Alcatel (Paris: CGEP.PA and NYSE: ALA) announced its partnership with @rteria, a subsidiary of Réseau de Transport Electricité (RTE), the French electricity transport system's administrator, to experiment with WiMAX technology, the new high-speed broadband wireless data transmission standard, in the city of Truchtersheim, in the Alsace region (Eastern France).

Alcatel supplied, installed and integrated WiMAX equipment at the bottom of high-voltage pylons owned by RTE. The data will be transported on the RTE's fiber-optic network, built by Alcatel, for the management and the safety of the electric system.

This trial will enable a representative panel of the city's activities to benefit for the first time from wireless broadband access to the Internet with symmetric data throughput of 2 Mb/s per user. Users (i.e. local households, SMEs and public services such as a school, a library and the City Hall), all located within a distance of 20 kilometers from the WiMAX transmitter, will take advantage of all broadband data and video services including IP telephony.

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

"Alcatel contributes, thanks to this innovative project which benefits from the financial backing of the regional development delegation, to the action of RTE to help local authorities enhance their service to citizens and boost their economic development by providing solutions that bridge the digital divide", stated Michel Vaquin, Senior Vice President of Alcatel's integration and services activities.

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 12.3 billion and 56,000 employees in 2004, Alcatel operates in more than 130 countries.

About Alcatel's Integration and Services activities
Alcatel offers a comprehensive portfolio of services to industries and public sectors (energy, transport, public sectors, defense and security) as well as to all telecom carriers (fixed and mobile). For industries and public sectors, Alcatel offers integrated and reliable communications solutions through a range of services, including network design, procurement, integration, deployment, security and maintenance. Alcatel's integrated solutions cover both multi-vendor and multi-technology communication networks and are customized to the specific needs of the customer. Alcatel brings to industry and public sectors global reach, telecom expertise and significant experience in integrating and deploying large-scale projects throughout the world.

About RTE
Created on July 1st, 2000, RTE is the administrator of the French network of transport of electricity, which RTE operates, maintains and develops. Leaning on the most important network of Europe with 100 000 km of circuits in high and very high tension and 44 cross-border lines as well as on its central geographic situation, RTE contributes in a determining way to the development of the electricity European market. Public service corporation, RTE guarantees the good functioning and the security of the French electric system. It assures a free and fair access for all users of the network and constitutes, within the Group EDF, an independent company with a separate accounting and financial management. RTE employs 8,300 employees, and realized one 4 029 million euro turnover in 2004. For more information: www.rte-france.com