The new job cuts will bring the total to 16,500 and affect its workforce in countries such as France.

Alcatel-Lucent said it would make extra savings of €400 million ($576.2 million) in gross margin and comparable operating expenses by the end of 2009, bringing the total to €2.1 billion.

It confirmed it would make €600 million in savings in 2007 but did not give specific forecasts for 2008.

The measures, which were largely expected, came after Alcatel-Lucent announced an above-forecast third-quarter adjusted operating profit.

Alcatel-Lucent posted an adjusted operating profit of €70 million ($100.8 million) for the three months to September 30 against an operating profit of €430 million last year and expectations of a €2.1-million operating loss.

The operating profit figure excludes restructuring costs, impairment of assets, disposals and post-retirement benefit plan changes as also the cost of Alcatel''s acquisition of Lucent.

Unadjusted, the group made an operating loss of €379 million in the third quarter and a net loss of €318 million.

Alcatel-Lucent said full-year sales would be flat at constant exchange rates - at the low end of its forecast range of "flat to slightly up" set last month.

"We are seeing fairly recently some further signs of softness with respect to spending, again predominantly in North America," chief executive Patricia Russo said.

Alcate-Lucent, which is the leading provider of ADSL fixed-line equipment for broadband internet, telephony and TV broadcasting, stands third worldwide for mobile infrastructure behind Ericsson and Nokia Siemens Network.