QICC And Lucent Technologies Sign $133 Million Agreement to Deploy Global Broadband Data Network and Services

Business Wire, Oct 11, 1999

MURRAY HILL, N.J.--(BUSINESS WIRE)--Oct. 11, 1999--

QICC is the First Global Broadband Carrier to Offer Services Targeted

Primarily at the Entertainment Marketplace

Lucent Technologies (NYSE: LU), a global leader in communications networking solutions and Quad International Communications Corporation (QICC), a global broadband carrier focused on the media and entertainment industries, today announced a multi-year agreement valued at $133 million.

Lucent will provide asynchronous transfer mode (ATM) data networking solutions to help QICC expand its rapidly-growing broadband data network. Utilizing the new ATM core network architecture, QICC will roll out a family of high-speed services for the motion picture, broadcast and advertising industries by the end of this year.

Under the terms of the agreement, Lucent will supply QICC with its market-leading GX 550(tm) Smart Core ATM switches, industry-leading PacketStar(tm) access concentrators and Lucent Digital Video's VideoStar(tm) MPEG-2 digital video system. QICC will also rely on Lucent's NetCare(r) Professional Services to provide design, installation and maintenance for QICC's network round-the-clock.

QICC's new service portfolio, Q-CAST(tm), is a family of services designed for the entertainment industry offering total end-to-end network accountability, security and performance. QICC's new broadband data network offers high file-transfer speeds that significantly reduce the time and costs of film production, video editing and collaboration time. The services will be deployed coast-to-coast by the end of 1999.

"Our intention is not to compete against existing services or replicate what others have already done," said Ray Ashton, chairman and chief executive officer of QICC. "Our goal is to offer true value-added differentiating broadband services to the entertainment and media-related industries including motion picture pre- and post-production distribution, broadcasting, advertising and related content providers. Lucent's expertise and technology will give us a competitive edge as we deploy our tailored solutions to meet the needs of our customers."

"Today's alternative carriers need more flexible, cost-effective networks to deliver revenue-generating services," said Curt Sanford, president of Lucent's InterNetworking Systems group. "We are excited that QICC has selected Lucent's market-leading carrier-class data networking and digital video equipment to build its next generation network."

According to several recent leading market research reports from Synergy Research Group, Cahners In-Stat, Probe Research and International Data Corporation, Lucent continues to maintain its strong lead in the ATM, Frame Relay, Multiservice WAN and ATM access concentration equipment markets. Lucent Digital Video has the majority share of the North American digital television (DTV) market for MPEG-2 encoders and is the MPEG-2 leader in the growing China DTV market.

Lucent's NetCare unit provides network planning and design, implementation and integration, operations and administration, and support and maintenance services. For more information about Lucent's NetCare Professional Services visit the NetCare Web site at: http://www.lucent.com/netcare.> QICC, based in Moorpark, Calif., is a true next generation emerging carrier, leading the global carrier industry in a new trend toward application specific services. QICC offers highly differentiating and competitive Global Broadband Services to the Entertainment and Media related industries including Motion Pictures, Broadcasting, Advertising and related Content Providers. For more information on QICC services, reseller program and investors relations, visit the company's website at http://www.qicc.com.

Lucent Technologies designs, builds and delivers a wide range of public and private networks, communications systems and software, data networking systems, business telephone systems and microelectronic components. Bell Laboratories is the research and development arm for the company. For more information about Lucent Technologies, headquartered at Murray Hill, N.J., visit the company's website at http://www.lucent.com.