PeopleSoft and IBM Expand Strategic Alliance in Higher Education; Agreement Provides Total Solution for Colleges and Universities

Business Wire, August 11, 2000

Business Editors/Hi-Tech Writers

PLEASANTON, Calif.--(BUSINESS WIRE)--Aug. 11, 2000

Global eBusiness leaders PeopleSoft Inc. (Nasdaq: PSFT) and IBM (NYSE: IBM), today announced an agreement to expand the companies' global sales, marketing, and development relationship around a comprehensive package of hardware and software designed to lower the cost and increase the speed of eBusiness implementations to the higher education community.

Together the companies will employ a unique conversion utility to ensure smooth migration from legacy systems to PeopleSoft's feature-rich, pure internet suite of products. This will allow colleges and universities to improve their services and more effectively manage their institutions.

"Our higher education customers want an offering designed for speed and ease of implementation, with the ultimate goal of cost savings," said Sean Rush, general manager, IBM Global Education. "PeopleSoft and IBM can now deliver a pre-configured and integrated enterprise solution especially designed for higher education."

Under this agreement, PeopleSoft and IBM will incorporate PeopleSoft's state-of-the-art eBusiness applications with the standards and technologies of IBM's Application Framework for eBusiness, a technology roadmap based on industry standards to help developers integrate internet technologies.

The PeopleSoft applications, specifically designed for the needs of the Higher Education market, include Student Administration, Advancement, Grants Management, Enterprise Performance Management, Human Resources Management, Financial Management, and eProcurement. IBM Application framework components include DB2 Universal Database, MQ Series messaging middleware, WebSphere Application Server, as well as IBM Netfinity, S/390 and RS/6000 servers.

The PeopleSoft and IBM offering of a pre-loaded, pre-configured technology is designed to ensure smooth migration to PeopleSoft.

Combining software, hardware and IBM's implementation services with the power of pure internet architecture, the PeopleSoft-IBM alliance is a unique package of solutions designed to address the industry-specific challenges academic institutions face as they aggressively implement eBusiness strategies and leave their legacy systems behind.

PeopleSoft and IBM have expressed an unprecedented commitment to the industry in the form of this solution. By teaming PeopleSoft's state-of-the-art eBusiness applications with IBM's leading technology in the hardware platforms, database and middleware markets, a broad range of customers will benefit.

Both companies are working on a broad PeopleSoft /IBM program, contributing heavily to full development, support and implementation to ensure its superiority and effectiveness.

"The IBM-PeopleSoft partnership aligns the resources of two world-class technology providers to the specific requirements of higher education," said Liz Dietz, vice president and general manager of PeopleSoft Higher Education. "The combination of PeopleSoft's pure internet applications and IBM's leading hardware, software and professional service support is without precedent and a unique value proposition for our higher education customers."

By teaming PeopleSoft's state-of-the-art eBusiness applications with IBM's leading services and technology infrastructure, a broad range of education customers will benefit. Examples of customers who have benefited significantly from the strength of the IBM - PeopleSoft relationship are Bryn Mawr College, University of St. Thomas, Maryland Institute College of Art and Frederick Community College.

All of these customers went live with PeopleSoft applications in a fraction of the time and expense traditionally associated with a complex ERP implementation.

The PeopleSoft relationship is an example of the strategic alliances IBM is forming with leading software solution providers through IBM's PartnerWorld for Developers ( http://www.developer.ibm.com) program. IBM is integrating its platforms with applications from developers to create best-of-breed, industry-specific customer solutions.

Developers select IBM middleware and servers as their leading development platforms and IBM Global Services as their preferred integration partners.

About PeopleSoft

PeopleSoft (Nasdaq: PSFT) is a leading provider of eBusiness applications that enable people -- customers, employees, and suppliers -- to power the internet. PeopleSoft's pure internet Customer Relationship Management, Supply Chain Management, and Enterprise Management solutions provide the industry's most open and flexible e-commerce platform.

PeopleSoft employs more than 7,000 people worldwide, including 2,400 eBusiness consultants. More than 4,500 organizations in 107 countries run on PeopleSoft eBusiness applications.

About IBM

IBM is the world's largest information technology company, with 80 years of leadership in helping businesses innovate. The fastest way to get more information about IBM is through the IBM home page at http://www.ibm.com

For more information or to request an interview please contact Kara Strazzella at Live Wire Media Relations by phone at (703) 519-1600 or by email at kstraz@livewiremr.com or Mike Azzi at IBM Media Relations at 212-745-6508 or azzi@us.ibm.com.