Terra Lycos To Roll Out New Instant Messaging Service Based on IBM Lotus Sametime

Instant Messaging Capability To Allow Millions of Terra Lycos Users To Talk to Each Other and Bridge to Other Supported Instant Messaging Communities

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CAMBRIDGE, Mass - 31 Oct 2002: IBM (NYSE: IBM) today announced that Terra Lycos (NASDAQ: TRLY and Madrid Exchange: TRR), the largest global Internet network, will offer an instant messaging service based on IBM Lotus Sametime to its worldwide users. It is anticipated that the new Terra Lycos network will be ready by year end. The collaboration is planned to be the first of several projected joint efforts as the companies plan to build services to engage and complement the consumer and corporate marketplace.

The new Terra Lycos instant messaging solution will also offer interoperability with other instant messaging communities using instant messaging standards through the Sametime Instant Messaging Gateway. This gateway is based on the IETF approved SIMPLE standard. Terra Lycos users will thus benefit from industry-leading security features and standards-based interoperability offered by Sametime.

The new Terra Lycos instant messaging network will offer the following features:

"Terra Lycos has selected Sametime to help allow our communities of users to be interoperable," explains Carlos González, VP, Access and Communication Services, Terra Lycos. "Our decision is based on the quality and flexibility of IBM Lotus Sametime as a leading platform for instant messaging and online awareness. We are confident that working with such a sound company will allow us to reach our goals of offering the greatest value to our customers."

"When Terra Lycos was looking for world-class instant messaging software for its exciting new service, they came to IBM, the leader in enterprise-grade instant messaging," said Mike Loria, Director, Advanced Collaboration Group, IBM Lotus Software. "We are confident that our platform for instant messaging services will provide the most scalable, reliable solution to meet the needs of Terra Lycos and its worldwide customers."

Pricing and Availability
Terra Lycos plans to make available a no charge version of the Instant Messaging service during Q4 2002 to its large international community of users. During 2003, Terra Lycos plans to launch paid versions of the service based on value-added functionality and performance.

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