PRICEWATERHOUSECOOPERS MAKES EQUITY INVESTMENT IN INFORMATICA TO TARGET GLOBAL B2B E-COMMERCE MARKET
$30 million stake extends collaboration on analytic solutions for e-businesses
NEW YORK, April 10, 2000 - PricewaterhouseCoopers, the world's largest professional services organization, and Informatica (NASDAQ: INFA), a leading provider of e-business analytic software, today announced a strategic alliance to jointly develop, sell and support end-to-end analytic solutions for the rapidly expanding business-to-business (B2B) e-commerce market worldwide.
Through the alliance, PricewaterhouseCoopers and Informatica will deliver a comprehensive array of software and professional services to help global e-businesses, in a wide range of industries, thoroughly evaluate their performance across key operational areas and ultimately make better-informed, more strategic decisions.
A multi-layered agreement is in place to facilitate the alliance.
- PricewaterhouseCoopers will receive a $30 million equity stake in Informatica in exchange for transferring ownership of intellectual property (primarily its supply chain and procurement analytic application software), personnel and other assets to Informatica.
- PricewaterhouseCoopers and Informatica will together train more than 300 of PricewaterhouseCoopers’ consultants on Informatica Applications™, Informatica’s integrated suite of analytic applications.
- PricewaterhouseCoopers will dedicate to Informatica a team of consultants that will facilitate knowledge transfer and add new analytic application content to Informatica Applications the areas of electronic customer relationship management (eCRM) and B2B electronic procurement.
“One of the most challenging problems organizations face when building their e-businesses is how to integrate and analyze customer, partner and supplier information across multiple channels. This is key to achieving optimal business performance,” said Mike Schroeck, managing partner of PricewaterhouseCoopers' Global Data Warehousing practice. “PricewaterhouseCoopers and Informatica have complementary strengths that, when combined, will offer a wide range of capabilities uniquely designed to address the multi-channel analysis requirements of industrial-strength B2B e-businesses.”
According to Forrester Research, B2B e-business is projected to be a $1.7 trillion market by 2003. This market is expected to expand substantially in the next few years as large corporations capitalize on the tremendous expansion of distribution channels via the Web and realize cost savings attributable to electronic procurement of raw materials and finished goods and services over the Web.
“This is a very significant collaboration for Informatica that delivers a clear ‘go to’ message to the market. As companies continue to reengineer their value chains to the demands of e-business, we believe that establishing and maintaining key relationships with customers, partners and suppliers will become increasingly critical,” said Gaurav Dhillon, CEO of Informatica. “Supported by professional services and vertical-market experience from PricewaterhouseCoopers, Informatica's enhanced family of analytic applications will offer companies a powerful solution for integrating and analyzing information from across their enterprise in order to gain valuable insight across the e-business value chain.”
Upon fulfillment of the agreement terms, the two organizations will have integrated the analytic applications acquired from PricewaterhouseCoopers into Informatica’s own suite of e-business analytic applications, making an expanded set of customizable analytic solutions readily available to clients.
About Informatica
Informatica is a leading provider of e-business analytic solutions, including the industry's most powerful enterprise data-integration software platform and analytic applications that help companies evaluate their performance across the entire e-business value chain. Many of the world's largest companies rely on Informatica to integrate data from systems across their extended enterprises for analysis in order to grow their business. Informatica currently maintains 640 customers across all industries, including barnes&noble.com, eBay, Netscape, CNET, Inktomi, Preview Travel, Priceline.com, Merrill Lynch, 3Com, Autodesk, Chevron, Met Life, Mutual of Omaha, Sprint, MCI WorldCom, Deutsche Bank, UBS, Zurich Insurance and Polo Ralph Lauren. For more information, call 800.970.1179, or visit Informatica's Web site at www.informatica.com .
About PricewaterhouseCoopers
With more than 1,500 dedicated consultants worldwide, the Global Data Warehousing practice of PricewaterhouseCoopers contributes to client success by aligning the strategies, techniques and tools necessary to effectively manage and use large volumes of mission-critical data. The Management Consulting Services practice of PricewaterhouseCoopers helps clients maximize their business performance by integrating strategic change, process improvements and technology solutions. Through a worldwide network of skills and resources, consultants manage complex projects with global capabilities and local knowledge, from strategy through implementation. PricewaterhouseCoopers (www.pwcglobal.com) is the world's leading professional services organization. Drawing on the talents of more than 150,000 people in 150 countries, the organization provides a full range of business advisory services to leading global, national and local companies and to public institutions.
NOTE: Informatica and PowerMart are trademarks or registered trademarks of Informatica Corporation. All other company and product names may be trademarks of their respective owners.
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