Cognizant Technology Solutions Announces Strategic Relationship With Tata-IBM on AS/400; Establishes E-business Competency Center on AS/400 for Tata-IBM.

TEANECK, N.J.--(BUSINESS WIRE)--Aug. 2, 1999--

Cognizant Technology Solutions Corporation (NASDAQ:CTSH), an applications outsourcer providing software development and maintenance services, today announced that it has entered into a strategic relationship with Tata-IBM in India on the AS/400 environment, and will participate in Tata-IBM's Partners in Development (PID) program on AS/400.

Cognizant and Tata-IBM have jointly set up a competency center to develop and offer expertise in internet technologies on AS/400. Cognizant has provided the necessary infrastructure and person-power for setting up the competency center and has invested in additional AS/400 hardware and software.

Through this relationship, Cognizant will offer specialized service and expertise on AS/400 to Tata-IBM's customers, partners, PID partners, and independent software vendor (ISV) partners. It will also provide necessary support for co-sponsoring events such as technical forums and technical workshops in the area of Internet technologies.

Tata-IBM will provide Cognizant access to its vast technical expertise for initial technical support, advanced technical inputs, and troubleshooting. Tata-IBM will also showcase Cognizant's expertise and market its competence in this area through seminars, customer events, and their Web site.

"This will help us demonstrate to our customers in India how the new AS/400e Server is best suited to exploit internet technologies through the efficient use of Java, Groupware and e-commerce tools," said Mr. Nipun Mehrotra, Vice-President, Systems and Channels, Tata-IBM.

"Growth in the e-business side of our solution offerings has been tremendous in the past several months," said Mr. Lakshmi Narayan, President and Chief Operating Officer, Cognizant Technology Solutions. "Through the Tata-IBM partnership, we will bring to our customers, sharply focused competencies on IBM products and platforms."

Cognizant is already a partner in development in two of IBM's strategic programs--Solution Developers Program and Technology License Agreement.

About Cognizant Technology Solutions

Cognizant Technology Solutions Corporation delivers high-quality, cost-effective, full life-cycle solutions to complex software development and maintenance problems. Using an extraordinary pool of over 1,600 computer science and engineering professionals located at client sites and at seven development centers in India, the company's offerings include application development, maintenance and re-engineering, as well as Euro currency compliance services. Cognizant's core competencies extend across a range of technologies, encompassing data warehousing, web-enabling, Internet, object-oriented development, client/server and legacy platforms. In December 1998, the Company became one of only 18 software engineering organizations worldwide to have been assessed at Level 4 of the Capability Maturity Model by the Software Engineering Institute at Carnegie Mellon University. CTS' methodologies are ISO 9001 compliant, assuring quality of design, development, production, installation and servicing. For more information, visit Cognizant on the web at http://www.cts-corp.com.

Certain statements contained herein, including statements regarding the development of the Company's services, markets and future demand for the Company's services, projections on future growth potential, and other statements regarding matters that are not historical facts, are forward-looking statements (as defined in the Private Securities Litigation Reform Act of 1995). Such forward-looking statements include risks and uncertainties; consequently, actual results may differ materially from those expressed or implied thereby. Factors that could cause actual results to differ materially include, but are not limited to, variability of quarterly operating results, reliance on large projects, concentration of revenue, ability to attract and retain professional staff, dependence on key personnel, ability to manage growth effectively, risks associated with rapid technological advances, risks associated with possible acquisitions, risks associated with the Company's strategic partnerships, various project-associated risks, substantial competition, general economic conditions, risks associated with intellectual property rights, risks associated with international operations and other risk factors listed from time to time in the Company's filings and reports with the Securities and Exchange Commission.