Tesco Moves Forward With Microsoft

REDMOND, Wash., and CHESHUNT, England, July 17, 2001 — Microsoft Corp. and Tesco today announced that Tesco, the United Kingdoms No. 1 grocery retailer, is moving to Microsoft® Windows NT® Embedded 4.0 operating system as the common operating platform for its point-of-sale system, taking full advantage of existing and future technology for its mission-critical, customer-contact activity.

“Tesco is focused on doing an ever-better job for customers and has a reputation for using leading-edge technology to accomplish this,”
said Colin Cobain, UK IT director for Tesco.
“Our point-of-sale system is central to keeping us at the forefront of retail. As it is the key technology that interacts with the customer, handling virtually all our revenue, it is important that going forward we work on a system that is flexible, responsive to market change, reliable, well-supported and will cost-effectively meet our expectations. Microsoft offers us that guarantee.”

Tesco has systems based on MS-DOS® and Windows NT working across its business that cover both stores and petrol stations. With the state-of-the-art embedded solutions from Microsoft, Tesco will be able to swiftly standardize its point-of-sale technologies, providing one business solution with a single code base running on Windows NT, Windows NT Embedded 4.0 and Windows® 2000.

“There is obviously a tremendous advantage in having one common technology platform that will enable us to add new functionality easily and enhance the services we can offer to our customers on a totally global basis,”
Cobain said.

During a review of its point-of-sale systems, Tesco considered a number of operating platforms, including Linux, before deciding that Microsoft offered the best option in the fast-moving retail environment.

With the Windows NT Embedded 4.0 solution, Tesco can develop its future technology using existing tills, avoiding a rip-out-and-replace scenario, while leaving room to migrate. A bonus is that a common system is more efficient from an employee productivity perspective because staff members can be moved easily from stores to petrol stations without additional training.

“The Tesco maxim is: Better for the customer, simpler for staff, and cheaper for Tesco,”
Cobain said.
“The Microsoft deal is a classic example of this.”

Implementation of the new platform will start in autumn 2001. The pilot project will grow to a rollout across 24,000 tills internationally.

“The decision to move to Windows NT Embedded 4.0 further cements Microsofts relationship with Tesco, as our online business uses Microsoft technology,”
Cobain said.
“Tesco.com, the worlds largest online grocery retailer, already leverages Microsoft .NET Enterprise Servers, and we are reviewing the potential for wider adoption of the .NET vision within the store business.”

Microsoft is equally excited about the Tesco relationship.
“Tescos selection of Microsoft further endorses Microsofts ongoing commitment to retail worldwide and our promise to deliver lasting return on investment for retailer technology,”
said Rebecca Kaske, director of retail and supply chain for Microsoft.
“We are happy to support one of the worlds leading retailers in its efforts to further deliver customer satisfaction and meet its technology needs in todays demanding retail environment.”

About Windows NT Embedded 4.0

Windows NT Embedded 4.0 is the full-featured, embedded operating system for PC architecture-based solutions demanding the richest applications and services. The Windows NT Embedded 4.0 operating system and toolset uses the PC architecture and the full breadth of Windows NT 4.0 services and features, thus making it possible to rapidly build a powerful and feature-rich embedded system. Windows XP Embedded, the next generation of Windows NT Embedded 4.0, is currently in development and entered the beta 1 phase on Dec. 15, 2000. Windows XP Embedded will ship within 90 days of the launch of the general purpose client platforms.

About Microsoft. NET

Microsoft .NET is the framework that will enable businesses and their customers to communicate any time. Microsoft .NET enables users to interact with a broad range of smart devices via the Web, while ensuring that the user, rather than the application, controls the interaction. Microsoft .NET makes the user experience with applications, services and devices personalized, simple, consistent and secure.

About Tesco

Tesco has 678 stores and is the largest food retailer in the United Kingdom, with 15.6 percent of the food market. In addition Tesco operates the following:

  • 76 stores in the Irish Republic

  • 45 stores in Hungary

  • 40 stores in Poland

  • 12 stores in the Czech Republic

  • 11 stores in Slovakia

  • 1 store in France

  • 24 stores in Thailand

  • 7 stores in South Korea

  • 1 store in Taiwan

Tesco is seen as the most innovative food retailer in the market and is committed to delivering a high standard of customer service. Tesco believes in listening to customers and offering an excellent range of high-quality products at great-value prices.

About Microsoft

Founded in 1975, Microsoft (Nasdaq
) is the worldwide leader in software, services and Internet technologies 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, MS-DOS and Windows are either registered trademarks or trademarks of Microsoft Corp. in the United States and/or other countries.

The names of actual companies and products mentioned herein may be the trademarks of their respective owners.

Note to editors: If you are interested in viewing additional information on Microsoft, please visit the Microsoft Web page at http://www.microsoft.com/presspass/ on Microsofts corporate information pages.

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