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Alcatel-Lucent Technologies, Global

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Alcatel-Lucent provides applications software and solutions to service providers, enterprises and governments worldwide for delivering voice, data and video communication services to end users based in Paris, France. It provides end-to-end solutions enabling communications services for enterprises, governments and strategic industries including defence, energy, health care, and transportation.

Alcatel-Lucent has four business segments namely Carrier, Applications Software, Enterprise, and Services. The Applications Software segment designs and develops software-based applications to over 300 service providers, which include over 40% fortune 500 companies.

The company reported revenues of €15.9 Billion during the fiscal year ended December 2010, an increase of 5.54% over 2009. The company employs 79796 employees at locations in Australia, Canada, China, France, India, Ireland, Japan, Singapore, Turkey, and United States; and is headed by Ben Verwaayen.

The operating loss of the company was €309 Million during the fiscal year 2010, as compared to an operating loss of €692 Million during 2009. The net loss of the company was €334 Million during the fiscal year 2010, as compared to a net loss of €524 Million during 2009. It helps out more than 100 million customers in daily interactions of 4,000 companies and government agencies in 80 countries. The Applications segment reported revenues of €1.9 Billion, representing 12.8% of the company's total revenue. In 2010, Network segment of the company generated €9.6 Billion representing 62.76% of the company's total revenue.

In 2010, the US generated €5.2 Billion, which was 33.08% of the total revenue followed by Other Western Europe 18.95% (€3.03 Billion); Asia Pacific, 18.30% (€2.9 Billion); Other Americas, 8.78% (€1.4 Billion); France, 8.60% (€1.4 Billion); Rest of world, 8.08% (€1.3 Billion); and Rest of Europe, 4.21% (€673 Million).

In December 2010, Alcatel signed an agreement to integrate CASSIS International's Trusted Service Manager (TSM) with Alcatel-Lucent's comprehensive mobile payment and marketing offering. Recently, Alcatel-Lucent and Sequans Communications tied-up to prepare development of global LTE ecosystem in all frequency bands, to facilitate large-scale trials and commercial deployments worldwide including China and India.

The new products offered are indoor and outdoor CPE, portable Wi-Fi routers, USB dongles, and connected tablet and notebook computers. In December 2010, the company has been chosen by Vodafone Qatar Q.S.C. as a supplier to deploy an entirely new fibre-to-the-home, or FTTH network into the fixed broadband market. In early 2011, the company entered into an agreement with industrial partners to develop light Radio system.

The company faces rapidly changing technology and intense competition challenges. The introduction of products using new technologies or the adoption of new industry standards could make existing products, or products under development, obsolete or unmarketable.

The competition in the global telecommunications networking industry is very high. Alcatel-Lucent faces competitions from large companies such as Avaya, Cisco Systems, Ericsson, Fujitsu, Huawei, ZTE, Motorola, Nokia Siemens Networks (NSN) and Nortel Networks Corporation. One of the reasons for such fierce competition is the consolidation among vendors.

Moreover, competition is accelerating around IP network technologies as carriers are shifting capital to areas that support migration to next-generation networks.

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