PARIS -- HanseNet Telekommunikation GmbH, a facilities based competitive local exchangecarrier (CLEC), and the German subsidiary of Telecom Italia, has selected Alcatel (Paris : CGEP.PAet NYSE : ALA) to expand and enhance their existing broadband infrastructure in Hamburg. The multimillionEuro deal includes the supply of Alcatel’s multimedia access and optical transport solutions.

With 100 collocations in the city of Hamburg and approximately 140,000 DSL lines deployed, themetropolitan carrier will be in a position to offer its residential and busines customers the most advancedbroadband services. HanseNet currently commands a market-share of 40% of the DSL market in theHamburg metropolitan area. The city-carrier’s existing transport network spans approximately 1,000kilometer covering Hamburg and the surrounding areas.The Alcatel solution allows HanseNet to simultaneously transmit data and voice and provide its customerswith a broad spectrum of symmetrical (g.SHDSL) and asymmetrical (ADSL) high speed Internet connectionsand Ethernet services. In addition, the HanseNet company, who were the first on the market with Videoon-Demand via television screens, has ensured the transition to new services, for example, next generationvoice services with the extension of this network.

The Alcatel technology will enable HanseNet to deliver new services and derive additional revenue fromthe existing copper wire infrastructure without having to make major investments. Alcatel’s solution alsoprovides for network resource optimization, flexible differentiation of service level agreements and networktraffic planning to meet the customer’s requirements for carrier-class service and availability.

“This network upgrade enables our customers to enjoy new broadband services while reinforcing ourcompetitive edge,” stated Stefan Bachthaler, Network Director at HanseNet. “Using Alcatel’s technology,we will be able to enhance our network capacity and respond quickly and cost-effectively to our customers’increased service demands.”

“The move to multi-service infrastructures opens up the world of integrated voice and data applications toour customers”, commented Michel Rahier, chief operating officer of Alcatel’s fixed communicationsactivities. “As the market leader in broadband access and optical networking, Alcatel is optimallypositioned to support HanseNet in expanding its service offering, as well as securing new levels of qualityand reliability in service delivery.“

Alcatel SA