Alcatel-Lucent and Hewlett-Packard said they would combine to sell a range of products for the enterprise market under a 10-year deal in which sales will flow through HP resellers or as a managed-services offering from the two companies, which have yet to officially seal the deal. Among the products in Alcatel and HP's portfolio -- aimed mainly at large and medium enterprises and service providers -- are those for IP telephony and unified communications as well as for security and contact centers.
Alcatel and Lucent Technologies said they have a plan in place to protect sensitive information related to Lucent's classified work for the U.S. government. The statement followed a letter to President George W. Bush from House Armed Services Committee Chairman Duncan Hunter expressing "grave concerns" over the companies' proposed merger.
Alcatel and Lucent Technologies are taking extra steps to avoid getting their proposed merger caught up in a political firestorm over national security issues. Perhaps the most extraordinary aspect of the deal is a plan to form a U.S. subsidiary to oversee "sensitive" projects managed by Lucent's Bell Labs. Former Defense Secretary William Perry, former CIA Director James Woolsey and past National Security Agency Director Kenneth Minihan will manage the spinoff.