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Motorola and IBM Partner to Help Automakers Put the Wireless Web On the Road

Companies Team to Give Auto Industry End-to-End Telematics Capabilities

DETROIT - 13 Jan 2000: -- IBM and Motorola are joining forces to accelerate the technology that will help automakers bring a variety of wireless and Web-based services to drivers and passengers worldwide. Announcing their strategic relationship today, the two companies will work together to provide the end-to-end resources that will help automakers offer next generation products and services to their customers.

Motorola and IBM plan to combine their technologies, products and services for a joint approach to the auto manufacturers. By leveraging each other's expertise and industry leadership, the two companies will establish an integrated approach to help auto manufacturers get the next generation of telematics products to market quickly and meet the growing customer demand for enhanced, in-vehicle communication/information/entertainment systems.

Telematics is an automotive industry term that refers to in-vehicle, on-board and embedded electronic systems. To drivers, it translates in this case to real-time, remote access to a full range of in-vehicle services; custom shaped for the automotive environment and specifically designed to maximize driver safety. In addition to emergency calling and roadside help, the exciting new offerings might include features such as wireless communications and Internet access, dynamic navigation with real-time traffic routing, security and anti-theft protection, personalized information, e-mail and a variety of entertainment options.

"In the end, it is all about the customer. It's about closing the technological gaps and generating genuine mobility for very busy people in a very busy world. It's about building a seamless environment - outdoors and indoors - no matter where you go. Our strategy here is straightforward: We will use our technology and form strategic alliances - where it makes sense - to provide customers with the highest levels of value in the industry. Together, we believe our relationship will help further this goal," said Joe Guglielmi, president of Motorola's Integrated Electronic Systems Sector.

"Working together, IBM and Motorola will jump-start what is expected to be a large market opportunity for automakers to develop stronger, long-term relationships with their customers. Automakers will be able to offer a variety of services to their customers that continue to add value to the driving experience long after the purchase of the car," said Mark Bregman, general manager of IBM's Pervasive Computing Division. "IBM and Motorola have complementary offerings and by combining them, we are creating new opportunities for us and for our mutual customers."

Robust Telematics Solution
Because telematics requires a precise and durable linkage between the electronics and communications inside the car, and the content and applications in the network, it is a more complex, and much more robust solution than simply equipping cars with on-board intelligence. Each company has specific expertise that will make this process easier and faster for the automotive industry.

Motorola brings to the alliance its expertise in advanced electronic systems and services, software enhanced products, wireless communications products and networks, as well as extensive experience in developing rugged, embedded electronic solutions for the automotive market. Its contribution to the joint effort encompasses the front-end elements such as on-board electronics, driver interfaces and enabling infrastructure that will deliver robust applications and services.

IBM brings to the joint effort its expertise in computer technology, hardware, software and IT services, as well as new software for managing pervasive devices across multiple networks. Its contribution focuses on the back-end infrastructure elements and are based on its pervasive computing technologies that allow applications, content and services to be delivered to drivers virtually any time, any where.

The two companies believe their combined capabilities represent a stronger resource for the automotive manufacturers than either company could mount individually. Motorola and IBM are currently approaching automotive manufacturers.

Contact(s) information

Tara Sexton
IBM
(914) 766-3366
taras@us.ibm.com

Jon Nelson
Motorola
(847) 480-8000
Jon.Nelson@Motorola.com

Allyson Stinchfield
Citigate for Motorola
(312) 372-6144
afield@citigatedr-chi.com

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