Siemens to Build Mobile and Wireless Phones With mySAP Product Lifecycle Management.

Business Editors, High-Tech Writers

WALLDORF, Germany --(BUSINESS WIRE)--Oct. 15, 2001

mySAP Product Lifecycle Management to Streamline Product Development;

Provide Internal and External Partners With

Global Access to Data at Siemens

SAP AG (NYSE:SAP) today announced that Siemens Information and Communication Mobile Phones is live with mySAP(TM) Product Lifecycle Management (mySAP PLM) to drive product innovation, engineering and design processes and bring high-quality products to market faster and more cost-efficiently.

mySAP PLM decreases the time from design to production, enabling Siemens Mobile to meet customer demand with the right products at the right time. Siemens Mobile is a leading global producer of wireless and cellular phones; SAP is the leading provider of e-business software solutions.

"We provide our customers with high-demand and innovative mobile solutions, and utilizing mySAP PLM helps us get these products to the market for rapid profitability and customer satisfaction," said Dr. Uwe Kalb-Schmerling, project manager for Siemens Mobile. "Siemens Mobile also benefits from the collaborative capabilities in mySAP PLM, and this improves our relationships with internal and external design and development partners."

True Integration and Collaboration at Siemens Mobile

Siemens Mobile benefits from mySAP PLM at its headquarters in Germany and in its related subsidiaries around the world, including in the United States, China and Denmark. The global implementation took just 18 months to complete. More than 600 Siemens designers work directly with the mySAP PLM solution. In addition, another 800 employees benefit from the information that is generated by mySAP PLM and distributed to various logistics systems. Such seamless access to product information throughout the entire life cycle helps Siemens Mobile avoid duplication of parts and product information.

mySAP PLM consolidates product development data at Siemens Mobile into one system that includes product master data, materials data, document masters and engineering change orders. The seamless integration of Siemens Mobile's E-CAD systems (electronic computer-aided design) into mySAP PLM allows Siemens to generate bills of material and material master records automatically, and provides a strong integration between bills of material and related documents.

To serve occasional users with product information, the document management features of mySAP PLM facilitate enhanced 2-D and 3-D viewing. This results in improved efficiency in development efforts. The engineering change management and workflow capabilities of mySAP PLM will enable Siemens to automate and monitor its product development efforts globally.

Internal and external partners of Siemens Mobile now have access to relevant product-related information, creating a strong "vendor-supplier" value network. mySAP PLM analytics provide reliable parts information, track the cost of changes and allow the allocation of costs to the relevant drivers in real time.

"mySAP PLM is the only product development solution that enables Siemens Mobile to engineer, design and bring to market high-demand mobile and wireless products in a timeframe that meets its customers' needs," said Dr. Archim Heimann, senior vice president, Global Business Unit, mySAP PLM. "The solution allows Siemens to unite all people involved in the development process of its products and services. As a result, it is increasing the transparency and quality of its products and development processes."

About SAP

SAP is the world's leading provider of e-business software solutions. Through the mySAP.com(R) e-business platform, people in businesses around the globe are improving relationships with customers and partners, streamlining operations, and achieving significant efficiencies throughout their supply chains. Today, more than 15,000 companies in over 120 countries run more than 36,000 installations of SAP(R) software. With subsidiaries in over 50 countries, the company is listed on several exchanges including the Frankfurt stock exchange and NYSE under the symbol "SAP." (Additional information at http://www.sap.com).

This press release contains forward-looking statements based on beliefs of SAP's management. Any statements contained in this press release that are not historical facts are forward-looking statements as defined in the U.S. Private Securities Litigation Reform Act of 1995. The words "anticipate," "believe," "estimate," "expect," "intend," "may," "plan," "project," "should" and "will" and similar expressions as they relate to SAP are intended to identify such forward-looking statements. Such statements reflect the current views and assumptions of SAP, and all forward-looking statements are subject to various risks and uncertainties that could cause results to differ materially from expectations. The factors that could affect the company's future financial results are discussed more fully in SAP's filings with the U.S. Securities and Exchange Commission (the "SEC"), including SAP's Annual Report on Form 20-F. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of their dates. SAP undertakes no obligation to publicly update or revise any forward-looking statements.

Copyright (c) 2001 SAP AG

SAP, the SAP logo, mySAP.com, mySAP, and all other SAP products and services mentioned herein are trademarks or registered trademarks of SAP AG in Germany and several other countries. Other product or service names mentioned herein are the trademarks of their respective owners.