PRESS RELEASE: VerticalNet, Microsoft In Agreement >VERT
26 Apr 18:02
VerticalNet Announces New Microsoft
Agreement to Support Supplier Enablement Product Expansion; Adoption
of Microsoft Platform
HORSHAM, Pa.--(BUSINESS WIRE)--April 26, 2001--
New Agreement Creates Multiple Public and Private Marketplaces
Through Combination of VerticalNet's Rich Base
of Supplier Networks and Microsoft Platform
VerticalNet, Inc. (Nasdaq: VERT) today announced an agreement with Microsoft
Corp. (Nasdaq: MSFT) that will direct significant resources towards the
development, marketing and support of an enhanced set of VerticalNet's hosted
supplier enablement product offerings for medium and small businesses.
VerticalNet will combine its rich supplier network base with the Microsoft
platform, and Microsoft bCentral small business hosted applications, to deliver
on its plan to become the leader in the creation of private marketplaces that
connect large buyers to networks of enabled suppliers. The agreement replaces
the existing co-marketing agreement, launched in April 2000, and VerticalNet
believes it will accelerate the development and distribution of VerticalNet's
new generation of robust supplier enablement customer solutions, and allow for
a deeper alignment with VerticalNet's supplier enablement vision.
"I am delighted that our relationship with Microsoft continues to evolve and
excited at our newly enhanced ability to utilize Microsoft's incredible
resources in support of VerticalNet's vision of becoming more of a software
product-based company," said Mike Hagan, President and CEO of VerticalNet.
"This agreement gives us the flexibility to focus more tightly on areas where
we're strongest and where we have the most positive upside growth
potential--namely, our plan to leverage our twenty-thousand-plus supplier
network base to become the leader in providing supplier enablement solutions.
Our relationship with Microsoft is enhanced with this new agreement because it
helps speed our efforts in evolving our product offerings to provide the most
powerful set of hosted supplier enablement tools on the market, while still
continuing to take advantage of Microsoft's software and marketing strength in
a way that strategically positions both companies to capitalize on this largely
untapped opportunity."
"We are pleased that our relationship with VerticalNet continues to deliver
significant value," said Jeff Raikes, Microsoft Group Vice President,
Productivity and Business Services. "VerticalNet's impressive base of supplier
relationships continues to lead the industry. We look forward to assisting its
efforts to develop products that enhance those relationships, while spreading
the adoption of the Microsoft .NET platform in its supplier base."
"And, in keeping with our financial goals, this new agreement enables
VerticalNet to reduce expenses inherent in the original agreement while
maintaining a high level of visability for future revenue from Microsoft,"
continued Hagan.
This new agreement coincides with the strategic roadmap laid out today by
VerticalNet for becoming a leader in the creation of private marketplaces that
connect large buyers to networks of enabled suppliers. VerticalNet is
leveraging its heritage and core technology assets to capitalize on
enterprises' needs for supplier enablement, a market that has been largely
ignored by buy-side and e-marketplace vendors. Unlike other B2B e-commerce
software providers who primarily focus on buyers' needs, VerticalNet has proven
expertise in providing value to commerce-enabled suppliers. VerticalNet's
solutions provide content management software, infrastructure, and growth
opportunities that are expected to substantially increase the value suppliers
gain by participating in enabled supplier networks.
About VerticalNet, Inc.
VerticalNet, Inc. (Nasdaq: VERT) is the Internet's leading e-business
enabler. It provides suppliers and buyers with robust software solutions and
Web-based commerce services. Through its creation of private marketplaces that
connect large buyers to networks of enabled suppliers, and its development of
e-commerce tools for small and medium-sized suppliers, the Company provides
businesses with an integrated e-commerce platform to effectively drive their
improved performance. Founded in 1995, VerticalNet, Inc. is an innovator in
business-to-business solutions. For more information about VerticalNet, Inc.,
please visit www.verticalnet.com.
Cautionary Statement Regarding Forward-Looking Information
This announcement contains forward-looking information that involves risks
and uncertainties. Such information includes statements relating to: (i)
VerticalNet's strategy and business model; (ii) the anticipated benefits and
results of the new agreement between VerticalNet and Microsoft; (iii) Microsoft
and VerticalNet's future performance under their new agreement; (iv)
VerticalNet's plan to become the leader in the creation of private marketplaces
that connect large buyers to networks of enabled suppliers; (v) VerticalNet's
belief that the new agreement will accelerate the development and distribution
of VerticalNet's supplier enablement solutions and allow for a deeper alignment
with VerticalNet's supplier enablement vision; (vi) VerticalNet's ability to
utilize Microsoft's resources in support of VerticalNet's vision of becoming
more of a software product-based company; (vii) VerticalNet's growth potential
through its plan to leverage its supplier network base to become the leader in
providing supplier enablement solutions; (viii) VerticalNet's goals of
providing the most powerful set of hosted supplier enablement tools on the
market and continuing to take advantage of Microsoft's software and marketing
strength; (ix) VerticalNet's ability to meet its revenue and expense-related
goals through the new agreement; (x) VerticalNet's expectation that its
solutions will increase the value suppliers gain by participating in enabled
supplier networks; and (xi) statements that are preceded by, followed by or
include the words "will," "believes," "plans," "intends," "expects,"
"anticipates," or similar expressions. For such statements, VerticalNet claims
the protection of the safe harbor for forward-looking statements contained in
the Private Securities Litigation Reform Act of 1995. Actual results may differ
materially from the results predicted, and reported results should not be
considered as an indication of future performance. Factors that could cause
actual results to differ from those contained in the forward-looking statements
include, among other things, general economic and market conditions, the
slowing spending environment for advertising and IT sales, volatility in
VerticalNet's stock price, VerticalNet's limited operating history, the early
stage of the Web as an advertising and commerce medium, dependence on
VerticalNet's relationships with Microsoft, Converge and other strategic and
joint venture partners, foreign government regulations, including regulations
relating to the Internet, rapid technological and market changes, and
VerticalNet's dependence on advertising revenues and on third parties for
technology, content and distribution, as well as those factors set forth in
VerticalNet's Annual Report on Form 10-K for the period ended December 31,
2000, which has been filed with the SEC. VerticalNet is making these statements
as of April 26, 2001 and assumes no obligation to publicly update or revise any
of the forward-looking information in this announcement.
VerticalNet is a registered trademark and/or trademark of Vert Tech LLC in
the United States and/or other countries.
CONTACT: VerticalNet
Investor Relations
Muriel Lange, Director of Investor Relations
215/315-3367
Mlange@verticalnet.com
or
Media Relations
Nyssa Tussing, Vice President, Corporate Communications
215/315-3710
Ntussing@verticalnet.com
KEYWORD: PENNSYLVANIA
INDUSTRY KEYWORD: COMPUTERS/ELECTRONICS INTERNET SOFTWARE
MARKETING AGREEMENTS
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(END) DOW JONES NEWS 04-26-01
06:02 PM
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