Alcatel and Start Telecom to try out the potential of WiMAX in Russia

Paris, February 7, 2006 - Alcatel (Paris: CGEP.PA and NYSE: ALA) and Start Telecom today announced the signing of an agreement to conduct a field-trial of WiMAX equipment. Start Telecom, an innovative Russian service provider, will perform testing of a fixed WiMAX network starting in February of 2006.

Under the terms of this agreement, Alcatel will provide Start Telecom with its WiMAX end-to-end solution, including base station equipment and indoor CPEs (Customer Premises Equipment) that will allow a quick and easy implementation in subscribers’ premises. Alcatel’s solution will provide broadband wireless Internet access at a burst rate of up to 12 Mbps, within a distance that can exceed 10 kilometers from the WiMAX base station for selected customers.

WiMAX is a new set of standards aimed at providing broadband connectivity through wireless networks for fixed, nomadic or mobile use in both urban and rural areas. Thus, it can offer broadband access where DSL is unavailable for technical or economical reasons or a last-mile alternative to unbundling for operators who are offering a combination of voice and broadband access offers.

Pavel Kaplunov, managing director ZAO "Start Telecom" has commented: "We see big potential for the WiMAX technology in Russia in the near future. Based on the results of this trial, we are looking forward to extending our partnership with Alcatel, as a strong and committed player in the field of WiMAX technology with a complete broadband wireless access solution. We plan not only to be the first service provider to introduce WiMAX technology in the Russian market, but to further develop our WiMAX service portfolio by introducing mobility functionalities thanks to the new WiMAX 802.16e solution later in 2006"

"We are glad to partner with Start Telecom on this project, as we believe that WiMAX is bound to be a major broadband access technology within the next years. Alcatel is committed to providing Start Telecom’s customers with a seamless broadband access experience based on fixed and ultimately mobile WiMAX technologies", said Marc Rouanne, Chief operating officer of Alcatel’s mobile communications activities.

About Start Telecom
ZAO StartTelecom is a telecommunications operator offering communications services to operators and corporate users in Moscow and several regions of Russia. The company’s strategic goal is to increase the accessibility of advanced telecommunications services such as Internet access, telephony, virtual corporate networks based on the wireless broadband access network (WiMAX technology) over the entire territory of the country.

Start Telecom Press Contacts
Alexei Lamyin Tel: +7 495 975-8556 info@starttelecom.ru

About Alcatel
Alcatel provides communications solutions to telecommunication carriers, Internet service providers and enterprises for delivery of voice, data and video applications to their customers or employees. Alcatel brings its leading position in fixed and mobile broadband networks, applications and services, to help its partners and customers build a user-centric broadband world. With sales of EURO 13.1 billion and 58,000 employees in 2005, Alcatel operates in more than 130 countries.

Contact Information

Mark Burnworth

Alcatel

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