ALCATEL AIMS TO BECOME WORLD'S THIRD MOBILE NETWORK OPERATOR.

• Position: Company Business and Marketing

Alcatel, which announced a number of major network infrastructure contracts on June 8, is now aiming to become the world's third operator in the sector following years of setbacks. The French group has announced contracts to extend the SFR network in France (Euro 305 million) and the construction of the fourth mobile network in Austria for Mannesmann (Euro 290 million). The group estimates its share of the global market at 10%, placing it among "second string" operators (Motorola, Nortel, Siemens, Alcatel), still some way behind the two global giants Nokia and Ericsson. Alcatel has a turnover of about 10 billion francs in mobile network infrastructures. The French group aims to increase its market share by two percentage points this year. Alcatel accumulated a significant delay in infrastructures and mobile terminals from 1995-1996 leading slowly to the defection of its most valued clients (France Telecom and SFR in France). Grard Dega, Chairman of Alcatel's radio communications division is confident that 1998, the group's "annus horribilis", marked the end of this downward spiral. The group has since recovered thanks to a vigorous technological effort. Alcatel is banking in particular on its strong position in China, where the group operates a number of manufacturing units, a clear advantage in view of the decision by the authorities in Beijing to close frontiers to telecommunications imports. Alcatel aims to raise...