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Dassault Systemes and IBM Announce Intent to Integrate IBM PLM Sales Operation into DS


New Global Alliance Expected to Expand PLM in All Industries

ARMONK, N.Y and VELIZY-VILLACOUBLAY, France . – IBM (NYSE:IBM) and Dassault Systèmes (DS) (Euronext Paris: #13065, DSY.PA) today signed an agreement under which DS intends to acquire IBM sales and client support operations encompassing DS’s Product Lifecycle Management (PLM) software application portfolio, as well as customer contracts and related assets, for approximately $600 million in cash.

DS and IBM have also defined the next steps in their long-standing relationship, and plan to establish DS as an IBM Global Alliance Partner and expand their services partnership.

The transaction is expected to be completed in the first half of 2010, subject to the execution of local agreements and completion of regulatory processes and applicable labor relations requirements in various countries.

While the transaction is being completed, both companies expect their existing operations, including customer service and product availability, to continue as usual. After completion of the transaction and integration of the two companies’ PLM operations, DS PLM customers will benefit from simplified engagement and support processes for DS’s market-leading PLM product portfolio.

“The adoption and integration of PLM and 3D collaboration by a growing number of enterprises require deep industry knowledge,“ said Bernard Charlès, president and CEO of Dassault Systèmes. ”The planned integration of the IBM sales force and related business operations represents the largest investment in our corporate history. We are putting our customers and partners first, creating a globally efficient sales organization to bring the value of V6 PLM applications to every enterprise in every industry.”

“We are reaching a new level of customer engagement built on commitment, multiindustry knowledge and high-value solutions for sustainable innovation,” added Charlès. “Looking forward, the wide adoption of 3D lifelike experience and PLM will require the combination of direct sales, our network of partners and online communities.”

Pursuant to the planned global alliance agreement, IBM and DS expect to continue to jointly invest in developing, deploying and supporting client PLM environments, delivering integrated PLM solutions to their clients worldwide.

The enhanced services agreement is expected to bring significant potential to the global marketplace with extended IBM resources and expertise to help transform client PLM environments, leveraging the DS V6 portfolio. Both companies are dedicated to strengthening and extending their cooperation in the areas of professional services, cloud computing, middleware, flexible financing, hardware, and sales and distribution.

“With this announcement, IBM is evolving its partnership with DS to better align our mutual strengths and better address our clients’ PLM needs,” said Tom Hawk, general manager, IBM Global Industrial Sector. “This transaction also helps fuel IBM’s focus on PLM integration through middleware, business transformation and application services, and dynamic infrastructure.”

Steve Mills, senior vice president and group executive, IBM Software Group, added: “Today’s agreement positions both our companies for growth in the PLM space, allowing us to focus on our core competencies and better serve our clients. The extensive use of IBM Software platforms in the DS application portfolio will continue to make our partnership unique and valuable to our customers.”


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