Enterprise Overview February 2009. All Rights Reserved © Alcatel-Lucent 2009 2 | Enerprise Overview...

Enterprise Overview

February 2009

2 | Enerprise Overview | February 2009 All Rights Reserved © Alcatel-Lucent 2009

Agenda

Alcatel-Lucent Enterprise Organization

Overview

The Dynamic Enterprise

Partners and customers


Alcatel-Lucent


Alcatel-Lucent at a Glance

R&D PROFILE

Budget: €2.4 billion Active Patents Held: More than 25,000 Patents Awarded in 2007: 3,000 Nobel Prizes Won: 6 600 experts in more than 100 worldwide

standards organizations.

ParisGlobal Headquarters

Ben VerwaayenChief Executive Officer

Worldwide Presence: More than 130 countries

Annual Revenues: €16.98 billion (2008) Employees: ~76,000 Employee Nationalities: More than 100


2007 Market Share Highlights

Broadband Access with 44% of DSL market share (1)

Optics (Terrestrial and Submarine) with 23.5% of market share (2)

CDMA with 47.4% of market share (6) Included in 1st tier WiMAX vendors (7)

Western Europe Enterprise Telephony with 21.2% of market share

(8)

#1

#2IP/MPLS Service Edge Routers with 18% of market share (3)

Global Telecom Infrastructure Services with 9% of market share (9)

Network Consulting and Integration Serviceswith 14% of market share (10)

#3GSM/GPRS/EDGE Radio Access Networks with 10.1% of

market share (4)

W-CDMA with 10.5% of market share (5)

* In revenues(1) Dell’Oro Group(2) Ovum à présent

(9) Technology Business Research(10) IDC

(3) Ovum à présent(4) Dell’Oro

(5) Dell’Oro Group(6) Dell’Oro Group

(7) Current Analysis(8) Synergy Research Group


Innovation Leadership

A Spirit of Open Innovation that Leads the Industry

Alcatel-Lucent Bell Labs has unrivaled technical depth and breadth.

At the heart of our solutions are disruptive Bell Labs technologiesand compelling new products that our customers value.

A heritage of creating life-changing innovations: DSL, PON, WiMAX, WDM, computer networking, the transistor, digital signal processing,the charge-coupled device (CCD), the communications satellite,the laser and cellular telephony.

Alcatel-Lucent Ventures incubates and commercializes innovationfor key customers.


Alcatel-Lucent offers unparalleled portfolio, expertise

“Carrier”Products

Mobility, optical,IP, access

“Carrier”Products

Mobility, optical,IP, access

“Enterprise” Products

Converged IP, UC, Security,

Management

“Enterprise” Products

Converged IP, UC, Security,

Management

Services

Worldwide

Services

Worldwide

Bell Labs Research and Innovation

Technologies,product/solutionenhancements

Global Reach


Alcatel-Lucent results at a glance

€18.3 billion

Year 2006

Revenues

Alcatel-Lucent Enterprise

€1.5 billion

Year 2008 €16.98 billion €1.59 billion

Year 2007 €17.79 billion

€1.56 billion


A Closer Look at Our Financials (2008)

Asia Pacific

Rest of the World

Europe

NorthAmeric

a

Carriers

Services

Enterprise

*Reflects prior organizational structure.

~30%

~16%

~19% ~35% ~10%

~20%

~70%

Revenue by Business Group*

Revenue by Region


Enterprise organization


Enterprise organization

Led by Tom Burns, President Enterprise and Vertical Markets and Enterprise Products Group

Enterprise Products Group

Mid and Large Enterprise

Office Solutions Group

Security Solutions

Operations and Supplier Quality Management

Industrial Components


Benefits We Bring to Enterprises and Vertical Customers

Interconnecting enterprise networks, people, processes and knowledge for competitive advantage through strengthened relationships, simplified communicationsand improved performance.

Work with customers to deploy dynamic communication solutions that are user-centric, process-enabled and driven by content and context—making every interaction between employees, customers, partners and suppliers a business opportunity.

Solutions and services designed to make it easier for enterprises to share business-critical multimedia information in real time.

Solutions backed by a comprehensive portfolioof professional services.

More than 2,100 partners—including service providers—around the globe.


Enterprise Products

We are helping dynamic enterprise and government customers worldwide interconnect their networks, people, processes and knowledge to make money and save money.

Unified communications and contact centers, IP telephony, IP address and performance management software, data networking and security solutions.

Offer

#1 in contact center software

Market Leadership

#2 in contact center agent positions

#1 in Western Europe enterprise telephony

#1 in IP address management softwareGartner’s

leadership quadrant for telephony, contact center and unified communications

100 million customer interactions managed every day by more than 3,300 enterprises through contact centers operated by our customers


Worldwide leadership

Completeness of Vision

Ab

ilit

y t

o E

xecu

te

Challenger

Niche Player

Leader

Visionary

Gartner’s Magic QuadrantsTM places Alcatel-Lucent as a leader

Source: Gartner (www.gartner.com)

Leader

Internet Voice Routing/Enterprise Voice Portals EMEA/APAC/NA (February 2008)

Contact Center Infrastructure Alcatel-Lucent and GenesysWorldwide (November 2008)

Unified CommunicationsWorldwide (September 2008)

Corporate TelephonyWorldwide (August 2008)


Recent awards

Security -- OmniAccess 3500 Nonstop Laptop Guardian Bronze medal winner “2008 Editor’s Best Awards” Security category by

Penton Media’s Windows IT Pro magazine. (July 2008)

Bronze ranking, 2007 “Readers’ Choice Awards” in the emerging technology category. Editors of TechTarget's® Information Security™ magazine and SearchSecurity.com™ (April 2008)

Best Wireless/Mobile Product award for 2008, Info Security

2007 Product of the Year award, INTERNET TELEPHONY magazine (March 2008)

2007 3G CDMA Industry Achievement Award for Innovation in Wireless Enterprise Solutions Development for SprintSecure Laptop Guardian (with the OmniAccess 3500 NLG), CDMA Development Group

A winner of the 2007 Tomorrow’s Technology Today Award, Info Security Products Guide (August 2007)


Recent awards, continued

Data networking Alcatel-Lucent OmniSwitch 6855 awarded first prize, networking

category ComunicacionesHoy magazine best IT products and solutions (Spain, October 2008)

Alcatel-Lucent awarded Best Fixed Networking Product Range in the fourth annual NME Innovation Awards 2008, which recognized the best networking projects, products and individuals across the Middle East. (Dubai, May 2008)

Alcatel-Lucent VPN Firewall Brick® 1200 -- overall winner of Network Computing’s benchmark test of security appliances, taking first place in both the VPN test and the firewall and quality-of-service test (August 2007)

Alcatel-Lucent OmniSwitch 6850 and OmniSwitch 9800 – Tolly Tested - Functionality Certification and Cooperative Interoperability Evaluation. (July 2007)


Recent awards, continued

Applications

OmniTouch 8610 My Instant Communicator

A recipient of the 2007 Product of the Year Award for its ground-breaking advancements to UC technologies, Unified Communications Magazine (March 2008)

Named a top performer by Miercom (February 2008)

Contact Centers

Genesys named “strong performer” in interaction-centric customer service software, “The Forrester Wave: Customer Service Software Solutions, Q4 2008.” (October 22, 2008)

Genesys named Company of the Year in Customer Service for North America and Contact Center Applications Vendor of the Year in Asia Pacific, Frost & Sullivan (February 2008)


Mission and vision

Our vision for the dynamic enterprise The performance of a company will be linked to its ability to integrate its core assets — network, people, processes and knowledge — with secure always-on communications.

Alcatel-Lucent EPG mission Leading the competitive transformation of our enterprise and government customers by delivering secure, end-to-end business critical communications solutions that enable new business generation.


Analysts on the Dynamic Enterprise

In order to make the Dynamic Enterprise happen, companies should take infrastructure and architecture decisions from a Web 2.0 standpoint...

The vision of Alcatel-Lucent, reflected in its roadmap, is good because it enables companies to deploy new solutions in a financially conscious way, evolutionary and not revolutionary.

Sheila McGee-Smith, President of McGee-Smith Analytics


The Dynamic Enterprise vision

21 | Enerprise Overview | February 2009 All Rights Reserved © Alcatel-Lucent 200921 | The Dynamic Enterprise: A Business Update | Sept. 2008

Connecting Knowledge

Dynamic Communications Framework

•Real-time communications in enterprise 2.0 services•Extended presence information•Context & content driven communications

•Business process routing•Services oriented architecture•Industry-specific solutions

•Advanced mobility •Unified Communications •User profiling

•IP LAN, WAN and voice infrastructure •Network and applications management•User-centric security


Expanding our portfolio

In-house development

Targeted acquisition

PartnershipsInvesting in voice and data infrastructure

Rounding-out portfolio

Expanding & innovating security & mobility

Supporting open framework to increase choice

Driving customer service transformation


Investing in our go-to-market

Customer intimacy

Partner acceleration

Solution development

Targeting specific industries

Concentrating on key global accounts

Capitalizing on relationships with service providers

Improving channel management

Creating value through end-to-end solutions that leverage our complete product portfolio


Applications PartnersBusiness Partners (1600)

Terminals … Communications … Mobility … Management … Security … Contact Centers … Hospitality … Healthcare … Finance …

Complementing our apps. portfolio with an extended

offering

Worldwide Partners

Leveraging the customer direct touch approach and relationship


Global experience in delivering business critical solutions

Education Energy and Utilities Healthcare

Government

Transportation

Finance

Healthcare

Hospitality


Customers value Alcatel-Lucent solutions

Dan Drawbaugh, Chief Information Office, UPMC“Alcatel-Lucent’s innovative products will allow for seamless communication by integrating voice and data networks. This initiative will expand to meet UPMC's needs regionally, nationally and internationally.”

Jim Fraley, Director of Information Technologies for GRDA“The greatest challenge we faced was how to bring multiple legacy and future technologies onto a single platform and being able to manage it. Alcatel-Lucent presented a complete, end-to-end solution that is highly reliable, highly scaleable, easy to manage, and is built on an open architecture.”

Dan Hollins, Assistant Vice President/Business Analyst Global Equities Division, Citigroup“Our sales force and research teams are now able to get messages to market in a timelier manner, whether from the office, home or the road. The business benefit for Citigroup is being able to reach more clients faster.”


www.alcatel-lucent.com

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