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Strategies & Market Trends : Graham and Doddsville -- Value Investing In The New Era

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To: porcupine --''''> who wrote ()10/6/1999 4:34:00 PM
From: porcupine --''''>  Read Replies (2) of 1722
 
IBM + ATT = eCommerce

Wednesday October 6, 7:51 am Eastern Time

Company Press Release

SOURCE: AT&T

AT&T and IBM Unite to Deliver E-Business
Solutions to Small- and Mid-Sized Businesses

IBM Technologies Powered by AT&T Connectivity Creates New Benchmark
for Internet Solutions

NEW YORK, Oct. 6 /PRNewswire/ -- AT&T (NYSE: T - news) and IBM (NYSE:
IBM - news) today announced a technology alliance to jointly develop,
market and distribute end- to-end e-business solutions for small- and
mid-sized businesses. The solutions will be delivered through IBM and
AT&T joint channel partners and will include IBM software, a choice of
IBM servers and managed Internet connectivity provided by AT&T.

The relationship brings together the two companies' networking and
technology experience to create comprehensive, scaleable Internet
solutions. IBM and AT&T will support an integrated distribution
channel to help the growing number of small- and mid-sized businesses
to build an Internet presence. According to Cahners In-Stat, small
businesses will increase their IT spending from $39 billion in 1998 to
$87 billion in 2002, and the number of small businesses implementing
e-commerce solutions (44%) actually exceeds that of large businesses
(36%).

The first set of solutions being made available under the alliance
provides customers with the IBM e-business Start Now solution
software, an IBM Netfinity*, AS/400* or RS/6000* server and IBM's
Business Partner customization services. AT&T will provide Internet
connectivity through its Managed Internet Access Service.

The initiative is designed to reduce the complexity of developing
customized solutions to support e-business. The turnkey solution will
enable customers to create a Web site and develop an electronic
catalog with secure e-commerce capabilities. This ``out-of-the-box',
simplified implementation enables Business Partners to provide an
affordable, scaleable and extendable solution at a starting target of
$35,000, plus Internet connectivity fees. Customers may also opt for a
lease arrangement with IBM Global Financing for a monthly cost of less
than $2,000. The solution is currently available in the United States.

AT&T's Managed Internet Service gives customers premier Internet
access without the burden of network management. AT&T manages the
customer's ``end-to-end' Internet connectivity at speeds of 56 Kbps
through 155 Mbs. Also included in the service are:

CPE lease, management, monitoring, and maintenance;
packet filtering;
primary and secondary domain name system administration;
network newsfeed; and
network usage reports.

``IBM studies show that small and medium businesses are looking for
convenience, cost-effectiveness and vendor confidence when they choose
an e-business solution,' said Jim Corgel, general manager of Internet
Service Provider Industry, IBM Global Industries. ``IBM and AT&T are
combining our vast resources to meet those needs while giving our
distributors a reliable and easy to implement e-business solution.'

Keith Olsen, vice president of Global Channel Management for AT&T,
added, ``Selecting a technology partner to help businesses manage the
complexity of their Internet storefronts just got easier. AT&T's
unmatched network scale and scope, combined with IBM's hardware and
software, enables businesses to leverage the competencies of two
industry leaders.'

The first distributor to deliver the IBM/AT&T solution is Savoir
Technology Group, Inc., a leading IBM midrange systems distributor
based on San Antonio, Texas. Savoir is offering its Solution Providers
training and technical support to ensure success with the initiative.
BMC Solutions, Inc., a Savoir Solution Provider, has already seen a
keen interest in the IBM/AT&T offering.

``Growing companies often have to divert precious resources from their
core businesses to tackle complex Internet technologies and multiple
vendors. By making its Business Partners the single point of contact
with the customer, and offering a comprehensive, brand name solution,
IBM and AT&T are delivering an attractive and cost-effective way to
help companies set up shop on the Internet,' said Donus Sroufe,
Executive Vice President, BMC Solutions. BMC recently implemented
wide-area, thin-client access for Holston Companies, Environmental
Services. The solution, which gave Holston's sales team remote office
access, included IBM's AS/400 and Netfinity servers along with AT&T
connection services.
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