IBM and IBS (International Business Systems), one of the world's top-rated developers of supply chain execution solutions, has announced a strategic alliance to provide e-business solutions, including comprehensive supply chain management (SCM) solutions.

In this alliance, IBM and IBS will provide integrated software, hardware and services offerings to the global midmarket wholesale and industrial segments estimated to grow from $2 billion in 2000 to nearly $5 billion in 2003.

Under this strategic alliance, IBM will allocate staff globally to support marketing and sales of the joint IBS and IBM solutions. In turn, IBS will use IBM's AS/400 and Netfinity servers as its preferred platforms.

The agreement also includes reinforced technical development between both companies, based on IBM's WebSphere and IBM's Application Framework for e-business, a technology roadmap for development with open industry standards.

In addition, IBM and IBS have agreed to evaluate a cooperation regarding Application Service Providing (ASP), including hosting servers, Internet communications and outsourcing.