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

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

FRANCE, Oct. 30 /CNW/ - Neuf Cegetel, the leading alternative operator in France, is using an IMS-ready solution from Nortel(*) (NYSE/TSX: NT) to deliver TWIN(**), 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%(***) 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 www.nortel.com. For the latest Nortel news, visit www.nortel.com/news.

(*) Nortel, the Nortel logo and the Globemark are trademarks of Nortel Networks. (**) TWIN is a trademark of Neuf Cegetel (***) Data from mobile operators: 30% of calls made using mobile phones are made in the subscriber's home