IBM docks at Vizag with SMB focus

Bangalore

August 30th, 2007

IBM India has announced its operations in Vizag, as part of its expansion
plans to enter 14 new cities in the country, in line with its strategy to make
India a truly global hub.

This entry would enable IBM to strengthen its pan-India foothold and cater
specially to the unique requirements of the various clients across Vizag and its
neighboring markets.

IBM is slated to spread its wings in six additional cities including Nashik,
Surat, Bhubaneswar, Jamshedpur, Jaipur and Madurai; with Chandigarh, Nagpur,
Coimbatore, Goa, Lucknow, Bhopal and Lucknow already being operational.

Lingraju Sawkar, VP - GSMB, IBM India/South Asia, said "Our entry into
Vizag is a reflection of IBM's continued commitment to working closely with the
newer segments throughout India to empower them with world class technology;
thus paving their way to success."

"Small and Medium Businesses play an integral role in sustaining India's
growth story. Vizag, a fast-growing city will be an important market for IBM,
and this initiative will further reinforce our commitment to deliver things
faster and better to our customers," Lingraju added.

IBM appreciates the progress the country has made in building up their
technology infrastructure and the support of education programs to advance the
capabilities of the local workforce. IBM is keen on tapping this huge potential
of the local market. With over 3000 SMB customers in India, IBM's operations in
Vizag will target various clients across segments and focus on specific
verticals such as manufacturing, defence /government, IT/ITES, education, pharma,
travel and tourism.

IBM has invested in the development of products and services specifically
priced and designed for the SMB marketplace under the brand name 'IBM Express
Portfolio'. IBM's Express portfolio is comprised of hardware, software,
services, solutions and financing and is designed to meet specific criteria for
SMBs which will provide them the requisite know-how to broaden their market
base.

These offerings are delivered through sales and marketing team of 6,000
people and a network of 90,000 Business Partners, organized in 243 local sales
territories around the world. We look forward to having long and mutually
beneficial relationships with our existing and potential customers.