IBM Announces New Mid-Market Software Additions to the Express Seller Initiative

IBM Continues to Enable Growth and Profitability for the Channel in SMB Market

ARMONK, NY - 05 Oct 2006: IBM (NYSE: IBM) has announced the inclusion of several mid-market software offerings to its successful Express Seller initiative for IBM Business Partners. Added to the Express Seller initiative are Lotus Domino Collaboration Express, Lotus Domino Messaging Express, Lotus Domino Utility Server Express, IBM Workplace Services Express, IBM Tivoli Continuous Data Protection (CDP) for Files, and IBM Tivoli Storage Manager Express.

The expansion of the Express Seller initiative is in line with IBM’s goal of continuing to help Business Partners sell to the mid-market. According to leading IT analyst firm IDC, the overall small and medium-sized business (SMB) opportunity is worth US$465 billion, with the mid-market alone worth US$214 billion. IBM is capitalizing on this opportunity through its Express Advantage initiative which includes Express Advantage offerings, PartnerWorld Express Advantage initiatives and resources for Business Partners and enhanced customer experience capabilities designed specifically for mid-market customers. IBM Express Advantage offerings include a complete range of IBM systems and software products, infrastructure solutions, business solutions and a full range of financing options available through IBM Global Financing.

The Express Seller initiative is part of PartnerWorld Express Advantage and helps Business Partners rapidly deliver affordable, cutting-edge technology to help SMB customers address their business challenges. Express Seller pairs IBM’s demand generation resources with attractive pricing and conditions, helping to enable sales and reach into the SMB market. Just as the IBM Express Advantage offerings are specifically designed to meet the needs of SMB customers, the Express Seller program is specifically designed to help IBM Business Partners sell these products to SMB customers.

The inclusion of the software solutions in Express Seller was piloted in Europe during the summer and is now available in the Americas. This addition contributed to the momentum that the program saw during that time. In the second quarter 2006, Business Partner sales created through the Express Seller initiative grew by 58%, and more than 100 new partners joined the program during that time.

The addition of these software solutions to the Express Seller program also springboards off of IBM’s recent announcement of its “Express Track” initiative. Express Track is a $100 million global drive to reach thousands of local IT resellers, including those who sell competitor products. This drive continues IBM’s SMB market expansion throughout 2006, focused on growing mid-market sales of IBM technology solutions through the channel. Express Track includes increased IBM coverage and enablement support for IBM Business Partners. This demand generation support is coupled with the addition of more than 300 people worldwide to provide coverage and enablement for local IT resellers.

IBM aims to continue broadening Express Seller to include more software and services offerings, as well as to increase availability around the globe. At the same time, IBM is also working to promote other key vehicles of channel profitability, including the Software Value Incentive (SVI) -- IBM’s new incentive program that incents partners across all stages of the sales cycle. Stage II of SVI launched in July in 48 countries, including such high-growth areas as India, Russia, Czech Republic, Thailand and Vietnam. In the first three weeks of Stage II of SVI, approximately 800 new partners joined the program and registered more than 500 opportunities.

For more information on Express Seller, Express Track or the Software Value Incentive, please visit www.ibm.com/partnerworld/smb.

Contact Information

Cynthia Conway

IBM Media Relations

IBM

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