Alcatel has posted higher-than-expected revenue growth for the second quarter thanks to increased demand for its communications gear.

Announcing prelim figures today, France-based Alcatel reported that Q2 revenues were up 8 per cent to €3.14bn (£2.2bn) buoyed by sales in IP routing, optical transmission and mobile communications. Diluted earnings per share will be €0.13 including a positive impact from tax income and one time capital gain.

Further details of the last three months are due to be published at the end of July.

Yesterday Alcatel announced it had won a "multi-million Euro contract" with new-kid-on-the-block local loop unbundling (LLU) outfit "Be".

Two weeks ago the UK broadband ISP announced ambitious plans to offer 24 meg broadband in London by installing its kit in BT telephone exchanges.

Speaking yesterday Be boss Boris Ivanovic said: "The Alcatel solution gives us a real advantage over our competitors.

"By working with Alcatel and exploiting its triple play expertise we can deliver the fastest speeds available, with a greater number of features and customer services unmatched by any competitors in the market."

Whatever. ®

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