USi and Niku Form Strategic Business Alliance to Deliver Application Service Solutions for Professional Services Automation

Business Wire, Sept 13, 1999

ANNAPOLIS, Md. and REDWOOD CITY, Calif.--(BUSINESS WIRE)--Sept. 13, 1999--

USi's New Business Unit to Deliver Full-Service Niku Solutions,

Enabling Professional Services Organizations

To Leverage Consulting Resources

USinternetworking Inc. (Nasdaq:USIX), the leading Application Service Provider (ASP), and Niku Corporation, the pioneering developer of web-based Professional Services Automation (PSA) software, today announced they have formed a strategic alliance to offer a new USi iMAP solution: USi Professional Services Automation, powered by Niku. Professional services organizations, such as IT consulting firms and management consulting firms, will now be able to take advantage of Niku's leading PSA solutions through USi's Application Service Provider model.

The USi/Niku full-service managed application offering will allow medium and large professional services organizations to more effectively leverage their consultants through a fully-outsourced solution tailored to and integrated across the organization's core business processes.

USi's PSA solution, powered by Niku, provides a complete, web-based platform for running all aspects of professional services organization. The solution automates key business functions, such as resource management, time and expense reporting, project accounting and billing, allowing individual consultants to spend more time working with clients and less on mundane internal tasks.

Organizations also gain the ability to more effectively store, manage, retrieve and reuse all forms of intellectual assets, such as documents, email, contracts and multimedia files, making it possible to leverage information and knowledge across the entire enterprise.

"Niku breaks new ground as a comprehensive solution for large and medium sized professional services organizations," said Christopher R. McCleary, Chairman and Chief Executive Officer of USi. "It offers the broadest functionality available today. This alliance is a great match because Niku's 100 percent web-based architecture is a perfect fit for the USi delivery model. We are proud to add Niku to our roster of best-of-breed software partners."

As with all its iMAP offerings, USi will provide extensive security capabilities to protect confidential client data for clients using the Niku solution, and a dedicated CLIENT Care team will ensure 24x7 client support. Managed through USi's Global Network of Enterprise Data Centers, leading-edge Internet architecture will ensure fast access for clients using the Niku product around the clock. USi's RAPID iMAP Methodology will ensure the solution is implemented quickly for clients. The full service offering will be delivered for a flat monthly fee.

"USi's Internet outsourcing model represents the wave of the future for the way organizations buy and use enterprise solutions," said Farzad Dibachi, Chairman and Chief Executive Officer, Niku Corporation. "USi's capabilities, combined with Niku's pure-Internet solutions for professional services organizations, will deliver the ultimate in ease-of-installation and time-to-benefit for professional services organizations looking to more effectively leverage their people and intellectual assets."

USi Establishes Business Unit to Deliver Niku Solutions

USi has established the Niku Business Unit to manage the new Niku-based iMAP solution, providing clients with a one-stop solution, which leverages the benefits of the Niku software and the USi outsourcing model. "The pairing of Niku's innovative solution with USi's application management and hosting services enables professional services firms to optimize organizational effectiveness through the reuse of intellectual assets and to improve billable utilization," said Sharon O'Neill, Managing Director of USi's Niku Business Unit. "Our full-service implementation and support model allows clients to leave the solution to us and focus on their core business: providing services to their clients."

Consulting organizations will benefit from easy remote access through the USi Global Network. This availability is guaranteed by USi's industry-leading service level agreements, and USi can quickly scale the solution to accommodate growth."

About Niku Corporation

Niku Corporation builds innovative business portals and enterprise application solutions that help professional services organizations and independent professionals leverage their most vital assets: people and intellectual capital. Niku solutions are the choice of leading global corporations such as Sybase (SYBS), Walker Interactive Systems, Inc. (WALK), the Vantive Corporation (VNTV) and SE Technologies and of thousands of independent professionals around the world.

Niku Corporation is the leading provider Professional Services Automation (PSA) software solutions. The company is privately held and can be found on the web at www.niku.com.

About USinternetworking Inc.

Headquartered in Annapolis, MD, USinternetworking Inc. (Nasdaq:USIX) is the leading Application Service Provider (ASP) outsourcing business applications over the Internet for a flat monthly fee. USi's iMAP(SM) services allow companies to quickly deploy enterprise applications without the associated cost and burden of owning, managing or supporting the applications or underlying infrastructure. USi has built its own global network of enterprise data centers-a Cisco-Powered Network-to interconnect with major Internet backbone providers through contractual PriorityPeering(SM) relationships that ensure fast and reliable connections. USi's data centers incorporate EMC (NYSE: EMC) Enterprise Storage systems and software to provide nationwide data mirroring and recovery. USi's suite of Internet Managed Application Provider(SM) (iMAP) offerings ensures the fastest implementation possible, allowing customers to focus on their core business. IMAP services include: Financial Management and Human Resources, powered by PeopleSoft and Lawson; Enterprise Relationship Management, powered by Siebel Systems; Electronic Commerce, powered by BroadVision and Microsoft; Business Intelligence, powered by Sagent Technology; Professional Services Automation powered by Niku; and USi Web Site Management.