With licenses scheduled to be awarded in 2001, Alcatel is actively engaged in pre-licensing trials with a significant number of potential licensees, giving the company a first to market advantage. The pre-license trials, which include both Alcatel LMDS (local multipoint distribution service) and Alcatel Wireless IP, will enable service providers who receive licenses to immediately begin delivering revenue generating services once the spectrum is allocated.

With the huge potential market for broadband services in China, the upcoming broadband wireless license allocations are eagerly anticipated, said Jamie Mendelson, analyst with Strategis Group. Vendors, such as Alcatel, who are already actively engaged in trials with potential licensees have a key advantage in this market.

Dominique de Boisseson, chairman and CEO, Alcatel China said in a press release: The emerging broadband wireless industry in China represents an incredible opportunity, and Alcatel is fully committed to providing the technology and support to enable service providers to quickly and cost-effectively begin delivering revenue generating services. With ongoing trials of both their LMDS and Wireless IP solutions, Alcatel hopes to capture a significant portion of the broadband wireless business in China in the coming year.

Alcatel has already established a significant foothold in the broadband wireless market in the Asia Pacific region. Since launching commercial LMDS in July 2000, Korea’s Hanaro Telecom has been using the Alcatel LMDS solution to offer high speed Internet service in densely populated regions across the country. With more than 10,000 customers currently on the network, the commercial availability of Alcatel equipment has enabled Hanaro to continue to add approximately 1000 new customers per week. Alcatel is also working with Japan Telecom to explore the receptiveness of the Japanese market to the LMDS solution.