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Siebel, AT&T Join Forces on Managed Services

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Posted April 8, 2003 By Thor Olavsrud     Feedback

The two form a strategic alliance bent on delivering end-to-end hosting for mission critical applications.

Business software maker Siebel Systems forged a strategic alliance with AT&T Tuesday, wedding its eBusiness applications software with AT&T's managed services in order to deliver end-to-end managed services for mission critical applications.

The two partners said their alliance will allow them to bring AT&T's portfolio of managed services -- including hosting, business continuity and storage services -- to bear with Siebel's line of customer relationship management (CRM) applications software and business processes. They will market and sell complementary services, initially targeting U.S. business customers and U.S.-based multi-national enterprises.

"The most compelling aspect of this alliance is that it brings together two leaders in the business applications and networking/managed services spaces to design and deliver complete, high performance solutions for companies who are implementing mission critical applications," said Rob Rich executive vice president with research firm The Yankee Group.

"Leveraging the strengths of the companies, the combined offering should lower customers' total cost of ownership, improve application performance and increase customer satisfaction. Finally, the alliance underscores the importance of high performance networking for companies who are deploying mission critical applications across their extended enterprise networks."

One of the first goals of the alliance is to perform a "network optimization analysis" for customers implementing Siebel's software, using AT&T networking expertise to model Siebel eBusiness Applications over the wide area network. This, the partners said, will allow them to ensure that customers design their networking infrastructure to optimize their network performance for Siebel's applications across a globally distributed customer solution.

The partners are also creating a "center of excellence," where they aim to demonstrate the benefits of end-to-end managed solutions with mission critical applications.

The step is a first for both companies. Mark Armenante, group vice president of alliances for Siebel, said "AT&T is the first major global communications services provider in Siebel Systems' alliances program to provide enterprise networking, hosting and application performance solutions."

Meanwhile, AT&T's Steve Edwards, vice president of Indirect Sales and Channel Development for AT&T Business, noted that the deal marks AT&T's first relationship with a global ISV at this level of involvement.

"Through this unique alliance, we continue to broaden our capabilities in delivering end-to-end solutions to meet the needs of companies who operate in a real-time environment," Edwards said. He added, "Our relationship with Siebel is another key step in our efforts to work with the strongest allies, to incorporate even greater value in our offers and better serve our customers."

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