Spanish Cable Operator R Delivers New Business Services Enabled by Nortel


R Launches IMS-Ready Carrier-Hosted VoIP and Multimedia Solution in Spain

MADRID, Spain, December 4 -- R Cable y Telecomunicaciones®, the leading cable operator in Spain's Galicia region, is delivering a suite of voice, multimedia and advanced IP
services, including telephony, video and instant messaging, to business and
residential customers using a Carrier VoIP solution from Nortel(x)
(NYSE/TSX:NT). R's new services portfolio enables business customers to
outsource their communications, enhance productivity and prepare for fixed
mobile convergence, while residential customers can select from a range of
new voice and multimedia services.

"We're in the business of making it easier to talk, instant message,
watch videos, listen to music, get the news and play games - in fact whatever
makes business and personal life more simple, more pleasant, more effective
and more productive," said Arturo Dopico, managing director, R. "The growing
demand for interactive services, and the need to deliver them as simply as
possible, is as relevant for our business clients as it is for the personal
user."

R chose Nortel's Carrier VoIP, Multimedia and Global Services solution
because it helped deliver the broadest suite of VoIP business and residential
services with the highest levels of service reliability and availability. The
solution includes PacketCable(TM) voice and SIP multimedia services for
residential and business markets. "When introducing new services it is also
reassuring to know that we're working with the global leaders in Carrier VoIP
with established expertise in this field," added Dopico.

"R is a key customer for Nortel Spain and we've worked closely with them
for a number of years," said Michel Clement, president Southern Europe and
Africa, Nortel. "This latest project focuses on Nortel's key strength, which
is building a highly dependable and scalable network and acting as systems
integrator to enable R to deliver reliable and cost-effective new services to
its customers across Galicia."

A clear evolution path - that provides IMS-ready elements for secure services running across both Internet and mobile networks and supports a full range of multimedia capabilities - was also a deciding factor in R's selection of its Nortel solution. While R's immediate objective was to launch VoIP value added services they also continually track customer wants and satisfaction and chose a solution to help them handle changing customer requirements in a timely and cost-efficient manner.

R's Cable VoIP solution is based on the Nortel Communication Server

2000-Compact a carrier-grade softswitch that supports a wide range of voice and multimedia business and residential features and open industry-standard SIP PacketCable and PacketCable Multimedia protocols.

Nortel ranked number one in the global markets for service provider softswitches and gateways for the first half of 2006, according to Synergy Research Group. The solution for R also includes turnkey services from Nortel's Global Services portfolio consisting of change design, engineering, installation, commissioning, network integration and marketing support.

Nortel's Global Services include a full range of network application, implementation and support services for end-to-end multi-vendor networks. Nortel has also deployed IMS-ready solutions with over 100 customers and is currently engaged in IMS trials with leading operators in cable, wireline, CDMA and GSM/UMTS markets.

About R

R is the Galician fibre optic operator of communications. R's main target is to offer all the Galician companies and homes the most advanced services in all the scopes of communication and to equip them so that they can receive the new generation of interactive services that are being developed. To achieve this, R is building up a new and powerful fibre optic network which is still in construction but advancing at a steady pace. Currently it provides integrated services of telephone, high speed Internet and multi-channel thematic television in the seven main Galician cities and other towns and cities of a smaller size, as well as in the main industrial sites
of Galicia. Furthermore, in the near future its clients will be able to enjoy
the advantages of the interactive digital television that R is introducing - a process which has nearly been completed.

The Galician operator, that has almost 200,000 clients of whom 40,000 are companies, has already invested more than 470 million Euros in this project and has planned to offer its telecommunication services to another 45 Galician council areas before mid 2008.

About Nortel

Nortel is a recognized leader in delivering communications capabilities that enhance the human experience, ignite and power global commerce, and secure and protect the world's most critical information. Our next-generation technologies, for both service providers and enterprises, span access and core networks, support multimedia and business-critical applications, and help eliminate today's barriers to efficiency, speed and performance by simplifying networks and connecting people with information. Nortel does business in more than 150 countries. For more information, visit Nortel on
the Web at www.nortel.com. For the latest Nortel news, visit nortel.com/news

Web site: http://nortel.com/news

Source: Nortel

Jose-Luis Menoyo
+34-917094567
menoyo@nortel.com

Malu Bergantinos
+34-981911106
mbergantinos@mundo-R.net

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