PARIS, July 6 /PRNewswire/ --     Alcatel-Lucent (Euronext Paris and NYSE: ALU) today announced
that industry analyst firm Dell'Oro has reported Alcatel-Lucent's continued
market leadership in DSL as well as IP DSLAM shipments at the end of the
first quarter of 2007.

With a 26% cumulative market share the company leads the IP DSLAM market
for the second consecutive quarter. For general DSL shipments, Alcatel-Lucent
also confirms its leadership position with a cumulative market share of 41%,
significantly more than double that of the second ranked competitor. In the
first quarter of 2007, Alcatel-Lucent had shipped over 7.3 million DSL lines,
resulting in a total of more than 133 million DSL lines shipped.

With more than 150 customers deploying its ISAM product
portfolio, including 80% of the top 20 DSL operators in the world,
Alcatel-Lucent continues to be the undisputed leader in the DSL market.
Alcatel-Lucent brings its customers the strongest product portfolio in all
access segments, substantial and ongoing investment in innovation and
technology, business consultancy programs, and an unparalleled experience in
supporting very large, complex end-to-end deployments in all regions
worldwide.

About Alcatel-Lucent

Alcatel-Lucent (Euronext Paris and NYSE: ALU) provides
solutions that enable service providers, enterprises and governments
worldwide, to deliver voice, data and video communication services to
end-users. As a leader in fixed, mobile and converged broadband networking,
IP technologies, applications, and services, Alcatel-Lucent offers the
end-to-end solutions that enable compelling communications services for
people at home, at work and on the move. With operations in more than 130
countries, Alcatel-Lucent is a local partner with global reach. The company
has the most experienced global services team in the industry, and one of the
largest research, technology and innovation organizations in the
telecommunications industry. Alcatel-Lucent achieved adjusted proforma
revenues of Euro 18.3 billion in 2006 and is incorporated in France, with
executive offices located in Paris. [All figures exclude impact of activities
transferred to Thales]. For more information, visit Alcatel-Lucent on the
Internet: http://www.alcatel-lucent.com

Alcatel-Lucent Press Contacts

    Régine Coqueran 
    Tel :+33-(0)1-40-76-49-24 
    regine.coqueran@alcatel-lucent.com

    Stéphane Lapeyrade   
    Tel.: +33-(0)1-40-76-12-74
    stephane.lapeyrade@alcatel-lucent.com

    Alcatel-Lucent Investor Relations

    Pascal Bantegnie
    Tel: +33-(0)1-40-76-52-20
    pascal.bantegnie@alcatel-lucent.com

    Maria Alcon
    Tel: +33-(0)1-40-76-15-17
    maria.alcon@alcatel-lucent.com

    John DeBono
    Tel: +1-908-582-7793
    debono@alcatel-lucent.com