NTT and Microsoft Collaborate on SaaS Over NGN

TOKYO — Dec. 10, 2008 — Microsoft Corp. and Nippon Telegraph and Telephone Corp. (NTT) have agreed to launch discussions on strategic collaboration aimed at creating services that integrate networks with applications.

The two companies aim to develop innovative services by working together on the integration of Microsoft applications with NTT’s information and communication technology (ICT). As one aspect of this collaboration, NTT and Microsoft will jointly consider the implementation of software as a service (SaaS)-based businesses on the NTT Group’s SaaS platform, in which Microsoft would participate as an application partner.

The NTT Group is actively expanding its Next-Generation Network (NGN) and mobile communications-based ICT infrastructure and is working with its many partners to realize its new medium-term management strategy, Road to Service Creation Business Group, for the creation of new broadband and ubiquitous services. It is also driving the implementation of SaaS over NGN — the provision of convenient SaaS using a highly reliable SaaS platform — for all kinds of users, from individuals to businesses and government organizations.

Microsoft aims to create user experiences that combine the power of software with the power of Internet services across a world of devices. With its software-plus-services model, Microsoft is helping enhance customer benefits by combining the functionality of conventional software with the utility of SaaS and cloud-based services.

The two companies have put together a team composed of personnel from the NTT Group and Microsoft to jointly consider the development of SaaS-based businesses with a view to global implementation.

“As a company that understands the transformation that is taking place in Japan’s network environment and the value and potential of Next-Generation Networks, Microsoft is a valuable partner for us,” said Noritaka Uji, senior executive vice president at NTT. “As we enter the age of NGN-based SaaS and cloud computing, we have high expectations that our collaboration will spur the development of powerful applications that make full use of the merits of NGN and produce results that contribute to enhancing the productivity of Japanese businesses and the ICT-driven development of society. We will continue in our efforts to become a Service Creation Business Group through promoting open collaboration with our partners.”

“Microsoft’s services business model enables choice for our customers and partners by combining the rich experience of locally run software and the extensive capability of online services,” said Kevin Turner, chief operating officer at Microsoft. “Our vision offers the power of choice to our customers and partners, providing flexibility for where and how the information is stored and utilized — on-premises, hosted by a partner or hosted by Microsoft. To bring this vision to life, we rely on strong partners, such as NTT, that have the extensive network infrastructure that is imperative to giving customers and partners the best experience with this technology.”

About NTT

NTT Group is the largest provider of fixed and mobile voice related services, IP/packet communications services, sales of telecommunications equipment, system integration and other telecommunications related services in Japan and operates one of the largest telephone networks in the world.

About Microsoft

Founded in 1975, Microsoft (Nasdaq “MSFT”) is the worldwide leader in software, services and solutions that help people and businesses realize their full potential.

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