Nortel Networks

Nortel Helps Neuf Deliver TWIN(TM) Fixed/Mobile Convergence to French Market

    Paris (ots/PRNewswire) -

    - IMS-Ready Technology Enables France's First GSM/WiFi Consumer Service

    Neuf Cegetel, the leading alternative operator in France, is using an  IMS-ready solution from Nortel(x) (NYSE: NT , TSX: NT) to deliver TWIN(xx),  the country's first affordable fixed/mobile convergence service. The GSM/WiFi  TWIN service will enable subscribers to save between 10% and 30% on their  mobile phone expenditure and also to benefit from a broadband Internet  connection at up to 11 Mbit/s.

    The Neuf Cegetel TWIN service uses Nortel's industry-leading carrier  VoIP and IMS-ready technology. This provides unified voice, messaging and  multimedia communications services for use at home or for working remotely  with high-speed broadband Internet connections.

    Neuf Cegetel estimates users of TWIN are achieving savings of up to  30%(xxx) on their mobile phone fees. Under WiFi coverage the TWIN phone  automatically connects to the Neuf box or WiFi community access point and  calls are made at the same price as calls from a landline phone. Users will  also benefit from receiving one, convenient consolidated phone bill.

    "The future of communications will depend on multiple network types -  both wireless and wireline - working together on a converged/unified  network to provide anywhere, anytime access a communication experience,"  said Lee Doyle, group vice president, Network Infrastructure, IDC. "Service  providers that deliver fixed/mobile convergence services are better able to  retain customers and reduce customer churn by allowing users to stay connected, regardless of device or location. It will also help increase  enterprises productivity and customer service."

    "TWIN is the first true converged fixed-mobile telephony service in  France and demonstrates Neuf Cegetel leadership in delivering innovative  services to the marketplace," said François Paulus, general manager,  Network and Marketing division, Neuf Cegetel. "Nortel has delivered a  cutting-edge technology to allow us to lead in the converged  telecommunication market. People today want to be able to communicate  effectively whether they are at home, at work, or traveling. Nortel  technology is enabling Neuf Cegetel to harness the power of converging all  networks over IP providing users with feature-rich communications from any  broadband connection worldwide."

    "Users want their communications experience to fit their lifestyle and  follow them regardless of their network connection or location," said  Michel Clement, president, Southern Europe, Nortel. "Our solution for Neuf  Cegetel is IMS-ready, which means that they can easily and cost-effectively  add advanced multimedia services according to their business objectives.  Nortel's IMS solution liberates communications from physical boundaries,  delivering a consistent communications experience across cellular and WiFi networks."

    The TWIN mobile terminal benefits from innovations developed by Neuf  Cegetel working with Nortel since 2005 as part of the Neuf BeautifulPhone  project. The trial tests convergence technologies under live conditions  some of which will, over time, be used to enhance the TWIN service.

    Neuf Cegetel has more than 1.4 million residential broadband customers  in France. Since June 2004, Neuf Cegetel has been using a Nortel solution  to provide VoIP services to more than 500,000 of those customers.

    The solution for Neuf Cegetel includes Nortel's IMS-ready Multimedia  Communication Server 5200 (MCS 5200) which seamlessly integrates voice with  video, collaboration, and presence services. This solution leverages SIP to  enable service providers to deliver seamless handover between cellular and  WiFi technologies and create new revenue-generating opportunities for  service providers.

    Nortel's IMS solution is access-aware and supports 3GPP (IMS), 3GPP2  (MMD), Packet Cable 2.0 and TISPAN standards. According to Synergy Research  Group, Nortel ranked number one in the global markets for service provider  softswitches and gateways for the first half of 2006. Nortel is currently  engaged in IMS trials with leading operators in wireline, cable, CDMA and  GSM/UMTS markets.

    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 For the latest Nortel news, visit

    Certain statements in this press release may contain words such as "could", "expects", "may", "anticipates", "believes", "intends", "estimates ", "targets", "envisions", "seeks" and other similar language and are  considered forward-looking statements or information under applicable  securities legislation. These statements are based on Nortel's current  expectations, estimates, forecasts and projections about the operating  environment, economies and markets in which Nortel operates. These  statements are subject to important assumptions, risks and uncertainties,  which are difficult to predict and the actual outcome may be materially different. Further, actual results or events could differ materially from  those contemplated in forward-looking statements as a result of the  following (i) risks and uncertainties relating to Nortel's restatements and  related matters including: Nortel's most recent restatement and two  previous restatements of its financial statements and related events; the  negative impact on Nortel and NNL of their most recent restatement and  delay in filing their financial statements and related periodic reports;  legal judgments, fines, penalties or settlements, or any substantial  regulatory fines or other penalties or sanctions, related to the ongoing  regulatory and criminal investigations of Nortel in the U.S. and Canada;  any significant pending civil litigation actions not encompassed by Nortel's proposed class action settlement; any substantial cash payment and /or significant dilution of Nortel's existing equity positions resulting  from the finalization and approval of its proposed class action settlement,  or if such class action settlement is not finalized, any larger settlements  or awards of damages in respect of such class actions; any unsuccessful  remediation of Nortel's material weaknesses in internal control over  financial reporting resulting in an inability to report Nortel's results of operations and financial condition accurately and in a timely manner; the  time required to implement Nortel's remedial measures; Nortel's inability  to access, in its current form, its shelf registration filed with the  United States Securities and Exchange Commission (SEC), and Nortel's below  investment grade credit rating and any further adverse effect on its credit  rating due to Nortel's restatements of its financial statements; any  adverse affect on Nortel's business and market price of its publicly traded  securities arising from continuing negative publicity related to Nortel's restatements; Nortel's potential inability to attract or retain the personnel necessary to achieve its business objectives; any breach by Nortel of the continued listing requirements of the NYSE or TSX causing the  NYSE and/or the TSX to commence suspension or delisting procedures; (ii)  risks and uncertainties relating to Nortel's business including: yearly and  quarterly fluctuations of Nortel's operating results; reduced demand and  pricing pressures for its products due to global economic conditions,  significant competition, competitive pricing practice, cautious capital  spending by customers, increased industry consolidation, rapidly changing technologies, evolving industry standards, frequent new product introductions and short product life cycles, and other trends and industry  characteristics affecting the telecommunications industry; the sufficiency  of recently announced restructuring actions, including the potential for  higher actual costs to be incurred in connection with these restructuring  actions compared to the estimated costs of such actions and the ability to  achieve the targeted cost savings and reductions of Nortel's unfunded  pension liability deficit; any material and adverse affects on Nortel's performance if its expectations regarding market demand for particular  products prove to be wrong or because of certain barriers in its efforts to  expand internationally; any reduction in Nortel's operating results and any  related volatility in the market price of its publicly traded securities  arising from any decline in its gross margin, or fluctuations in foreign  currency exchange rates; any negative developments associated with Nortel's supply contract and contract manufacturing agreements including as a result of using a sole supplier for key optical networking solutions  components, and any defects or errors in Nortel's current or planned  products; any negative impact to Nortel of its failure to achieve its  business transformation objectives, including completion of the sale of its UMTS access business to Alcatel; additional valuation allowances for all or  a portion of its deferred tax assets; Nortel's failure to protect its  intellectual property rights, or any adverse judgments or settlements  arising out of disputes regarding intellectual property; changes in  regulation of the Internet and/or other aspects of the industry; Nortel's  failure to successfully operate or integrate its strategic acquisitions, or  failure to consummate or succeed with its strategic alliances; any negative  effect of Nortel's failure to evolve adequately its financial and  managerial control and reporting systems and processes, manage and grow its business, or create an effective risk management strategy; and (iii) risks  and uncertainties relating to Nortel's liquidity, financing arrangements  and capital including: the impact of Nortel's most recent restatement and  two previous restatements of its financial statements; any inability of  Nortel to manage cash flow fluctuations to fund working capital  requirements or achieve its business objectives in a timely manner or  obtain additional sources of funding; high levels of debt, limitations on  Nortel capitalizing on business opportunities because of credit facility  covenants, or on obtaining additional secured debt pursuant to the  provisions of indentures governing certain of Nortel's public debt issues  and the provisions of its credit facilities; any increase of restricted  cash requirements for Nortel if it is unable to secure alternative support for obligations arising from certain normal course business activities, or  any inability of Nortel's subsidiaries to provide it with sufficient  funding; any negative effect to Nortel of the need to make larger defined  benefit plans contributions in the future or exposure to customer credit  risks or inability of customers to fulfill payment obligations under  customer financing arrangements; any negative impact on Nortel's ability to  make future acquisitions, raise capital, issue debt and retain employees  arising from stock price volatility and further declines in the market  price of Nortel's publicly traded securities, or any future share consolidation resulting in a lower total market capitalization or adverse  effect on the liquidity of Nortel's common shares. For additional  information with respect to certain of these and other factors, see  Nortel's Annual Report on Form 10-K/A, Quarterly Report on Form 10-Q and  other securities filings 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.

    (x)    Nortel, the Nortel logo and the Globemark are trademarks of Nortel Networks.

    (xx)  TWIN is a trademark of Neuf Cegetel

    (xxx) Data from mobile operators: 30% of calls made using mobile phones are made in the subscriber's home

ots Originaltext: Nortel Networks
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For further information: Isabelle Tadmoury, +33-1-6955-1291,; Greta Brown, +44-1628-43-2968,; Jamie Moody, (+972)-684-7167,

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