BellSouth and Commerce One Launch Joint Venture to Build Global Internet Marketplace for Telecommunications Industry.Business Editors ATLANTA and WALNUT CREEK Walnut Creek, residential city (1990 pop. 60,569), Contra Costa co., W Calif., in the San Francisco Bay area; inc. 1914. It is the trade and shipping center of an extensive agricultural area where walnuts are among the major product. , Calif.--(BUSINESS WIRE)--Feb. 23, 2000 JV Marks Industry's First Business-to-Business Trading Community for Global Telcos BellSouth (NYSE NYSE See: New York Stock Exchange : BLS See Bureau of Labor Statistics. ) and Commerce One (Nasdaq: CMRC CMRC Canadian Motosport Racing Club CMRC Commerce One Inc. (stock symbol) CMRC Caribbean Marine Research Center CMRC Crime Mapping Research Center CMRC Credit Management Research Centre (UK) ) today announced a memorandum of understanding A Memorandum of Understanding (MoU) is a legal document describing a bilateral or multilateral agreement between parties. It expresses a convergence of will between the parties, indicating an intended common line of action and may not imply a legal commitment. to form a joint venture that will develop an Internet marketplace See vertical portal and Web hub. for procurement The fancy word for "purchasing." The procurement department within an organization manages all the major purchases. in the burgeoning telecommunications industry. The companies expect to sign a definitive agreement next month. The aim is to create an open electronic exchange to link buyers and sellers of goods and services In economics, economic output is divided into physical goods and intangible services. Consumption of goods and services is assumed to produce utility (unless the "good" is a "bad"). It is often used when referring to a Goods and Services Tax. across the telecommunications industry throughout the world. Both BellSouth and Commerce One will hold minority stakes in the new company. All telecommunications providers and supporting industry partners will be encouraged to join the new exchange. A majority of the equity will be held and earned by as many as six to seven major telecommunications industry partners who will be anchor tenants of the exchange. Anchor partners will earn equity based on their level of activity across the exchange and will share the responsibility for establishing the new company's strategic direction. An equity set-aside will also be established for an independent management team. "BellSouth truly understands the power and potential of global, electronic trading  This article or section is in need of attention from an expert on the subject.Please help recruit one or [ improve this article] yourself. See the talk page for details. communities," said Mark Hoffman, president and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. of Commerce One. "They are doing the right things both internally and externally to legitimately declare leadership status as an e-business enabler. Our leadership in e-commerce combined with BellSouth's tremendous operational expertise and e-business commitment add a major new marketplace to the Commerce One Global Trading Web." The exchange will initially offer procurement management functionality, reporting and analysis capabilities. The exchange will support BellSouth's overall strategy aimed at transforming its $16 billion global supply chain and reducing ongoing costs by $1 billion over the next two to four years. BellSouth and its affiliated companies Affiliated Companies A situation that occurs when one company owns a minority interest (less than 50%) in another company. Also refers to companies that are related to each other in some way. Notes: An affiliated company is sometimes referred to as a subsidiary. plan to implement the Commerce One Solution(TM) to automate purchasing of goods and services throughout the company. The new online marketplace is scheduled to go live during the second quarter of 2000, with staffing from BellSouth, Commerce One and other partner companies. "Our strategy with this initiative is based on collaboration throughout the industry's supply chain," added Pat Shannon, president, BellSouth Exchange Services. "We will start by building an electronic marketplace for the procurement of goods and services across the telecommunications industry. Over time we will add additional supply chain functionality that will result in further efficiencies and added value Added value in financial analysis of shares is to be distinguished from value added. Used as a measure of shareholder value, calculated using the formula:
In addition to its supply chain initiatives, BellSouth is enabling its customers to enjoy the benefits of e-commerce. BellSouth previously announced the development of an Internet trading community for small businesses throughout BellSouth's nine-state region, based on the Commerce One MarketSite portal. BellSouth will offer a web-enabled application allowing small business customers access to global markets as both buyers and sellers. BellSouth's 1.2 million small business customers generate revenue in excess of $1.3 trillion annually and procure To cause something to happen; to find and obtain something or someone. Procure refers to commencing a proceeding; bringing about a result; persuading, inducing, or causing a person to do a particular act; obtaining possession or control over an item; or making a person over $200 billion in goods and services. The Internet-based trading community for small businesses is scheduled for launch this quarter. Today's announcement is a natural extension of the work that Commerce One has been doing with BellSouth and other major corporations around the world, and represents a major initiative in BellSouth's integrated supply chain, purchasing and overall e-business strategy. Commerce One has built similar business-to-business e-commerce exchanges for the automotive industry The automotive industry is the industry involved in the design, development, manufacture, marketing, and sale of motor vehicles. In 2006, more than 69 million motor vehicles, including cars and commercial vehicles were produced worldwide. , the petroleum industry and the information technology industry. The announcement today with BellSouth represents the first business-to-business trading community to be developed solely for the global telecommunications industry. About Commerce One Commerce One is the leader in global e-commerce solutions for business. Through its products, portals and services, Commerce One creates access to worldwide markets, allowing anyone to buy from anyone, anytime, anywhere. The Commerce One Global Trading Web is the world's largest business-to-business trading community. Comprised of many open e-marketplaces running on the Commerce One MarketSite portal solution, the Global Trading Web provides unprecedented economies of scale for buying organizations, suppliers and service providers worldwide. Commerce One is located in Walnut Creek, Calif., and can be reached by phone at (800) 308-3838 or (925) 941-6000 or via the Internet at http://www.commerceone.com/. About BellSouth BellSouth (NYSE: BLS) is a $25 billion communications services company. It provides telecommunications, wireless and wireless long distance communications, Internet and data services, advertising and publishing, and video and entertainment services to nearly 37 million customers in 20 countries worldwide. NOTE: For more information about BellSouth, visit our Web page at http://www.bellsouth.com/. NOTE TO EDITORS: Commerce One, BuySite, BuySite Enterprise Edition, BuySite Hosted Edition and MarketSite are either trademarks or registered trademarks of Commerce One. Other product and company names mentioned herein might be the trademarks of their respective owners. |
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