Alcatel-Lucent Achieves Record Speeds on World Expo China 2010 TD-LTE Network

Peak Rates of More Than 80Mbps Downstream, Using a Single 20MHz Spectrum Band to Accommodate Both Upstream and Downstream Traffic

MOBILE WORLD CONGRESS, BARCELONA, February 15, 2010 - Alcatel-Lucent (Euronext Paris and NYSE: ALU) today announced
it has successfully achieved record speed rates on China Mobile's TD-LTE
(time division duplex - long term evolution) trial network - which is being
installed to support the 2010 World Expo in Shanghai. During extensive tests,
peak rates of more than 80Mbps downstream were realized by the team from
Alcatel-Lucent Shanghai Bell, Alcatel-Lucent's flagship company in China. The
World Expo 2010, which will open on May 1st with 70 million expected
visitors, will provide a unique venue for all countries to demonstrate latest
technological advances.

An industry's first, these TD-LTE peak rates were achieved by
using a single 20MHz spectrum band, carrying both the upstream and downstream
traffic. And that's an important differentiator versus previously announced
breakthroughs in the FDD-LTE (frequency division duplex) space: the tests on
China Mobile's TD-LTE network show its readiness to cope with very high
bandwidth demands as well, all while using half of the spectrum FDD-LTE
networks require to accommodate peak throughputs of 100Mbps (downstream).

"These record speed rates on China Mobile's TD-LTE trial
network highlight Alcatel-Lucent's commitment to providing our customers with
an end-to-end LTE solution matching their specific spectrum and timing
strategies," said Romano Valussi, president of Alcatel-Lucent Shanghai Bell
and head of Alcatel-Lucent's China regional business unit. "Visitors to the
event will thus be able to enjoy ultra high-speed mobile Internet access and
experience the next generation of high-definition multimedia demonstrations.
This will stimulate the worldwide adoption of TD-LTE technology, as well as
its future commercialization."

"Following the industry's first TD-LTE calls performed in
February 2009, this new milestone further reinforces Alcatel-Lucent's ability
to make TD-LTE a reality, and once again demonstrates the reliability of
Alcatel-Lucent's LTE solutions," he added.

The tests were run using Alcatel-Lucent's end-to-end LTE
solution - including eNodeBs (base stations), evolved packet core (EPC) and a
range of third-party commercial terminals. Alcatel-Lucent provided its
professional services expertise, encompassing network installation and
software integration.

This significant milestone comes at the same time as
Alcatel-Lucent announcing good progress on the TD-LTE field trial in Shunyi
(Beijing)- initiated by China's Ministry of Industry and Information
Technology (MIIT). Using third-party terminals and following a successful
completion of all mobile file systems (MFS) tests, Alcatel-Lucent thus
further proves the readiness of its end-to-end LTE solution.

LTE is the next evolution in mobile network standards defined
by 3GPP (Third Generation Partnership Project) and supports operations in
both the paired spectrum and unpaired spectrum. Alcatel-Lucent is a pioneer
in the LTE market, having a common platform for both the time-division duplex
(TD) and frequency-division duplex (FD) spectrums - that enables all
operators to take advantage of unrivalled economies of scale as they look to
provide 4G wireless services to their subscribers.

About Alcatel-Lucent and LTE

With 40 LTE customer trials secured to date, Alcatel-Lucent is
a worldwide leader in LTE. The company is actively engaged in the majority of
LTE projects being pursued by tier 1 operators around the globe. To help
operators realize their potential, Alcatel-Lucent is offering a unique,
pre-integrated, end-to-end LTE solution and a full set of associated
professional services. Alcatel-Lucent's network architecture is based on
Alcatel-Lucent unique converged radio access network
(www.alcatel-lucent.com/wps/portal/newsreleases/detail?LMSG_CABINET=Docs_and_Resource_Ctr&LMSG_CONTENT_FILE=News_Releases_2010/News_Article_001934.xml&lu_lang_code=en)
(RAN) strategy allowing scaling of W-CDMA networks and
smooth evolution to LTE. The company also founded the ng Connect Program
(www.ngconnect.org/about-us/index.htm), a global initiative to drive
the development of an open and diverse ecosystem of LTE device manufacturers,
content providers and application partners. Through the ng Connect program
and with Alcatel-Lucent's end-to-end LTE solution, wireless broadband
operators benefit from open innovation, pre-integrated solutions, reduce time
to market with LTE-enabled services, and the ability to drive new and
non-traditional business models.

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For more information about Alcatel-Lucent's end-to-end LTE solution,
please visit: www.alcatel-lucent.com/lte

About Alcatel-Lucent

Alcatel-Lucent (Euronext Paris and NYSE: ALU) is the trusted
transformation partner of service providers, enterprises, strategic
industries such as defense, energy, healthcare, transportation, and
governments worldwide, providing solutions to deliver voice, data and video
communication services to end-users. A leader in fixed, mobile and converged
broadband networking, IP technologies, applications and services,
Alcatel-Lucent leverages the unrivalled technical and scientific expertise of
Bell Labs, one of the largest innovation powerhouses in the communications
industry. With operations in more than 130 countries and the most experienced
global services organization in the industry, Alcatel-Lucent is a local
partner with a global reach. Alcatel-Lucent achieved revenues of Euro 15.2
billion in 2009 and is incorporated in France, with executive offices located
in Paris. For more information, visit Alcatel-Lucent on the Internet:
www.alcatel-lucent.com

Alcatel-Lucent Press Contacts: Peter Benedict, Tel: +33(0)1-40-76-50-84, peter.benedict at alcatel-lucent.com ; Laurent Dunoyer de Segonzac, Tel: +33(0)1-40-76-15-04, laurent.dunoyer_de_segonzac at alcatel-lucent.com . Alcatel-Lucent Investor Relations: Rémi Thomas, Tel: +33(0)1-40-76-50-61, remi.thomas at alcatel-lucent.com ; Don Sweeney, Tel: +1-908-582-6153, dsweeney at alcatel-lucent.com ; Tom Bevilacqua, Tel: +1-908-582-7998, bevilacqua at alcatel-lucent.com ; Tony Lucido, Tel: +1-908-582-5722, alucido at alcatel-lucent.com .