1. All rights reserved © 2006, Alcatel Addressing the SMB market SMB Solution Marketing 2006

2. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 2 Agenda The SME market Alcatel and the SME Product offer Alcatel’s voice and data converged solutions Conclusion

3. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 3 Agenda The SME market Alcatel and the SME Product offer Alcatel’s voice and data converged solutions Conclusion

4. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 4 Number of Employees per Company 1 5 100 1k Enterprise Company Segmentation - WW 5k VALUE : End User CPE in € (*) VOLUME : # of Companies Sources : Alcatel, Eurostat, BNP Paribas, IDC, AMI Partners, Frost&Sullivan, InfoTech Small Businesses Packaged solutions & Managed services for SMBs S Large Enterprises Custom Projects for National and Intl Companies L Mid-Sized Businesses Solutions for national multi site SMBs M Multi-National Corps. Custom Projects for global Corporations XL Installation required Cash & Carry Distribution XS SoHo Residential & Hosted Solutions for very small businesses S 5-100 L 1k-5k M 100-1k XL 5k+ XS 10M 100k 1M 10k 100M 4bn€ 7bn€ 3bn€ 4bn€ 40% 20% 25% 15% (*) Business communication solution (includes: system, terminals, integrated applications like Voice Mail)

5. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 5 The SME market A mass market 14 Million enterprises from 5 to100 users 40% of the enterprise market in value A pragmatic approach of the new Information and communication technologies Simplicity Reliability Security Profitability

6. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 6 Easy Solutions  Finance  Training  Outsourcing  Services Return on Investment  Cost savings,  Lower TCO  Business development and revenue increase Costs reduction The SMB challenges for business growth Superior services  Improve customers relations  Quicker and more efficicent customer interactions Availability  7 days /24 hours Loyalty Productivity and flexibility  Make collaborative work and information sharing easier  Process Automation and tools  Notifications, remote access Productivity Competitive edge Satisfied Customers Efficient Employees Smarter operations

7. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 7 Agenda The SME market Alcatel and the SME Product offer Alcatel’s voice and data converged solutions Conclusion

8. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 8 Alcatel Mission and Statement for the SME market “ Alcatel Mission aims at allowing small and medium enterprises to take full advantage of the new information and communication technologies by bringing easy solutions perfectly adapted to their needs in order to help them develop their business presence, improve their interactions with customers and partners and increase their profitability” Jean-Christophe Giroux – President, Alcatel Enterprise Division

9. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 9 Alcatel: 2005 facts and figures 13.1 billion euros in sales 12% of sales invested in R&D 58,000 employees active in 130 countries 13.1 billion euros in sales 12% of sales invested in R&D 58,000 employees active in 130 countries A World leader for communication N# 1 in Optics networking N# 1 in DSL N# 1 in Rail signaling (ETCS) N# 1 in Contact centers (Genesys) N# 1 in Telecom Satellite A World leader for communication N# 1 in Optics networking N# 1 in DSL N# 1 in Rail signaling (ETCS) N# 1 in Contact centers (Genesys) N# 1 in Telecom Satellite

10. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 10 Leading the SMB market in Italy with 18% market shares in France with 43% market shares in Norway with 32% market shares in Spain with 19% market shares Source : MZA 08/2005 up to 100 extensions excluding micro pbx Nr 1 Nr2 in Western Europe with 18% market shares

11. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 11 New Information Communication Technology improve SME performances Voice communication services and applications Real time Interactions Customer greetings Mobility Customer relationship management Team work IT Infrastructure and applications Information creation, storage, exchange and sharing Network and data protection Email Collaborative work and resources sharing Internet Secure high speed Internet access Web presence and communication

12. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 12 Alcatel SME Portfolio: A global ICT offer for SME ICT Solution for SME Alcatel OmniPCX Office Alcatel Eye-box OmniPCX Office Web sites Virtual desktop calendar Contact managements Print server File server Antivirus/antispam Filtrage URL Collaboration Eye-box Premium Edition Eye-box Compact Edition OmniPCX Office CTI Call Center Mobility Voice messaging TDM/IP telephony Voice Internet OmniPCX Office VPN Email Proxy Firewall Internet access IT Applications Telephony Integration Pack

13. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 13 Agenda The SME market Alcatel and the SME Product offer Alcatel’s voice and data converged solutions Conclusion

14. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 14 Alcatel SME Portfolio: A global ICT offer for SME Alcatel OmniPCX Office OmniPCX Office CTI Call Center Mobility Voice messaging TDM/IP telephony Voice Internet OmniPCX Office VPN Email Proxy Firewall Internet access IT Applications

15. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 15 A leading product for the SME market + 250 000 companies have chosen Alcatel OmniPCX Office +6.3 million people use Alcatel OmniPCX Office Selected by major carriers in Europe, Asia and US #1 in Western Europe with 18% market shares* *Source : MZA sept 2005

16. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 16 Alcatel OmniPCX Office A single solution to address SME needs Professional voice solution Traditional PABX requirements Advanced telephony : CTI, Automated Attendant, Mobility VoIP, IP telephony, greeting center IP/TDM Architecture Scalable to voice and data convergence Voice and data convergence Integrated Voce/data/Internet communication solution IP Telephony, secure Internet access, email, IP networking Scalability

17. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 17 Alcatel OmniPCX Office S model: 6-20+ users M Model: 15-60 users L Model: 30-90 users Hardware: CabinetsBoards Terminals: Software Licenses: Telephony Client Mobility Client Softphone Client Voice Mail Automatic Attendant Disa Music on Hold Internet Proxy e-mail, unified Messaging Intranet, File Server VPN Remote Access Server H323 Gateway IP Telephony Client IP Softphone Client Private Networking CTI Accounting XL Model: up to 200 users Compact Edition: 6-16 users

18. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 18 ADVANCED CALL SERVER  Voice mail capacity & feature options  Up to 10 min music on hold  Automated Attendant  Intelligent greetings  Softphone PIMphony Pro & Team  Internet / e-mail / LAN Switch  Mobility  Modular, scalable & easy expansion  Flexible solutions  Feature-rich (call by name, conference… ) BASE SOLUTIONS ADDITIONAL OPTIONS KEY BENEFITS  Open communication server  Call by name: 3,000 names directory  20 min integrated voice mail, 2 ports  2 min customized music on hold  Automatic Route Selection: ARS  25 Softphone PIMphony basic sessions  Personal Assistant 1-1 C USTOMER S ATISFACTION IP ISDN/PSTN Internet Satisfied CUSTOMERS

19. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 19 ATTENDANT  Digital add-on modules (direct supervision)  Headsets  Supervision screen on PC  Easy management on PC  DECT mobility: Mobile 100/200  Professional welcome  Easy to manage and to understand  Ergonomically enhanced  Easy to use ADDITIONAL OPTIONS KEY BENEFITS First level Second level  Third level  High end digital station  Internal and external call monitoring  8 attendant groups  8 attendants in a group  Internal or external forwarding C USTOMER S ATISFACTION 1-2 BASE SOLUTIONS Satisfied CUSTOMERS

20. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 20 INTELLIGENT CALL ROUTING  Supervisor console  Statistics manager software  Agent Assistant desktop application  Softphone with screen pop- ups (PIMphony Pro) BASE SOLUTIONS ADDITIONAL OPTIONS KEY BENEFITS First level Second level  Third level  Automatic Call Routing based on Caller Identification and/or Direct Dialing Identification, Automated Attendant  Automatic Call Distribution (ACD) rotating priority, fixed priority, or longest idle time  Waiting queue management  6 messages customized per group  Up to 8 groups and 20 active agents from 32 registered C USTOMER S ATISFACTION 1-4 Callers  Route calls to the most skilled person  Handle peaks of incoming calls  Professional welcome  Increase customer satisfaction  Improve efficiency of company resources Satisfied CUSTOMERS

21. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 21 IP 8 Series Introducing new telephone sets series Introducing new 8 Series and 9 Series phones New attractive aesthetic User friendly ergonomics Enhanced comfort with graphical display Outstanding audio Application openness through XML support (on IP Touch 8 Series) 4028 4038 4018 4068 Digital 9 Series 4029 4039 4019 Efficient EMPLOYEE

22. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 22  Adjustable graphical display 4096 colors, 1/4 VGA  Integrated Bluetooth® technology  10 soft shortcut keys  Alphabetical keyboard  4-direction navigator  Hands free  Mute key  Redial key  Direct access to mail box  40 programmable soft shortcut keys  Headset plug with presence detection 4068 IP TOUCH FEATURE-RICH TERMINAL  Bluetooth ® headset  Wall mounting kit  60° foot stand  Additional key module  Monaural/Binaural headset BASE SOLUTIONS ADDITIONAL OPTIONS First level Second level  Third level EMPLOYEE EFFICIENCY 2-1 MonauralBinaural Bluetooth ® wireless technology freedom Efficient EMPLOYEE

23. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 23 ALCATEL 4039/ALCATEL 4038 IP TOUCH FEATURE- RICH TERMINALS First level Second level  Third level  Monaural/Binaural headset  Wall mounting kit  60° foot stand  Additional key module BASE SOLUTIONS ADDITIONAL OPTIONS  Adjustable graphical display 4 grey levels  10 soft shortcut keys  Headset plug with presence detection  4-direction navigator  Hands free  Mute key  Redial key  Direct access to mail box  40 programmable soft shortcut keys  Alphabetical keyboard EMPLOYEE EFFICIENCY 2-2 Add-on 10 keys 60 degrees foot-stand Efficient EMPLOYEE

24. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 24 ALCATEL 4029/ALCATEL 4028 IP TOUCH FEATURE- RICH TERMINALS First level Second level  Third level  Monaural/Binaural headset  Wall mounting kit  60° foot stand  Additional key module BASE SOLUTIONS ADDITIONAL OPTIONS  Adjustable B & W graphic display  6 soft shortcut keys  Direct access to mail box  Alphabetical keyboard  4-direction navigator  Headset plug with presence detection  Mute key  Hands free  Redial key  40 programmable soft shortcut keys EMPLOYEE EFFICIENCY 2-3 Adjustable display Smart display 14 keys Efficient EMPLOYEE

25. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 25 PERSONAL ASSISTANT  Always reachable internally or externally (GSM or fixed terminal)  No extra hardware needed  One number “follow me” advantages BASE SOLUTIONS KEY BENEFITS First level Second level  Third level  Automatic Call Routing to different destinations defined by the user  Voice-guided menu to the caller  Caller has 5 possible ways to reach you EMPLOYEE EFFICIENCY 2-5 ADDITIONAL OPTIONS  Voice mail options  DECT mobility Secretary Voice mail Operator GSM External number Efficient EMPLOYEE

26. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 26 SOFTPHONE PIMphony THE PERSONAL COMMUNICATION MANAGER  Make your phone tasks easy  Be efficient and save time  Keep track of calls during absence  Never lose a call  Improve customer satisfaction BASE SOLUTIONS KEY BENEFITS First level Second level  Third level  Up to 25 Softphone PIMphony basic applications delivered with your system  Call control management  Embedded call log  15 programmable call shortcut keys EMPLOYEE EFFICIENCY 2-6 ADDITIONAL OPTIONS  Softphone PIMphony Pro: interaction with PIM application (screen pop-up), voice mail management  Softphone PIMphony Team: assistant and supervisor monitoring facilities  Softphone PIMphony over IP (local or remote) Efficient EMPLOYEE

27. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 27 VOICE MAIL  Integrated in the system  Always reachable  Professional greetings BASE SOLUTIONS KEY BENEFITS  Voice mail: 2 ports & 20 min  Personal message greeting  LED on phone & external notification  Forwarding to voice mail  Password protection  Remote consultation EMPLOYEE EFFICIENCY 2-7 ADDITIONAL OPTIONS  80 min storage memory  8 hours storage memory  200 hours storage memory  Up to 8 ports (according to user capacity)  Record on line  Distribution lists  Remote customization Efficient EMPLOYEE

28. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 28 MOBILITY: ALCATEL DECT INFRASTRUCTURE (DIGITAL ENHANCED CORDLESS TELECOMMUNICATIONS)  Answer customers calls immediately, wherever you are in the office  Communicate on the move  No time wasted  Cost saving (No call backs) BASE SOLUTIONS KEY BENEFITS  High traffic capacity  Full roaming and handover (inside/outside)  Same feature level as fixed digital set  High security (handset registered) EMPLOYEE EFFICIENCY 2-8 ADDITIONAL OPTIONS  Outdoor base station  Explosion proof base station  Gain/directional antenna to optimize coverage PSTN ISDN Efficient EMPLOYEE

29. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 29 MOBILITY: ALCATEL DECT (DIGITAL ENHANCED CORDLESS TELECOMMUNICATIONS)  Monaural/Binaural headset (connector on mobile)  Carrying case  Basic/dual desktop charger  Voice desktop charger  Explosion proof model BASE SOLUTIONS ADDITIONAL OPTIONS First level Second level  Third level  Full capability features (multiline, call by name, supervision)  Twinset capability (two sets: 1 wired & 1 mobile seen as one set)  Vibrator (M200)  Volume adjustable  Loudspeaker  Back light (M200)  Large graphic display  DriveKey™ EMPLOYEE EFFICIENCY 2-9 Alcatel Mobile 200 Reflexes Alcatel Mobile 100 Reflexes Efficient EMPLOYEE

30. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 30 Converged SOLUTION (Voice, data, internet)  All in one solution  Cost effective solution  Single connection for multiple users  Access and usage control  Security mechanisms  Efficiency in productivity BASE SOLUTIONS KEY BENEFITS  Leased line (up to 10Mbs), xDSL or ISDN Internet access (128K)  Firewall for high secured Internet access  Voice mail pro 80 min  Unified Messaging facilities  WCA (Web Communication Assistant) Web messaging thin client EMPLOYEE EFFICIENCY 2-10 ADDITIONAL OPTIONS  E-Mail  Proxy & cache server  VPN (Virtual Private Network)  Intranet Web  Additional Web Communication Assistant users  Nomadic mode - Internet access e-mail Firewall Proxy MAIN OFFICE -Web -Unified messaging -Security -E-mail -VPN -Intranet Internet VPN OTHER SITE REMOTE OFFICE MOBILE WORKER Smart OPERATIONS

31. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 31 Agenda The SME market Alcatel and the SME Product offer Alcatel’s voice and data converged solutions Conclusion

32. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 32 Gartner Hype cycle for network services suggests that unified communication will reach maturity in the next 5 years With Alcatel - Right Vision IT/Voice solution we are at the fore front of that wave Market for Unified Communication Market doesn’t wait 2005 residential deployment of convergence offers 2006-2008 convergence offers deployment on SMB market By using Alcatel - Right Vision Technology we are ready for 2006

33. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 33 Alcatel SME Portfolio: A global ICT offer for SME ICT Solution for SME Alcatel OmniPCX Office Alcatel Eye-box OmniPCX Office Business Web sites Virtual desktop calendar Contact managements Print server File server Antivirus/antispam Filtrage URL Collaboration Eye-box Premium Edition Eye-box Compact Edition OmniPCX Office Business CTI Call Center Mobility Voice messaging TDM/IP telephony Voice Internet OmniPCX Office E-Business VPN Email Proxy Firewall Internet access IT Applications Telephony Integration Pack

34. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 34 The Concept #!/*&#"="~  Many equipment and people  heavy installation & maintenance  expensive x Ready to use ! Router Mail Server DNS FTP Firewall Anti-Virus Backup DHCP Intranet File Server Printer Router Mail Server DNS FTP Firewall Anti-Virus Backup DHCP Intranet File Server Printer  Integrated solution  Easy to install & manage  Powerful and cost effective

35. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 35 File sharing Resource sharing LAN Email Secure Internet Access Unified communications Remote access mobility Alcatel Eye-box : The integrated IT communication server Web presence Backup Collaborative apps Alcatel Eye-box Telephony

36. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 36 Alcatel Eye-box : IT appliance ready to start Alcatel Eye-box Compact Edition The most silent desktop server on the market For very Small Enterprise up to 25 users Alcatel Eye-box Premium Edition The smart and performing SME server Single and multi site SME up to 300 users  Pre-integrated server  Ready to use  Easy to manage  Scalable  Modular  Processor Via C3 1.0 Ghz  256 MB RAM  1x40 Gb or 1x120 Gb HDD IDE 7200 rpm  2x10/100 Mpbs Ethernet cards  2 PCI slots  4 USB 2.0 ports  Processor PIV Hyperthreading 530 3.0 Ghz  2 x 512 Mb RAM  2 x120 Gb or 2 x 400 Gb HDD RAID1  2 x 10/100/1000 Mpbs Ethernet cards  1 PCI slot  2 USB ports  1 CDx24/ DVDx8 Hardware options :  Memory  ADSL card  Wifi Card  Ethernet Card

37. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 37 Alcatel Eye-box solution Eye-box Compact Edition Eye-box Premium Edition

38. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 38 An ergonomic user interface : the Virtual Desk Contact manager Email and unified messaging Click to call Calendar

39. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 39 Eye-box/Eye-Soft packs With Telephony Integration Pack Unified Messaging Agenda Contacts Web PDA Sync Company News Collaboration Telephony Search engine

40. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 40 An integrated administration interface

41. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 41 The voice/data convergence solution for SME Professional Telephony IP and TDM telephony Voice Messaging PC soft phones/CTI Call center On site and off site mobility Remote administration Professional Telephony IP and TDM telephony Voice Messaging PC soft phones/CTI Call center On site and off site mobility Remote administration Alcatel OmniPCX Office IT, Internet and collaboration Secure internet access Web presence Virtual desktop email Contacts Calendar File/Print servers Secure remote access IT, Internet and collaboration Secure internet access Web presence Virtual desktop email Contacts Calendar File/Print servers Secure remote access Alcatel Eye-box Unified Messaging Voice/data virtual desktop Integrated management The convergence added value Single ergonomic user interface Integrated management for simpler operations Voice & data mobility for remote workers One stop shopping for global ICT infrastructure The convergence added value Single ergonomic user interface Integrated management for simpler operations Voice & data mobility for remote workers One stop shopping for global ICT infrastructure + 1+1 = 3 = Telephony Integration Pack

42. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 42 ICT solution for SMEs Assistant/greeting INTERNET sales customer Suppliers Remote worker Director Employees PSTN/ISDN

43. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 43 Greeting enhancement Company greeting Increased availability Call management Transfers, forward, monitor Day-to-day management Meeting organization Schedule appointments Alcatel Solution Company directory Automatic call routing Central contacts management Central shared calendar Call supervision Alcatel Solution Company directory Automatic call routing Central contacts management Central shared calendar Call supervision Assistant/greeting Satisfied CUSTOMERS

44. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 44 Enhance customer relationship Contact management Call transfers and forward calendar Exchange information Phone, Email and Data Remote access to company’s information voice / data Single interface Alcatel Solution Integrated server  Secure Internet Access  Unified messaging  Shared calendar  File server Virtual Desk  Single Web interface  Nomadic access  Secured communication Personal assistant  Call management Alcatel Solution Integrated server  Secure Internet Access  Unified messaging  Shared calendar  File server Virtual Desk  Single Web interface  Nomadic access  Secured communication Personal assistant  Call management Sales Efficient EMPLOYEE

45. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 45 Managers/Decision makers Develop workgroup activities Help internal and external company’s communication Resources optimization People, technology and finance Durability and evolutions Keep in touch with contacts Customers, partners, employees Be more reactive Alcatel Solution Innovative, integrated ICT solution  Voice/Data/Internet  Multi site organization  Built in security Easy installation and setup  Finances  deployment  External and remote services Empower company’s resources access Alcatel Solution Innovative, integrated ICT solution  Voice/Data/Internet  Multi site organization  Built in security Easy installation and setup  Finances  deployment  External and remote services Empower company’s resources access Director Smart OPERATIONS

46. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 46 Alcatel offer comparison OmniPCX Office OmniPCX Office + Eye box Voice communication and applications TDM/IP Telephony /VoIP/Mobility Voice Mess./ Auto. Attendant/Call Center Internet communication Routeur/Firewall/NAT Proxy/Cache E-mail server VPN IT Applications Unified messaging * ** File server, print server, groupware, intranet Web Server URL Filtering Anti-Virus Virtual desktop/ calendar/contacts Remote access (*) Web Communication Assistant/Embedded email server (**) voice mail/e-mail

47. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 47 Agenda The SME market Alcatel and the SME Product offer Alcatel’s voice and data converged solutions Conclusion

48. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 48 Alcatel solution strengths Voice applications Alcatel provides SMBs a global offer with voice/data convergence and unified communication Collaboration tools Virtual Desk reachable from any PC connected to the Internet Provide webmail, file sharing, calendar, contacts, unified messaging, nomadic call mode… User-centric mobility features Secure, wireless and direct synchronisation with PDAs, Smartphones… to access all information (emails, contacts, calendar, voice messages…) from anywhere

49. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 49 Alcatel is a recognized leader for SMB solutions Alcatel is a unique position to address SME communication needs From 6 to 236 users From standalone to multi-site companies Worldwide presence A comprehensive solution portfolio Voice Converged Voice and Internet Converged voice, Internet, Data and Applications A recognized SME market leader # 1 in Western Europe #1 in France, Italy, Spain

50. All rights reserved © 2006, Alcatel Alcatel SMB solutions / Page 50 www.alcatel.com