AlcaLu has already announced a customer for the new GSM platform, which comprises its Twin TRX radio transceiver that doubles base station capacity and its ATCA-based BSC (base station controller). (See Kenya's Celtel Picks AlcaLu.)

    Despite the positive noises about better revenues and lower costs in the coming quarters, some analysts believe the company has a long way to go before it returns to consistent profitability.

    Dresdner Kleinwort analyst Per Lindberg has a price target of €8.00 on the stock, describing today's financials as "lackluster." The bank estimates that AlcaLu will deliver full-year 2007 revenues of nearly €18.4 billion ($25.2 billion) and a net loss of €818 million ($1.1 billion).

    Lindberg believes it will be 2009 before the company posts a net profit for a full year's trading.

    Alcatel-Lucent isn't the only recently merged vendor giant that's struggling to find its feet. Nokia Corp. (NYSE: NOK - message board) is set to report a net loss for its Nokia Siemens Networks infrastructure joint venture when it reveals its second-quarter earnings this Thursday, August 2.