PARIS, June 2 /PRNewswire/ --     Alcatel-Lucent (Euronext Paris and NYSE: ALU) today announced that Tatung
InfoComm, a wholly owned subsidiary of a Taiwanese conglomerate, Tatung Co.,
has selected Alcatel-Lucent to deploy a commercial WiMAX 802.16e-2005 (Rev-e)
network in Penghu County, Taiwan. This advanced, flexible new WiMAX network
will serve Penghu County, enabling its people and businesses to access a
range of high-speed, high-quality wireless mobile broadband services, as part
of the commercial launch for its WiMAX services.

For Tatung, which holds one of the commercial WiMAX licenses for Taiwan's
southern regions, the initial deployment focuses on reducing the digital
divide, with WiMAX providing most of the wireless broadband data and voice
services across 70% of the county's territory. The availability of broadband
services is also expected to help boost the local tourist trade in the
county, known for its natural scenery and rich cultural background.

"Penghu County is one of the initial locations to benefit from our
massive WiMAX deployment plan for Taiwan as we move to offer this advanced
mobile service to people and businesses throughout the country," said Peter
Yen, President of Tatung InfoComm, a subsidiary of Tatung Co. for WiMAX
business. "Alcatel-Lucent has extensive, field-proven experience in WiMAX
network deployment globally, and its high-performance and flexible WiMAX
solution will equip us with a reliable network to provide a wide range of
innovative services to our customers."

Under the terms of the contract, Alcatel-Lucent will supply
Tatung InfoComm with a comprehensive WiMAX infrastructure solution,
encompassing a full range of WiMAX 802.16e-2005 radio access network
equipment and core network elements such as connectivity service network
solutions as well as an operation administration management system. It also
will provide deployment and project management expertise.

"This contract win, which follows the recent opening of Alcatel-Lucent's
government-endorsed WiMAX Application and IOT Centre for local CPE
manufacturers, is yet another confirmation of Alcatel-Lucent's leading
position, both globally and in the Taiwanese WiMAX market, and underscores
our key role in the mass market deployments of WiMAX," says Frederic Rose,
President of Alcatel-Lucent's activities for Europe, Asia and Africa. "Tatung
is rolling out deployment and services programs in line with its launch
timeline to coincide with the company's anniversary celebration later this
year. We are committed to partner with this team to build a best-in-class
WiMAX network catering to the growing broadband needs of the people of
Taiwan."

With more than 70 pilots and deployments across the world and
25 commercial contracts signed since the beginning of 2007, Alcatel-Lucent is
the undisputed leader in the worldwide WiMAX Rev-e market.

Alcatel-Lucent's Universal WiMAX solution integrates the latest
technological innovations, such as "beam forming"* and MIMO**. Beam forming
enables a service provider to dramatically reduce the number of radio sites
needed to provide coverage - in some instances by as much as 40 percent -
while reducing interference and ensuring better indoor penetration of the
radio signal. MIMO helps make radio links more robust, nearly doubling the
capacity delivered in dense urban environments.

About WiMAX

WiMAX (802.16e-2005) stands for Worldwide Interoperability for
Microwave Access. It enables Voice and Broadband connectivity for fixed,
nomadic or mobile use in urban, suburban and rural areas. For more
information about Alcatel-Lucent WiMAX solutions, please visit
http://www.alcatel-lucent.com/wimax

* "Beam forming" is an Advanced Antenna Technology (AAT) that
ensures that radio power is concentrated where the WiMAX terminals are,
adjusting the beam automatically as the terminals move around the coverage
area.

** "MIMO" (Multiple Input - Multiple Output) is an Advanced
Antenna Technology (AAT) that combines the radio signals transmitted and
received on separate antennas. The technique takes advantage of the multiple
paths and reflections of a radio signal to strengthen radio communications,
particularly in densely populated areas where signals can be degraded by
buildings and other physical obstacles.

About Tatung

Founded in 1918, Tatung Company (http://www.tatung.com) is a worldwide
leader in the design and manufacturing of a vast array of digital consumer
products, including LCD TVs, network-connected devices, and home appliances.
Tatung also provides system integration services. As a diversified company,
Tatung has well engaged in the heavy industrial businesses such as wires &
cable and industrial products like optical fiber cables, gas insulated
switchgears, motors, generators, and transformers.

By capitalizing on the advantages of vertical integration, Tatung makes
full use of the supply of key components such as flat-panel displays and
digital tuners from its many subsidiaries located across the globe. In order
to sustain strong, long-term growth, Tatung focuses particularly on the
development of advanced technologies and global network of operations. With
its overseas branches spreading across 12 countries, Tatung is in a solid
position to deliver products more efficiently and fulfill customer services
more effectively. Overseeing its global operations from its Taipei
headquarters, Tatung offers customers tremendous advantages of cost, speed,
and seamless backend operation in order to stay ahead in today's dynamic
business world. Tatung specializes in the ODM/OEM business and serves branded
customers on global basis.

About Tatung InfoComm

Funded in 2007, Tatung InfoComm is a subsidiary of Tatung Co. for WiMAX
business. The company involves in M-Tawain * Projects, and acquired a
commercial WiMAX operating license for the southern region of Taiwan in July
2007. The company has started WiMAX network deployment. Commercial operation
is scheduled to begin by end of 2008 to offer advanced mobile broadband
service to people and business. In addition, the company set up a WiMAX R&D
and application exhibition center at the Southern Kaohsiung Science Part to
further develop state-of-art applications, setting the company apart from
competitors. Through its high-quality communication networks and strong
application R&D capability, the company aims to enrich people's life by
offering easy-to-access and creative communication services anywhere and
anytime.

* M-Taiwan is a national project of Taiwan to establish a networked
information society across the island.

About Alcatel-Lucent

Alcatel-Lucent (Euronext Paris and NYSE: ALU) provides
solutions that enable service providers, enterprise 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 revenues of Euro 17.8
billion in 2007 and is incorporated in France, with executive offices located
in Paris. For more information, visit Alcatel-Lucent on the Internet:
http://www.alcatel-lucent.com