2.5 G and 3G service depending on customer's
needs".

"This contract with tele.ring is very important to Alcatel", added Marc
Rouanne, Chief Operating Officer of Alcatel's Mobile Communications
activities. "Austria is a fast-moving economic force in Europe. Tele.ring
is addressing this market with excellent service offerings. We are
delighted to extend our business relations with such a dynamic operator
towards 3G infrastructure and services."

Alcatel's UMTS solutions are a reality today, while capitalizing on Japan's
3G technical and field experience. Alcatel delivers a 3GPP-compliant UMTS
radio infrastructure with some 20 pre-commercial UMTS networks in operation
world-wide.

This Press Release Sponsored by AGILENT TECHNOLOGIES

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