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Nortel Networks

Nortel Delivers Converged Office Solution to Simplify Communications

Santa Clara, California (ots/PRNewswire)

- Solution Integrates with Microsoft Office Live Communications
Server  2005 to Streamline Workflow, Improve Productivity
SANTA CLARA, California, February 13 /PRNewswire/ --
www.nortel.com
SANTA CLARA, California, February 13 /PRNewswire/ --
Nortel(x) (NYSE/TSX: NT) announced the general availability and
customer deployments of the Converged Office solution to enhance
business  communications by providing customers with the option to
integrate Nortel's  voice communications with Microsoft Office System
business applications.  Applications such as Outlook, Word and
PowerPoint are  integrated through Microsoft Office Live
Communication Server. The Nortel  Converged Office is intended to
streamline workflow, simplify  communications, improve productivity
and drive efficiency. It builds on the  Microsoft-Nortel relationship
to deliver real-time business communications  previously announced in
August, 2005.
"Integrating telephony, email and faxes into the desktop with
instant messaging, and application sharing is critical to successful
collaboration for improved productivity," said Ettienne Reinecke,
group CTO, Dimension Data. Dimension Data is a US$2.7 billion global
IT solutions and services provider and Nortel channel partner. "The
Converged Office solution makes it possible for employees to
collaborate instantly, in real-time by choosing the most efficient
application with one simple click of the mouse."
Baker Communications is benefiting from the Converged Office
Solution with enhanced productivity from their workforce with
features such as click to call, instant messaging and telephony
presence.
The Converged Office solution integrates Nortel IP telephony
systems with Microsoft Live Communication Server (LCS) 2005 to
provide SIP-based, business- grade desktop call control. The
integration of Microsoft's Office Communicator and Nortel's
Communication Server (CS) 1000 provides business-grade telephony with
click-to-call convenience, telephony presence and content sharing
allowing employees literally to work from the same page, as if they
were in the same office.
"Nortel's goal in developing the Converged Office solution was to
open up a world of new opportunities for businesses to communicate
through the most effective means possible and we've been able to
achieve that by collaborating with Microsoft," said Alex Pierson,
vice president and general manager, Enterprise Multimedia Solutions,
Nortel.
"Bringing voice functionality to the desktop environment allows
communications on par with office-based capabilities, regardless of
where users are located, such as when they are working from home or
from a hotel room while traveling. Nortel brought a very clean,
well-running solution that is fully redundant and integrated with the
Microsoft desktop environment. This joint solution takes business
communications to the next level," said Microsoft.
Nortel's open SIP application interface allows customers choice as
they build solution sets that meet their business needs. Customers
driving converged communications from their desktop can take
advantage of superior voice quality and service from the Nortel CS
1000 and Converged Office Solution, while those who are expanding by
way of their telecommunications infrastructure may choose to do so
through Nortel's Multimedia Communications Server (MCS) 5100/5200. In
addition, the Nortel Application Switch provides application load
balancing, security and enforcement of communications policies to
ensure the solution remains available to users.
This builds on the Microsoft-Nortel relationship to deliver
real-time business communications announced in August.
About Nortel
Nortel is a recognized leader in delivering communications
capabilities that enhance the human experience, ignite and power
global commerce, and secure and protect the world's most critical
information. Our next-generation technologies, for both service
providers and enterprises, span access and core networks, support
multimedia and business-critical applications, and help eliminate
today's barriers to efficiency, speed and performance by simplifying
networks and connecting people with information. Nortel does business
in more than 150 countries. For more information, visit Nortel on the
Web at www.nortel.com. For the latest Nortel news, visit
www.nortel.com/news.
Certain information included in this press release is
forward-looking and is subject to important risks and uncertainties.
The results or events predicted in these statements may differ
materially from actual results or events. Factors which could cause
results or events to differ from current expectations include, among
other things: the outcome of regulatory and criminal investigations
and civil litigation actions related to Nortel's restatements and the
impact any resulting legal judgments, settlements, penalties and
expenses could have on Nortel's results of operations, financial
condition and liquidity, and any related potential dilution of
Nortel's common shares; the findings of Nortel's independent review
and implementation of recommended remedial measures; the outcome of
the ongoing independent review with respect to revenues for specific
identified transactions, which review will have a particular emphasis
on the underlying conduct that led to the initial recognition of
these revenues; the restatement or revisions of Nortel's previously
announced or filed financial results and resulting negative
publicity; the existence of material weaknesses in Nortel's internal
control over financial reporting and the conclusion of Nortel's
management and independent auditor that Nortel's internal control
over financial reporting is ineffective, which could continue to
impact Nortel's ability to report its results of operations and
financial condition accurately and in a timely manner; the impact of
Nortel's and NNL's failure to timely file their financial statements
and related periodic reports, including Nortel's inability to access
its shelf registration statement filed with the United States
Securities and Exchange Commission (SEC); the impact of management
changes, including the termination for cause of Nortel's former CEO,
CFO and Controller in April 2004; the sufficiency of Nortel's
restructuring activities, including the work plan announced on August
19, 2004 as updated on September 30, 2004 and December 14, 2004,
including the potential for higher actual costs to be incurred in
connection with restructuring actions compared to the estimated costs
of such actions; cautious or reduced spending by Nortel's customers;
increased consolidation among Nortel's customers and the loss of
customers in certain markets; fluctuations in Nortel's operating
results and general industry, economic and market conditions and
growth rates; fluctuations in Nortel's cash flow, level of
outstanding debt and current debt ratings; Nortel's monitoring of the
capital markets for opportunities to improve its capital structure
and financial flexibility; Nortel's ability to recruit and retain
qualified employees; the use of cash collateral to support Nortel's
normal course business activities; the dependence on Nortel's
subsidiaries for funding; the impact of Nortel's defined benefit
plans and deferred tax assets on results of operations and Nortel's
cash flow; the adverse resolution of class actions, litigation in the
ordinary course of business, intellectual property disputes and
similar matters; Nortel's dependence on new product development and
its ability to predict market demand for particular products;
Nortel's ability to integrate the operations and technologies of
acquired businesses in an effective manner; the impact of rapid
technological and market change; the impact of price and product
competition; barriers to international growth and global economic
conditions, particularly in emerging markets and including interest
rate and currency exchange rate fluctuations; the impact of
rationalization and consolidation in the telecommunications industry;
changes in regulation of the Internet; the impact of the credit risks
of Nortel's customers and the impact of customer financing and
commitments; general stock market volatility; negative developments
associated with Nortel's supply contracts and contract manufacturing
agreements, including as a result of using a sole supplier for a key
component of certain optical networks solutions; the impact of
Nortel's supply and outsourcing contracts that contain delivery and
installation provisions, which, if not met, could result in the
payment of substantial penalties or liquidated damages; any
undetected product defects, errors or failures; the future success of
Nortel's strategic alliances; and certain restrictions on how Nortel
and its president and chief executive officer conduct business. For
additional information with respect to certain of these and other
factors, see the most recent Annual Report on Form 10-K and Quarterly
Report on Form 10-Q filed by Nortel with the SEC. Unless otherwise
required by applicable securities laws, Nortel disclaims any
intention or obligation to update or revise any forward-looking
statements, whether as a result of new information, future events or
otherwise.
(1)Nortel, the Nortel logo and the Globemark are trademarks of
Nortel Networks.
www.nortel.com

Contact:

Pat Cooper, Tel: +1-425-450-7523, pat.cooper@nortel.com, Angelika
Kempf, Tel: +44-1628-43-7340, angelika.kempf@nortel.com

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