Melinda Mattei, USWeb/CKS, 650/558-0890
mmattei@uswebcks.com
USWeb/CKS Introduces Standardized Architecture for Managed Applications -- Accelerates Time-to-Value for Customers
Microsoft to provide $67.5 million for the development of USWeb/CKS standardized managed application services architecture
San Francisco - September 28, 1999 - USWeb/CKS (Nasdaq: USWB), a leader in Internet professional services, today introduced the USWeb/CKS Internet framework (iFrame™), a new approach to building managed applications for customers. iFrame will provide a standardized architecture for building, deploying and managing fully integrated Internet business applications. Through its Managed Services group and professional services capabilities, USWeb/CKS will deliver standard and custom iFrame-based applications to help companies more easily scale and adapt their businesses to the demands of the rapidly evolving digital economy.
In the digital economy, companies have to adapt quickly to survive. The challenges they face are the need for rapid deployment of integrated applications, global 24x7 operations, the shortage of IT professionals and huge capital outlays required to build today’s Web-centric IT infrastructures. USWeb/CKS gives companies another way to address these concerns by providing a standardized architecture that delivers a long-term, scalable, sustainable platform for growth that helps ensure E-Success™.
Microsoft Funding
Microsoft will provide $67.5 million over the next 12 months to fund USWeb/CKS’ efforts to develop and market iFrame-based managed application services and technologies. Beginning in 18 months, USWeb/CKS will pay Microsoft royalties on service offerings involving these technologies. In addition, for a separate payment by Microsoft of $14.9 million, USWeb/CKS will issue to Microsoft a warrant to purchase one million shares of USWeb/CKS common stock at a fixed purchase price of $27.59 per share at any time over the next five years. More information about the Microsoft investment can be found in the related press release issued today titled, “USWeb/CKS and Microsoft Expand Strategic Alliance to Deliver the USWeb/CKS Internet Framework.”
“USWeb/CKS is once again defining leadership in this market by delivering solutions that help companies succeed in the new economy,” said Robert Shaw, CEO, USWeb/CKS. “Internet professional services firms must offer a holistic approach when implementing comprehensive e-business solutions — incorporating everything from overall strategy and marketing to complete technology solutions that make the strategy a reality. USWeb/CKS has widened the gap from the competition in doing this, evolving the model for Internet professional services by delivering a standardized architecture for managed applications. The introduction of this architecture broadens our ability to address our clients’ needs, from high-end custom solutions to managed applications, ensuring they will receive maximum, recurring Time-to-Value from their e-business initiatives.”
Shaw continued, “Managed Services gives USWeb/CKS a competitive advantage because we are able to deliver more value to customers, with improved interoperability and decreased technology risks, at a lower cost — this translates into longer-term client relationships and a financial advantage for our company.”
“Service firms that offer managed applications are able to quickly and affordably implement Internet business solutions,” said Meredith McCarty Whalen, program manager for International Data Corporation’s Internet Services and ASP program. “Managed applications that are integrated with a company’s e-business strategy and existing systems help to ensure that companies can scale efficiently as they evolve to meet market needs. We believe implementing managed applications on top of a standardized architecture will facilitate delivery of an integrated solution.”
Based on Microsoft® Windows® Distributed interNet Architecture (Windows DNA) 2000, USWeb/CKS’ iFrame is a combination of standards, application components, methodologies and tools that provides the essential architecture for e-business. Windows DNA 2000 is a comprehensive, integrated platform for building and operating state-of-the-art distributed Web applications and Internet-based Web services. iFrame is expected to provide a robust, scalable platform for the USWeb/CKS Internet Application Management System (iAMsystem™).
USWeb/CKS iAMsystem: “The Essential System for E-Success”
An iAMsystem will encompass an unparalleled range of both packaged and custom Internet business services and interoperable line-of-business applications —including solutions for Communications and Knowledge Management, e-Commerce, Customer Relationship Management and Back Office. Leveraging iFrame, iAMsystems can be rapidly and cost-effectively deployed, scale easily and integrate seamlessly with new and legacy business applications. All applications included in an iAMsystem will be accessible through a single Web-based on-ramp called iAMportal™. In addition, iFrame is designed to help ensure 24x7x365 availability of an iAMsystem by providing a single management interface that enables proactive management of the network infrastructure and application services.
“While many of our competitors focus on providing suites of disconnected features and applications to try to keep up with customer demand, we’re giving customers a standardized platform that integrates those features and adds value,” said Alex Hawkinson, senior vice president, USWeb/CKS Managed Services. “Standalone managed applications can only provide a small, isolated piece of a company’s overall e-business solution. Our standardized architecture combines both standard and custom applications and services to help companies deploy complete solutions that best suit their needs in the fastest, most cost-effective way possible.”
Ensuring 24x7x365 Operations through iAMcontrol™
Ensuring integrated management of the infrastructure, servers and applications, iAMcontrol is the USWeb/CKS command center for managing the mission-critical business systems that make up a client’s iAMsystem. iAMcontrol will feature a state-of-the-art Global Network Operations Center (GNOC), a leading-edge call center and customer help desk, and an executive briefing center, now under development. USWeb/CKS hosts and manages iAMsystems from its two large-scale data centers located in Santa Clara, Calif., and Herndon, Va. A third data center, based in London, UK, is planned to be operational in Q2 of 2000. The experienced Managed Services staff works 24x7x365 to proactively monitor and respond to issues with the goal of identifying and resolving issues before a customer even knows they exist.
Pricing and Availability
iAMsystem applications for Communications and Knowledge Management and e-Commerce, built on iFrame, are expected to be available in Q4 1999.
Pricing is set on a per-month subscription basis. For more information, contact USWeb/CKS at 301/718-6111 x291 or managedservices@uswebcks.com.
About USWeb/CKS
USWeb/CKS (Nasdaq: USWB) seeks to transform businesses in the digital economy and create sustainable market leadership for its clients. As a leading Internet professional services firm, USWeb/CKS has created a new standard for success in the digital economy ¾ Time-to-Value. Time-to-Value means USWeb/CKS applies its extensive insight, experience and scale to deliver breakthrough results quickly. The Company is headquartered in San Francisco, California, with more than 3,800 professionals in over 50 locations worldwide. Additional information about USWeb/CKS is available by calling 415/284-7070 or 612/995-8964 (International).
This press release contains “forward-looking statements” (as defined under securities laws) regarding iFrame development and implementation, iFrame-based applications, Microsoft’s planned contributions, the iAMsystem, the iAMportal, the iAMcontrol, planned operations of data centers and availability of iAMsystem applications. USWeb/CKS’ actual results may differ materially and adversely from those discussed in this press release. Key factors that may cause such a difference include, without limitation, risks associated with implementation of new product and service offerings, risks regarding market acceptance, developing and working well within an expanded USWeb/CKS-Microsoft relationship, technical challenges and costs associated with the introduction efforts outlined here. For additional information about factors that could affect the Company’s business, see the documents filed by the Company with the United States Securities and Exchange Commission.
USWeb/CKS, iFrame, iAMsystem, iAMportal, iAMcontrol and E-Success are trademarks of USWeb Corporation in the U.S. and other countries.