Alcatel-Lucent's (NYSE: ALU) standings in China's wireline broadband market got a lift this week by winning Fiber to the Home (FTTH) contracts with both China Telecom and China Mobile.
Although neither service provider would reveal financial terms of the deal, China Mobile will deploy Alcatel-Lucent's PON gear in 14 provinces, while China Telecom will deploy it in 18 provinces. Both contracts were brokered through Alcatel-Lucent Shanghai Bell, Alcatel-Lucent's China subsidiary.
The two service providers will deploy Alcatel-Lucent's 7342 Intelligent Services Access Manager Fiber-to-the-User (ISAM FTTU) platform in addition to its optical network units (ONU) in addition to professional service capabilities such as deployment, integration and maintenance.
Despite seeing slowdowns in Europe and the U.S., China has been a major growth market for Alcatel-Lucent. Last July, Alcatel-Lucent secured contracts with China Mobile to provide its PON-based FTTH gear for a 10 city deployment across the provinces of Guangdong and Anhu in addition to trials with China Telecom.
Growth in China's wireline broadband market will likely continue as China Telecom, for one, previously announced that it would deploy an 18 million line FTTH network with 100 Mbps in major cities and 12 Mbps minimum to 70 percent of users in towns and cities it currently serves.
- see the release here
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