Cyber security: strategic partnership between Alcatel-Lucent, Thales


The contemplated agreement would see Thales acquire Alcatel-Lucent’s cyber security services and communications security activities.

Key points:
* Contemplated agreement would see Thales acquire Alcatel-Lucent’s cyber security services and communications security activities.
* Thales would commit to providing services to Alcatel-Lucent for its customers’ needs.
* Alcatel-Lucent will continue to develop advanced security features in its portfolio of IP and ultra-broadband access products.
* Finally, with this strategic partnership, Alcatel-Lucent strengthens its commercial offering in the field of secured networks.

Thales (Euronext Paris: HO) and Alcatel-Lucent (Euronext Paris and NYSE: ALU) have entered exclusive negotiations for the consideration by Thales of acquiring the cyber security services and communications security activities of Alcatel-Lucent as part of a strategic partnership to provide end-to-end solutions for securing networks.

The contemplated partnership, including the transfer of Alcatel-Lucent’s network security assets to Thales, will enable Alcatel-Lucent to expand its commercial proposition in cyber security, a stated intention of The Shift Plan announced last year. Alcatel-Lucent will be able to offer existing and new customers highly secured end-to-end network security solutions, combining its integrated security expertise in telecommunication products with complementary services provided by Thales. In return, Thales will grow its business in cyber security, further consolidating the knowledge and expertise of its teams, which is already world-class in this field.

The partnership is subject to a final, definitive agreement, and will become effective after the consultation of representative bodies, the execution of definitive agreements and obtaining necessary permissions.

Alcatel-Lucent’s cyber security services and communications security activities are mainly located at three sites in France – Villarceaux, near Paris, Toulouse, and Orvault near Nantes – and in three other European countries (Germany, Belgium, UK).

Commenting on the contemplated agreement between the two companies, Jean-Bernard Lévy, chairman and CEO of Thales, said: “With this strategic partnership, Thales strengthens its position in cyber security and consolidates its position as European leader in this strategic sector. This investment responds to the growing ambition of Thales in promising sectors of security, in order to offer solutions that ensure the integrity and resilience of its customers’ information systems. This agreement realises a strategic partnership between two global companies, with similar backgrounds, and will allow for a shared and coherent approach to cope with cyber security issues.”

Michel Combes, CEO of Alcatel-Lucent, added: “Following the partnerships signed with Qualcomm and Intel, this strategic partnership with Thales illustrates Alcatel Lucent’s strategy to reposition itself as a specialist in IP networks, cloud technologies and secured ultra-broadband access. Cyber security is of strategic concern to our customers, and to networks in general. By partnering with Thales for related services, we will be able to offer a comprehensive world-class expertise in network security.”