Microsoft and Cisco Collaborate to Provide ASPs With End-to-End Solution for Deploying Hosted Applications and Services

REDMOND, Wash., and SAN JOSE, Calif., Oct. 26, 1999 — Microsoft Corp. and Cisco Systems Inc. today announced they will collaborate to provide application service providers (ASPs) with an end-to-end solution for deploying outsourced applications and services. The two companies are delivering industry-leading infrastructure and support while working with independent software vendors (ISVs) such as Clarus Corp., Great Plains and Pivotal Corp. to provide specific service offerings to midsize businesses in corporate purchasing, business management and customer relationship management, allowing ASPs to offer these services to customers.

Today’s announcement enables midsize companies to leverage these powerful business applications with minimal IT resources. Hosted applications give customers an alternative to the resource-intensive process of deploying and managing complex applications internally by providing a cost-effective scalable method to rapidly deploy solutions with a reduced initial investment.

To ensure that customers receive the highest level of expert support, Microsoft and Cisco have formed alliances with best-in-class ASPs, enabling them to rapidly and reliably deploy services and applications to customers. These ASPs are able to meet customer expectations for reliability, security and performance by deploying hosted application solutions on Cisco Systems’ intelligent networking infrastructure and the Microsoft® Windows NT® Server operating system. Building on a series of partnerships, equity investments and pilots, these ASPs now offer a wide variety of application hosting services on the Windows NT Server platform, Microsoft SQL Server TM 7.0 database, Site Server Commerce Edition and Cisco networking solutions.

“We are excited about the opportunity to work with Cisco, as well as several leading ISVs and application hosting providers, to better meet customer demand for integrated hosted solutions and business services based on the Microsoft BackOffice® family and Cisco networking solutions,”
said Thomas Koll, vice president, Network Solutions Group, Microsoft.
“To accelerate the deployment of services, ASPs can leverage Microsoft and Cisco’s combined expertise and programs in regard to marketing, operations and sales.”

Customers will also benefit because the installation process will be simplified, allowing them to concentrate on their core business competencies. The Microsoft and Cisco alliance enables ASPs to offer other value-added services, such as business, commerce and knowledge management services, that differentiate their solutions in the industry. The teamwork between Microsoft, Cisco, the ISVs and the ASPs also will streamline the implementation and management of hosted application services for customers, resulting in reduced total cost of ownership.

“Microsoft and Cisco, together with our ISV teammates, have opened new customer segments for ASPs, allowing customers to implement new technology solutions that will enhance their business productivity,”
said Eugene Lee, vice president of marketing for Cisco Systems’ Small/Medium Line of Business.
“Our efforts today build on Microsoft’s participation in the Cisco Hosted Application Initiative, which is designed to provide businesses of all sizes with access to powerful applications that were previously beyond their reach. It also creates an emerging ecosystem of technology partners that are best able to meet customer needs.”

Packaged Services Provide ASPs With a Framework for Deploying Hosting Solutions

Starting today, ASPs interested in offering business services as part of an end-to-end hosting solution for midsize customers can download deployment kits designed to accelerate their ability to provide services for corporate purchasing, business management and customer relationship management. Each deployment kit includes a customizable sales presentation, a customer demonstration, an integrated software and hardware configuration and installation guide, and a partnership sales guide, as well as a technical white paper (
“End-to-End Platform for ASPs”
) on how to deploy these services within an intelligent network infrastructure and server configuration that scales to meet customer needs. More information on the deployment of these services is available at or .

To date, these services are offered by the following application hosting service providers: Data Return Corp., DIGEX Inc., FutureLink, Interliant Inc., QWEST Cyber.Solutions, The Taylor Group and USInternetworking Inc.

“Microsoft and Cisco’s grasp of the speed and direction in which this market is developing is reflected in their internal commitment,”
said Clare Gillan, vice president, Applications and Information Access, International Data Corp.
“These new services are creating a framework for deploying line-of-business and commerce services through ASPs to help meet the needs of customers wanting rapid deployment and better cost and performance.”

About Cisco Systems

Cisco Systems (Nasdaq
) is the worldwide leader in networking for the Internet. Cisco news and information are available at .

About Microsoft

Founded in 1975, Microsoft (Nasdaq
) is the worldwide leader in software for personal and business computing. The company offers a wide range of products and services designed to empower people through great software – any time, any place and on any device.

Microsoft, Windows NT and BackOffice are either registered trademarks or trademarks of Microsoft Corp. in the United States and/or other countries.
Cisco, Cisco Systems and the Cisco Systems logo are registered trademarks of Cisco Systems Inc. in the United States and other countries. The use of the word
does not imply a partnership between Cisco and any of its resellers.

Other product and company names herein may be trademarks of their respective owners.

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