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China Hangzhou Dragon Hotel Selects IBM to Implement Smart Hotel Transformation Project


HANGZHOU CITY, China - 14 Jul 2009: China Hangzhou Dragon Hotel (Dragon Hotel) has selected IBM (NYSE: IBM) to build an instrumented, interconnected and intelligent hotel management system as part of the hotel's transformation into a "Smart Hotel".

Aimed at becoming the first platinum five-star hotel in the Hangzhou city, the Dragon Hotel is determined to leapfrog its competition by offering a totally new, unique, exciting client experience achieved through a RMB 1 billion upgrade project. As a major part of the three-prong project, IBM will implement a dynamic information technology (IT) infrastructure system comprising more than 20 sub-systems and solutions using IBM's industry expertise, integration capabilities and latest technology.

In addition, the project also includes the upgrading of the hotel room and infrastructure to a luxury environment as well as training of hotel management and staff.

The fully integrated IT system, when available for service early next year, is expected to boost the hotel's efficiency and productivity and reduce the operational cost, thus helping the hotel improve its competitive advantage.

Under the agreement, IBM will also integrate the hotel's major systems -- the hotel management system, the communications system and the one-stop service center -- which include the personal digital assistant (PDA) system, self check-in kiosk, interactive TV, Radio Frequency Identification (RFID) system, Internet telephony, cell phone system and room control system.

Prior to the implementation, IBM Global Technology Services designed a range of customized "Smart Hotel" solutions comprising IBM's RFID technology, Site and Facilities service and Integrated Communications services. Researchers and experts from IBM China Research labs provided consulting support, technical assessment and conducted lab testing of the solutions.

The Smart Hotel solutions are aimed at bringing new, exciting customer experience. For instance, with a special smart card, hotel guests will be able to check into the hotel directly in minutes, and personalized service will be provided by hotel staff who can access their PDAs for information about each of the customers. The information about each guest will be transmitted to an interactive TV system and IP phone system in the hotel room so welcome messages will be shown before clients entering the rooms. Electronic devices in hotel guest rooms will be automatically customized to the individual preference of the customers -- such as the room's brightness, temperature and humidity, which allow the customers to work and rest in a familiar and comfortable setting. The system will also automatically shift to the customers' national language, and the systems' background image and music will change when it comes to holidays, the customer's birthday or special occasions.

"In the hotel industry, technology can make a real difference by significantly enhancing the customer experience and maximize their comfort and satisfaction," said Eric Du, General Manager, Dragon Hotel. "Through the cooperation with IBM, Dragon Hotel would be able to build a Smart Hotel system to improve significantly the operational efficiency and productivity, the response time to client demands, and most of all, the client experience."

Dragon Hotel has been chosen as the official venue for conferences hosted by the Hangzhou Municipal Government. It is eager to continue its business growth and win in the promising, yet competitive, market. This, together with the challenges brought by the economic climate, has compelled Dragon Hotel to launch a large-scale upgrading project.

To support Dragon Hotel's objective to continue to be Hangzhou's preferred conference hotel, IBM will implement a conference management system which can make available market intelligence such as which exhibition area a particular conference attendee has visited and his attention span or when attending a banquet, guests can see on a LCD screen the seating plan and exact location of their seats upon arrival at the banquet hall.

Additionally, through collaboration with China Telecom, China Mobile and China Unicom, IBM will integrate China's six telecommunications networks into one platform -- the first of its kind in the industry. Every handheld set in the guest rooms can function as a mobile phone, used by room guests within the hotel to making local and international calls anywhere -- within the hotel, in and beyond the Hangzhou city, regardless of the communications network system for the receiving end.

"IBM is truly delighted to work with Dragon Hotel to fulfill its Smart Hotel vision and contribute to its growth," said Bernard Elharrar, General Manager, IBM Global Technology Services, Greater China Group. "We believe that the new Dragon Hotel will become the role model in the industry, and we are committed to this relationship, which will contribute to the ongoing development of Hangzhou's tourist industry."

About Hangzhou Dragon Hotel

For more information about Hangzhou Dragon Hotel, go to http://www.dragon-hotel.com.

About IBM

For more information about IBM, visit www.ibm.com.

Contact(s) information

Jan Walbridge
IBM Media Relations
203-430-9874
walbridge@us.ibm.com

Xiao Yan Wang (Lilian)
IBM China Media Relations
+86 10-63612992
xiaoyanw@cn.ibm.com

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