Denmark's TDC Selects Alcatel-Lucent to Bring Significant Increase in Broadband Speed to Danish Businesses and Households

Alcatel-Lucent's ISAM Access Node Enables Denmark to Achieve Targets of European Commission's Digital Agenda in Record Time; Years Ahead of Schedule

PARIS, October 27, 2010 - Alcatel-Lucent (Euronext Paris and NYSE:
ALU) today announced that it has been selected by TDC, the incumbent operator
in Denmark, to ready its network for the delivery of ultrafast broadband.
Building on the latest version of Alcatel-Lucent's Intelligent Services
Access Manager (ISAM) platform, Denmark is well on its way to being among the
first nations to achieve the targets of the European Commission's Digital
Agenda, which aims at providing every European citizen with 30Mbps broadband
by 2020.

TDC's rapid deployment will be facilitated
by the latest release of Alcatel-Lucent's 7302 and 7330 ISAM access nodes
(www.alcatel-lucent.com/wps/portal/!ut/p/kcxml/04_Sj9SPykssy0xPLMnMz0v
M0Y_QjzKLd4×3tXDUL8h2VAQAURh_Yw!!?LMSG_CABINET=Docs_and_Resource_Ctr&LMSG_CON
TENT_FILE=News_Releases_2010/News_Article_002238.xml), enabling operators to
support a mix of xDSL, point-to-point fiber and gigabit passive optical
network (GPON) technologies from a single platform. This approach positively
impacts several aspects of managing a complex broadband access network,
including reduced floor space requirements, training needs, software
validation cycles and energy usage. This will help TDC significantly reduce
its operating costs while still guaranteeing its customers a premium quality
of service - no matter whether they are accessing their services over copper
or fiber.

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Bringing VDSL2 access points closer to its
subscribers to support higher bandwidths over the existing copper loops, TDC
also will deploy a high volume of Alcatel-Lucent's customized street cabinets
- in addition to the selection of Alcatel-Lucent's 7302 ISAM and 7330 ISAM
FTTN platforms and the related 5520 Access Management System (AMS).

"Our broadband strategy is to provide our
residential and business customers high quality services from the best
network in Denmark. This has been - and continues to be - top of mind to us.
In addition, we want to invest in new networking technology wisely, and that
includes leveraging as much as possible our existing assets," says Jess Julin
Ibsen, CTO, TDC.

"Alcatel-Lucent's solution enables us to successfully address our
strategy. By supporting all access technologies on a single platform we can
deliver to our customers a reliable, ultra-fast service while we make good
use of our existing assets."

"TDC emphasizes providing its customers
exceptional service. Through this project, it is a key stakeholder in making
Denmark one of the world's leading broadband nations. Leveraging the newest
release of the ISAM platform, we are helping TDC to extend Alcatel-Lucent's
High Leverage Network(TM) (www2.alcatel-lucent.com/hln/) architecture
to the access portion of their network - enabling them to provide the highest
bandwidths and the latest revenue-generating services at the lowest cost per
bit," says Dave Geary, Head of Alcatel-Lucent's Wireline activities.

Alcatel-Lucent is the worldwide leader in fixed broadband
access. Actually, today, one out of three fixed broadband subscribers around
the world is served through an access network provided by Alcatel-Lucent.
Over 240 customers have already selected Alcatel-Lucent's ISAM platform.

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; Wim Van Daele, Tel: +32-3-240-46-01, wim.van_daele at alcatel-lucent.com; Alcatel-Lucent Investor Relations: Frank Maccary, Tel: +33(0)1-40-76-12-11, frank.maccary 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