Press Release

Paris, April 12, 2012 – Alcatel-Lucent (Euronext and NYSE: ALU) and external linkVermont Telephone Company, Inc. (VTel), one of the largest family-owned telephone companies in America, today announced plans to dramatically expand the availability of superfast broadband services such as Internet TV (IPTV) and video-on-demand to subscribers in its telephone service territory in Southern Vermont.

The deployment by Alcatel-Lucent of the 100 gigabit per second (100G) optical transport network, fiber-optic broadband access and IPTV delivery system will help VTel address the ever-increasing demand for faster, more reliable and cost-efficient broadband business and consumer services. As importantly, these services will now be available in areas where broadband connections have historically been limited due to Vermont’s rugged terrain and widely distributed, largely rural population.

With funding through the Broadband Stimulus funding administered by the Rural Utilities Service (RUS) and the National Telecommunications Information Administration (NTIA), VTel is helping to bridge the technological gap in Vermont. By increasing the capabilities of its data transmission and broadband access network, VTel will be able to deliver video and high-speed Internet services to both residences and businesses at speeds of up to one gigabit per second (Gbps), comparable to the fastest speeds available in the most advanced markets.

This project will dramatically increase connectivity in VTel’s service area, with the goal of helping to increase consumer broadband access and boost economic growth, stimulate job creation, and strengthen education, public safety, and healthcare delivery. The project also expands and strengthens VTel’s existing 1,000 mile four-state optical fiber network from Vermont with connections to New York City, Boston, and Montreal, which already serves some of the most intensive data users in the northeast.

“In today’s society, if you do not have access to high-speed Internet, you have limited accessibility to educational, business and employment opportunities,” said Justin Robinson, VTel president. “Alcatel-Lucent is an important partner in delivering world-class broadband to help improve the quality of life and work for Vermont’s residents and businesses.”

Robert Vrij, president of Alcatel-Lucent’s Americas Region and head of Alcatel-Lucent’s strategic alliances, said: “High-definition video and other broadband services are driving up the volume of data being transported on networks today. The continuous introduction of new innovations into our portfolio keeps our customers ahead of these trends, while ensuring they can continue to benefit from the investments they have already made. The introduction of 100G with VTel will offer a tremendous boost to their capabilities and in a very cost effective way.”

For the deployment, Alcatel-Lucent is providing VTel with a comprehensive solution including its 100G optical coherent technology, based on Alcatel-Lucent’s 1830 Photonic Service Switch (PSS), its 7750 Service Router, and OmniSwitch 9800E Metro Ethernet switch. Alcatel-Lucent has also been selected as the integrator of VTel’s IPTV service, which runs on the Microsoft Mediaroom™ solution. Network management capabilities are provided by Alcatel-Lucent’s 5620 Service Aware Manager, and the deployment was supported by the company’s engineering and installations services team.

The products included in the deployment are central elements of the Alcatel-Lucent High Leverage Network™ (HLN) architecture, which is designed to cut transport costs and dramatically reduce operational complexity in core networks.

Press Release

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