Peoplesoft makes equity investment in Corio
PeopleSoft Names Corio A Preferred Application Service Provider Partner
PLEASANTON AND REDWOOD CITY, CALIF. (April 14) BUSINESS WIRE -April 14, 1999--
PeopleSoft makes equity investment in Corio; companies will cooperate to optimize PeopleSoft's applications for Internet rental
PeopleSoft today named Corio a preferred application service provider (ASP) partner for emerging organizations. According to the agreement, Corio has a long-term arrangement to provide application hosting and management solutions for PeopleSoft's line of enterprise applications.
The two companies will work together to optimize the performance of PeopleSoft applications in an application rental environment. Corio is a leading ASP specializing in enterprise applications for high-growth companies. PeopleSoft has also announced an equity investment in Corio as a key element of PeopleSoft's overall outsourcing strategy. The equity investment is intended to deliver a high level of integration and cooperation between the two companies, benefiting customers who choose an application service provider for their enterprise software needs. "Corio is already successfully managing PeopleSoft's suite of applications for a growing roster of exciting, fast-growing companies," said Michael Stankey, vice president and general manager, PeopleSoft Select. "Corio's expertise in engineering and supporting software over the Internet will help make our products available to a whole new group of customers."
Corio and PeopleSoft will participate in joint marketing and sales activities to promote the combined software and service offerings. PeopleSoft sales representatives will receive extensive training from Corio on the ASP model and its value to emerging and mid-market customers. The two companies' sales forces will cooperatively bring this solution to their customers. As a preferred partner, Corio can also sell and market PeopleSoft's software directly, delivering faster turn-around to its customers.
"Corio's preferred partner status with PeopleSoft demonstrates the significant, long-term investment both our companies are making to deliver world-class, Internet-based enterprise application services to our customers," said Ron Clarke, chief executive officer of Corio. "This preferred status is the highest compliment we could receive from our most valued partner."
Founded in 1998, Corio has quickly delivered "proof of concept" for the ASP industry by successfully completing the first implementations of this model. By remotely implementing and managing PeopleSoft applications at such leading high growth companies as Clarent, Excite and Vertical Networks, Corio has established its preeminence in the ASP market.
Corio remotely hosts enterprise applications on a fixed-fee basis, eliminating the need for growing mid-market companies to spend scarce resources on IT infrastructure. For a flat monthly fee, companies gain access to tier-one ERP applications -- such as PeopleSoft's -- through the Internet, without investing capital in hardware and software or hiring and retaining IT personnel.
PeopleSoft is among the first enterprise resource planning (ERP) vendors to partner with prominent application service providers. Last October, with the announcement of its Certified Outsourcing Partner Program, PeopleSoft built a comprehensive outsourcing strategy to meet the needs of its customers. Both Corio and PeopleSoft believe outsourcing allows a whole new range of companies to take advantage of enterprise applications.
Outsourcing allows companies to focus on and build their core competencies and competitive advantage without having to overcome the operational challenges and complexity of implementing new technologies and business processes. Many organizations today are considering the option to outsource both technical operations and business functions in response to market drivers such as globalization, deregulation and the emergence of new opportunities and resources. About Corio
Corio is the leading application service provider for growing companies. Corio provides a total solution including application recommendation, quick implementation, secure hosting and network infrastructure, 24x7 application support and ongoing application management. Solutions are targeted for emerging and mid-market companies needing to implement key applications that support their complex, dynamic operation requirements.
Corio is a pioneer in the ASP market and holds partnerships with other leading software, networking and hardware vendors such as Exodus, PeopleSoft and Sun Microsystems. Headquartered in Redwood City, California, Corio is backed by Kleiner Perkins Caufield and Byers and its KPCB Java Fund. More information on Corio is available at
www.corio.com. About PeopleSoft PeopleSoft (Nasdaq: PSFT) is a global supplier of enterprise application software for business and government. PeopleSoft solutions for manufacturing, supply chain, financial, project and human resource management are used by
more than 2,900 customers worldwide. Headquartered in Pleasanton, California, PeopleSoft employs more than 6, 600 people and had 1998 revenues of $1.3 billion. PeopleSoft is on the World Wide Web at www.peoplesoft.com. |
