Nissan Selects IBM as Information Technology Provider in North America

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Somers, New York - 28 Oct 1999: -- Nissan North America, Inc. (NNA) and IBM today announced a $1 billion, nine and a half year contract under which IBM will provide extensive information technology management and delivery services for Nissan's operations in North America. In addition, Nissan and IBM will explore the most effective and efficient methods of providing IT service in other parts of the world where Nissan operates.

IBM Global Services, a division of IBM and the largest and most diverse IT services provider in the world, will use its extensive experience in IT services, including strategic outsourcing and information technology management, to benefit Nissan.

This contract is expected to give Nissan a significant amount of cost savings over its term. In addition to the cost efficiencies, IBM's capabilities are anticipated to streamline Nissan's IT operations and provide access to leading-edge technology to help support Nissan's strategy of tapping new sources of revenue and moving closer to its customer-base.

Under the agreement, IBM will help Nissan jointly develop and implement a worldwide IT management system that will allow Nissan to improve its operations and better face the challenges of an increasingly global marketplace. These efforts are part of Nissan's Revival Plan announced by Nissan's Chief Operating Officer, Carlos Ghosn., on October 18 in Tokyo.

"The automotive industry is becoming increasingly global and reliant on new IT technology to stay competitive," said Nobuo Araki, president and CEO, Nissan North America, Inc. (NNA). "Working with a technology leader like IBM will give Nissan an IT provider who can supply the infrastructure and services to support our business strategies. This arrangement will allow us to concentrate on our core business of vehicle design, production and sales while significantly reducing our IT costs," Mr. Araki said.

"IBM is committed to helping Nissan thrive in the growing IT marketplace," said Dan Colby, general manager, Industrial, IBM Global Services. "We will provide Nissan with our proven expertise in IT services to help Nissan re-engineer its organization and meet its business objectives."

In North America, Nissan's operations include automotive styling, engineering, consumer and corporate financing, sales and marketing, distribution and manufacturing. Nissan has employees and facilities in the United States, Canada and Mexico, and generates more than 90,000 jobs, approximately 20,000 directly and over 71,000 through approximately 1,500 Nissan and Infiniti retailers across the North American continent. More information on Nissan in North America and the complete line of Nissan and Infiniti vehicles can be found online at or contact the corporate media line at 310-771-5631.

IBM Global Services is the world's largest information technology services provider, with 1998 revenues of approximately $29 billion. Services is the fastest growing part of IBM, with more than 136,000 professionals operating in 160 countries. IBM Global Services integrates all of IBM's capabilities -- services, hardware, software and research -- to help companies of all sizes realize the full value of information technology. For more information visit

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