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IBM, Vignette Form Alliance

IBM Corp. and Vignette Corp. Thursday formed a global marketing alliance that is expected to increase revenue by $1 billion over the next three years.

The multi-year agreement integrates Vignette's V/5 e-business applications with IBM's WebSphere e-business platform.

The strategy includes joint marketing and services. IBM will promote Vignette's e-commerce software applications and has agreed not develop a competitive product. Meanwhile, Vignette will develop software for use on IBM computers which will be installed by IBM's service division.

The partnership creates e-business solutions that grow market share, reduce deployment times and provide the infrastructure for each stage of e-business development, according to officials at both companies.

"Key customers are demanding the IBM-Vignette solution to run their e-businesses," said Steve Mills, general manager of IBM Software's solutions & strategy unit. "This alliance will give e-businesses the competitive advantage they need to decrease time to deployment."

"With Vignette's innovative software and IBM's leadership, technology and global reach, we have developed a winning team so that all customers have access to the best e-business solutions in the market," said Greg Peters, president and chief executive officer, Vignette Corp.

The initial focus of the alliance will be in the retail, financial and dot-com industries. Both companies plan to expand to other industries in the coming months.