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Telecommunications systems

Sprint Canada Selects Lucent Technologies for Local Telephone Service Rollout

Strategic Insights

— 2 min read

Sprint Canada Inc., a subsidiary of Call-Net Enterprises Inc., has selected Lucent Technologies to supply the network technology, equipment, and software needed for its new local telephone service in Canada. This partnership will enable Sprint Canada to provide competitive local services to Canadians, with the first installation commencing immediately. Over the next five years, Sprint Canada will purchase up to C$400 million worth of Lucent's AnyMedia switching and access systems, as well as the advanced intelligent network (AIN) platform. Lucent will also provide vendor financing of up to C$400 million.

Key Takeaways:

  • Sprint Canada will spend up to C$400 million on Lucent's AnyMedia switching and access systems and AIN platform over the next five years.
  • The first installation of the local service network will commence immediately, with the goal of launching service in the top 25 Canadian markets within three years.
  • Sprint Canada's new local service network will be based on Lucent's AnyMedia Access System and 5ESS-R 2000 AnyMedia Switch, which sets new performance benchmarks for the industry.
  • The 5ESS Switch will support wireline, wireless, voice, data, and video applications, allowing Sprint Canada to easily create and customize new telecommunications services.
  • Lucent will provide vendor financing of up to C$400 million to support Sprint Canada's rollout of its local service network.
  • Sprint Canada, with over 1.35 million customers, is Canada's largest alternative long-distance company, representing 16% of the total long-distance and business data market.
  • The partnership between Sprint Canada and Lucent is expected to increase Lucent's presence in the Canadian market and fuel its growth.

Statistics:

  • C$400 million: The maximum amount Sprint Canada will spend on Lucent's AnyMedia switching and access systems and AIN platform.
  • 5 years: The duration of the agreement between Sprint Canada and Lucent.
  • 65%: The percentage of the market that will be covered by Sprint Canada's new local service network within the first three years.
  • 25 markets: The number of top Canadian markets that Sprint Canada plans to roll out service to within the first three years.
  • 1999: The expected year of launch for Sprint Canada's new local service product in its first market, pending the successful conclusion of regulatory decisions.

Sources:

  • Sprint Canada Inc.,
  • Lucent Technologies,
  • www.lucent.com, www.lucent.ca,
  • Call-Net Enterprises Inc., www.sprint-canada.com,
  • CONTACT: Philip Bates, Sprint Canada Inc., (416) 718-6440,
  • Gillian MacMichael/Cim Nunn, ETC Communications Inc., (416) 693-2633 or 1-888-693-2633,
  • Valery Vollenweider, Lucent Technologies Canada, (416) 756-5024.

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