Commerce One, Intel to Join Forces

By Renee Boucher Ferguson  |  Posted 2001-07-30

Commerce One Inc. and Intel Online Services, a subsidiary of Intel Corp., agreed last week to make IOS a leading provider of Commerce Ones new Managed Application Services.

Under terms of the deal, Intel, of Santa Clara, Calif., will provide the infrastructure, while Commerce One, of Pleasanton, Calif., kicks in the application expertise for a hosted e-commerce platform. The pair is targeting private exchanges and major-league consortia looking to outsource their business-to-business platforms, according to officials at both companies.

Commerce One MAS will unite the companys e-marketplace solutions with Intels networking, hardware and operating system support. Commerce One will have the ability to capitalize on IOS AppChoice Managed Hosting Service to customize hosting services for businesses and industry consortia, officials said.

Officials said MAS can deploy a complete hosted e-commerce platform in less than 60 days.

While an in-house auction environment could cost a company as much as $40,000 in hardware and software to deploy—with operational costs adding another $10,000—the MAS offerings start at $5,000 per month for a managed auction. Other hosted solutions run from $40,000 to $300,000 monthly, depending on the solution, and savings can be as much as 90 percent, according to officials.

"An [application service provider] with real experience can really save you from a lot of the-school-of-hard-knocks solutions," said Laurie McCabe, vice president and practice director at Summit Strategies Inc., in Boston. "Its like [laser] surgery. You dont want to do it yourself; you want to go to someone whos done it hundreds of times and who has benefited from that experience. You are going to make mistakes, and someone like Commerce One is going to help you based on their experience."

MAS is available now.

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