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Edition: U.S. Article Comments (0) Follow Reuters Facebook Twitter RSS YouTube Read Two Swedes jailed for life for Philippine Internet porn 9:04am EDT Woody Allen film charms Cannes, Lady Gaga surprises | 2:35pm EDT Rajaratnam guilty on all insider trading counts | 4:44pm EDT Earthquake fever hits Rome as some fear "the big one" 11:51am EDT Gasoline slump drags oil prices to second big drop 4:25pm EDT Discussed 148 Obama at U.S. base to pay tribute to bin Laden mission 127 Boehner demands trillion-dollar cuts in debt deal 106 Son says bin Laden sea burial demeans family: report Watched Exquisite chocolate source rediscovered through DNA testing Tue, May 10 2011 Jetman rockets across Grand Canyon 4:16pm EDT U.S. and China find common ground on currency Tue, May 10 2011 Alcatel-Lucent says demand to remain strong in U.S. Tweet Share this By Leila Abboud and Marie Mawad PARIS (Reuters) - Telecom equipment maker Alcatel-Lucent (ALUA.PA) sees no end in sight to booming demand in the United States as major operators invest to keep up with a data overload driven by smartphones and... Email Print Related News Alcatel Q1 sales reveal U.S. dependence Fri, May 6 2011 GM profit soars but price incentives cloud outlook Thu, May 5 2011 Goodyear shares soar as profit beats Street Fri, Apr 29 2011 UPDATE 6-Potash Corp profit lifted by surging grain prices Thu, Apr 28 2011 Sprint pumps up revenue with new fees Thu, Apr 28 2011 Analysis & Opinion Deals wrap: AIG’s $9 billion stock offer less than half of what was expected Muni sweeps: Clouds for pretty Puerto Rico Related Topics Technology » Stocks By Leila Abboud and Marie Mawad PARIS | Wed May 11, 2011 2:59pm EDT PARIS (Reuters) - Telecom equipment maker Alcatel-Lucent (ALUA.PA) sees no end in sight to booming demand in the United States as major operators invest to keep up with a data overload driven by smartphones and streaming video. The company's first-quarter results last week were driven by strong sales in North America, prompting some investors to question whether Alcatel-Lucent was becoming too dependent on the region for growth. Tim Krause, the company's vice-president in charge of the United States, said operators like AT&T (T.N) and Verizon (VZ.N) had to keep investing because their networks lacked bandwidth to keep up with consumer demand. "Given the competitive landscape with AT&T and Verizon and the overall shortage of capacity, I would be shocked if they took their foot off the pedal in terms of investments," he said at an investor day held by Alcatel-Lucent on Wednesday. Krause, in charge of Alcatel-Lucent's relationship with AT&T, declined to say how many years the U.S. boom would last. The Franco-American company, which competes with market leader Sweden's Ericsson (ERICb.ST) and China's Huawei HWT.UL, saw its first-quarter sales in North America jump 40 percent from a year earlier. Some analysts pointed out that 90 percent of Alcatel-Lucent's sales growth came from North America in the quarter, with several saying that constituted a risk for the group's future. AT&T and Verizon alone account for nearly 20 percent of the company's overall sales, and about one-third of the group's revenues come from North America. What happens in the United States could go a long way to determining the success of Chief Executive Ben Verwaayen's turnaround plan for Alcatel-Lucent in its third and final year. On Wednesday, Verwaayen, who was brought in September 2008 to fix the group after a value-destroying merger, rebutted criticism that the company was too U.S. reliant. "We are selling where there is demand. Would you want us to do otherwise?" he said. Surfing the United States is helping Alcatel-Lucent's share price, as some investors bet that the long-struggling company has turned a corner. The shares are up more than 100 percent since the beginning of the year. They closed down 0.6 percent at 4.35 euros on Wednesday. (Editing by Mike Nesbit) Technology Tweet this Share this Link this Digg this Email Reprints We welcome comments that advance the story directly or with relevant tangential information. We try to block comments that use offensive language, all capital letters or appear to be spam, and we review comments frequently to ensure they meet our standards. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. Comments (0) Be the first to comment on reuters.com. Add yours using the box above. 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