Boca Raton, USA, October 26, 2010 – Alcatel-Lucent (Euronext Paris and NYSE: ALU) and GlobeNet, a wholly owned subsidiary of Oi (Bovespa: TNLP3, TNLP4, TMAR3, TMAR5, TMAR6 and NYSE: TNE), have signed a new agreement to increase the capacity of GlobeNet’s 22,000 km lowest latency submarine network linking the United States to Latin America. This large-scale upgrade, the second one in less than two years, prompts GlobeNet to meet its customers’ demand for capacity to offer increasingly reliable and more affordable high-speed broadband. GlobeNet’s upgrade will further support the explosion in multimedia services to end-users.



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The project is expected to be completed by the end of the first quarter 2011, delivering an incremental capacity of 460Gbps, compared to the current 360 Gbps capacity per segment currently delivered by the system.

The main driver for capacity growth is the continued penetration of broadband subscribers who are expected, according to Ovum, to reach over 78 million in the Central and Latin America region at the end of this year and over 196 million by 2015.Currently Brazil accounts for approximately 26 million of those subscribers by the end of 2010 and over 65 million by 2015 as a result of a national broadband plan recently announced by the Brazilian government.

Alcatel-Lucent will upgrade six segments of the network for a total of 21,345 km spanning from the United States to Brazil via Venezuela, and Bermuda to Brazil, which are based on the Alcatel-Lucent 1620 Light Manager submarine line terminal. With landing points in Rio de Janeiro and Fortaleza (Brazil), Maiquetía (Venezuela), St.David’s (Bermuda), Boca Raton and Tuckerton, N.J. (United States), the submarine network integrates with the terrestrial optical infrastructure of GlobeNet’s parent company, Oi in Brazil. Alcatel-Lucent also managed the installation, deployment and commissioning of the GlobeNet system since its first implementation.

“The GlobeNet system was designed to offer the lowest latency on all network segments with advanced traffic protection to ensure maximum network availability and reliability,” said Erick W. Contag, chief operating officer, GlobeNet. “Alcatel-Lucent’s submarine technology enables us to seamlessly enhance connectivity and to be even more competitive in the wholesale market. Additionally, we can offer a scalable path to 40 Gbps technology as our clients’ bandwidth requirements evolve.”

“As video and mobile data traffic continue to be primary drivers for growth, leading service providers such as GlobeNet are investing in upgrades that involve increases in lit capacity and improvements to resilience,” states Philippe Dumont, president of Alcatel-Lucent Submarine Networks SAS. “GlobeNet’s additional new capacity and bandwidth flexibility will contribute to larger affordability of high-speed Internet access as regional broadband penetration continues to expand.”

About GlobeNet

GlobeNet provides network transport services for carriers and service providers via the most advanced fiber-optic cable system connecting North and South America. The network spans more than 22,000 kilometers and offers a network availability of 99.99%. GlobeNet is a wholly-owned subsidiary of Oi (formerly Brasil Telecom) with its headquarters in Boca Raton, Florida, USA. For more information on GlobeNet please visit us on the Internet at www.globenet.net

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



Contact the Alcatel-Lucent Press Office:    press@alcatel-lucent.com

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