Alcatel-Lucent Selected by National Broadband Network Company for Australia's Nationwide Superfast Broadband Network Rollout

PARIS, June 24, 2010 - Alcatel-Lucent (Euronext Paris and NYSE: ALU) today announced
it has been selected as a strategic supplier for the rollout of Australia's
National Broadband Network (NBN) - the largest single infrastructure
investment in Australian history and a platform to drive and enable
Australia's digital economy.

The NBN Co has committed an initial Aus$70M fixed price
purchase and has also committed to spend up to $1.5bn on this highly
specialised network equipment during the lifetime of this project.

Alcatel-Lucent will provide state-of-the-art GPON (Gigabit
Passive Optical Network) equipment, aggregation and engineering assistance to
the National Broadband Network Company (NBNCo). The organisation will roll
out a 100 Mbit/s Fibre to The Premise (FTTP) broadband network to 90 percent
of Australian premises over an eight year period. The NBN will support a
vibrant and innovative Retail Service Provider eco-system, delivering life
changing new services to Australian homes, businesses and communities.

Alcatel-Lucent's CEO, Ben Verwaayen said, "The Australian NBN
is one of the most important initiatives in our industry. The world is
watching." He added, "Infrastructure projects of this scale demand and
command leading edge technology and smart solutions. We are committed to
delivering both."

"Today's announcement is an important milestone in the
deployment of the National Broadband Network," Alcatel-Lucent Australia's
Managing Director Andrew Butterworth says. "The NBN offers innovation
opportunities for all industries in Australia. Now we need to take advantage
of it and explore how broadband networks can deliver life-changing services."

Alcatel-Lucent has deployed 100 fibre to the home networks
globally, of which more than 85 of these have used GPON technology, including
Verizon in the United States, France Telecom and Hong Kong Broadband. The
company has a proud history in Australia, with more than 100 years of local
experience, including deploying the first Sydney-Melbourne Trunk line in
1907, connecting Australia to the world with many submarine projects and
voice infrastructure, and the leading supplier of fixed broadband technology
in Australia.

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 and optics 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, read the latest posts on the Alcatel-Lucent
blog www.alcatel-lucent.com/blog and follow us on Twitter:
twitter.com/Alcatel_Lucent.

Alcatel-Lucent Press Contacts: Peter Benedict, Tel: +33(0)1-40-76-50-84, peter.benedict at alcatel-lucent.com; Lisa Poninghaus, Tel: +61(0)423-841-778, lisa.poninghaus at alcatel-lucent.com; Alcatel-Lucent Investor Relations: Frank Maccary, Tel: +33(0)1-40-76-12-11, frank.maccary 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; Don Sweeney, Tel: +1-908-582-6153, dsweeney at alcatel-lucent.com