PeopleSoft Launches New Services for Application Management; Remote Services Simplify Maintenance of PeopleSoft Applications.

PLEASANTON, Calif. -- PeopleSoft, Inc. (Nasdaq:PSFT) today announced a new suite of Application Management services that allow customers to outsource some or all of the technical support for their PeopleSoft(R) applications. Available on a subscription basis, PeopleSoft's new Application Management services enable companies to better utilize internal IT staff by employing experts from PeopleSoft Global Services to provide remote support for on-premise applications. PeopleSoft's Application Management services are available for all Enterprise, EnterpriseOne and World products, and include Maintenance Services, Administration Services, End-user Services, and Extended Services.

"The leading strategic initiative influencing enterprises' broad application outsourcing strategies is reducing labor costs in application services and enhancing application' quality initiatives," said Allie Young in Gartner's recent report Large Enterprises to Increase Application Outsourcing. "The applications that are most often outsourced include HRMS, business-to-consumer, customer legacy applications, financial and procurement."

PeopleSoft will deliver application management services remotely through secure network connections at company facilities in Pleasanton, Chicago, Toronto, Madrid, Amsterdam, Sydney and India. PeopleSoft Application Management services can be purchased separately, are organized into the following four categories:

--Maintenance Services -- PeopleSoft Maintenance services provide system diagnosis and ensure that PeopleSoft applications are regularly updated with the latest fixes and patches. Maintenance services include Fix Current, Service Pack Management, and Archiving.

--Administration Services -- PeopleSoft Administration services provide customers with guaranteed application uptime and availability. These services streamline the daily operation of PeopleSoft applications by monitoring key application performance metrics such as job queues, storage and memory utilization. Administration services include Monitoring, Production Job Management, PeopleSoft Administration, DBA, and Security.

--End User Services -- The Help Desk Application Management service provides technical support 24 hours a day, seven days a week to augment existing customer-based help desks. By providing assistance to customer help desks, companies can resolve challenging end user questions more quickly and will benefit from direct access to PeopleSoft's knowledge base.

--Extended Services -- PeopleSoft Extended services are designed to continuously optimize the performance of PeopleSoft applications. By assisting customers with customizations and performance tuning, Extended services help organizations maximize the return on their PeopleSoft investment, and also ensure the applications adapt to a customer's changing business needs. Extended services include Performance Tuning, Customizations, Change Control Management and Disaster Recovery.

"Companies increasingly want one organization to be accountable for all facets of their technology investment," said Mike Gregoire, executive vice president, PeopleSoft Global Services. "With today's announcement, we've answered that call. PeopleSoft will continue to deliver innovative service offerings that provide the right consulting, education, and hosting services to our customers, driving down the total cost of ownership and increasing user productivity."

PeopleSoft Application Management services are available to customers in the U.S. and Asia Pacific today and will be available in early 2005 for customers in Europe.

About PeopleSoft Global Services

PeopleSoft Global Services (PGS), composed of PeopleSoft Consulting, PeopleSoft Education, and PeopleSoft Hosting, provides worldwide professional services to harness the power of PeopleSoft software. Ranked by IDC as the fastest growing enterprise IT training organization, PeopleSoft Education is the trusted source for PeopleSoft-related training. For more information about PeopleSoft Consulting, please visit: www.peoplesoft.com/consulting.

About PeopleSoft

PeopleSoft (Nasdaq:PSFT) is the world's second largest provider of enterprise application software with 12,750 customers in more than 25 industries and 150 countries. For more information, visit us at www.peoplesoft.com.

PeopleSoft and the PeopleSoft logo are registered trademarks of PeopleSoft, Inc. All other company and product names may be trademarks of their respective owners. Copyright (C) 2004 PeopleSoft, Inc. All rights reserved.