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    October 2000

    IBM, ESRI Alliance Targets Fast-Growing Government Marketplace for Geographic Information Systems

    IBM and Environmental Systems Research Institute, Inc. (ESRI), announced a global strategic alliance designed to serve the emerging marketplace for geographic information system (GIS) technology. The demand for these systems is expected to increase, as the marketplace grows, to more than $60 billion by 2005, quadrupling the current opportunity, according to multiple sources.

    IBM and ESRI will take advantage of this growth as both companies jointly market the industry’s first enterprisewide GIS solution. Initial target industries include government and telecommunications.

    GIS offers policy makers, industry planners, academic researchers, and others sophisticated spatial analysis to visualize enterprise information. It is a computer-based tool that combines data visualization, spatial analysis, and mapping with database management system integration to help users understand relationships, enhance decision making, and solve problems more quickly.

    This technology proved invaluable to the Geospatial Multi-Agency Coordination (GeoMAC) group. During the past summer, federal wildland fire managers were faced with the worst fire situation in decades. With more than 25,000 firefighters and every available resource allocated to fight more than 80 large fires in Idaho and Montana, it was difficult to visualize the big picture. There were numerous critical situations reported and additional resources requested.

    The Great Basin Multi-Agency Coordination Group, one group responsible for prioritizing the allocation of critical firefighting resources in the western United States, saw the need for a better tool to aid in making these decisions.

    “This strategic alliance takes our 10-year relationship with ESRI to the next level,” said Todd Ramsey, general manager for IBM Global Government Industry. “ESRI will supply the GIS technology, and IBM will provide the wide array of hardware, software, and professional services critical to making these applications enterprise-ready. It’s a go-to-market strategy that works.”

    Under the terms of the agreement, both companies will jointly market, sell, and provide integration services for ESRI Enterprise Solutions for local government and telecommunication customers. The GIS Enterprise Solutions will include ESRI’s GIS software technology combined with IBM software, hardware, and services. Specifically, GIS enterprise technology from IBM will include DB2* Universal Database with Spatial Extender; WebSphere*, operating on IBM eServer**, pSeries**, xSeries**; or Intellistations**, integrated by IBM professional services. ESRI will promote IBM as a leading solution provider for Enterprise GIS. In return, IBM Global Services will establish a global GIS consulting practice. Current plans call for the further integration of data mining and statistical technologies to make the joint solution applicable for both customer relationship management (CRM) and supply chain scenarios.

    The IBM–ESRI deal builds on IBM’s strategic alliance strategy. Under this initiative, leading software vendors, such as ESRI, Siebel, and i2, gain access to new customers and revenue opportunities through IBM’s extensive marketing and sales resources. At the same time, business partners lead with IBM’s key middleware products, server platforms, storage, and Global Services resources.

    For details visit www.esri.com and www.ibm.com

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