The MicroStrategy/ Intelligroup ASP

  • Written By: D. Geller
  • Published: April 18 2000

The MicroStrategy/ Intelligroup ASP
A. Turner - April 18th, 2000

Event Summary

In March, MicroStrategy Incorporated (NASDAQ: MSTR), a provider of Intelligent E-Business software, and Intelligroup, Inc., (NASDAQ: ITIG), an Application Services Provider (ASP), announced a strategic ASP alliance. Through its ASPPlus offering, Intelligroup will host, implement, manage, and support applications developed on MicroStrategy's Intelligent E-Business Platform.

Through Intelligroup's ASPPlus offering, companies can take advantage of MicroStrategy's software to change how they run their business and relate to their customers. Using MicroStrategy's electronic customer relationship management (eCRM) capabilities in combination with its business intelligence offering, companies can analyze customer behavior and gain insight into their preferences. The company is then able to interact with its customers via web, wireless, and voice with personalized messages and offers.

As part of the agreement, Intelligroup plans to send more than one hundred employees through the MicroStrategy education program in the next four months to ensure that integration will occur smoothly and quickly.

Market Impact

"Our strategic alliance with Intelligroup brings MicroStrategy products to an entirely new set of customers, increasing our presence in the small and midsize markets," said Sanju K. Bansal, chief operating officer of MicroStrategy Incorporated. "ASPPlus gives customers easy access to MicroStrategy products which are customized and hosted by Intelligroup. . ."

The benefits of this alliance are easily identified. Intelligroup offers ASP solutions through partnerships with SAP, PeopleSoft, Oracle, Baan, Datastream, Hyperion, and Compaq. Together these companies can deliver a rich feature set to the small and mid-size market by leveraging their core technologies. Similar alliances are almost becoming a weekly event. For instance the recent IBM, i2, and Ariba alliance is designed to provide customers with a greater solution set and the associated companies an extended reach into the marketplace. We expect this trend to continue.

User Recommendations

Users considering a CRM solution now have many choices. The new alliances are designed to offer lower cost thresholds and access to robust solutions previously unavailable to small and mid-size companies. We recommend considering as many options possible.

While these offerings seem to include the software and the "kitchen sink," users need to identify their immediate and long-term requirements. Also not frequently discussed are the network, security, and possible software upgrades required to integrate these solutions. Overall the news is positive as these alliances provide consumers a greater set of solutions to choose from.


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