China Telecom has signed a deal with Alcatel-Lucent that will see the French networking giant supply multimedia services to 120 million Chinese consumers in Shanghai, Shandong, Jiangsu, Zhejiang, Xinjiang and Sichuan.

Under the deal, Alcatelís Chinese subsidiary Shanghai Bell will deploy a fibre optic broadband access network across China Telecomís customer base, particularly in areas that are either unserved or underserved.

China Telecom is looking to upgrade its older PSTN (Public Switching Telephony Network) technology to an all-IP system that can provide fixed and mobile voice, IPTV and data services via a common platform.

Xu Sui, deputy genral manager at China Telecom, said: "This project with Alcatel-Lucent is a critical step in our transformation to a much more flexible, cost effective all-IP network,"

Rajeev Singh-Molares, Alcatel-Lucent's Asia-Pacific president, added: "The successful China Telecom trial and commercial deployment of our IMS solution in one of the world's largest marketsvdemonstrates that we can support the most demanding, fastest-growing operators."

Louise Duffy | 07-07-2011