MURRAY HILL, NJ -- The on-again, off-again merger talks between Lucent Technologies and Alcatel are on again. The two telecom companies disclosed last night that discussions are underway, but said there would be no further comment until a deal is complete or talks are called off.
"We can confirm that Lucent and Alcatel are engaged in discussions about a potential merger of equals that is intended to be priced at market," the joint statement said. "There can be no assurances that any agreement will be reached or that a transaction will be consummated. We will have no further comment until an agreement is reached or the discussions are terminated."

In early 2001, the two companies nearly pulled off merger that at the time was valued at $23 billion, but the talks fell apart in a disagreement over how much control Alcatel would have.

The New York Times on Thursday reported that Alcatel would be the buyer, paying about $12.6 billion. The Wall Street Journal used the same term as the companies -- "merger of equals" -- and valued the deal at $33 billion. Both papers said their information came from knowledgeable insiders.

Lucent is a leader in wireless technology, while Alcatel is a leader in DSL. The France-based Alcatel is also the world's largest provider of broadband Internet equipment.