Product Lifecycle Management Solutions from IBM and Dassault Systemes Boost Efficiency at Leading Premium Vehicle Manufacturer

MUNICH, Germany and PARIS--July 24, 2003--

BMW Group Expects a Reduction in Development Time and an Increase in Operational and Financial Efficiencies - Several Hundred BMW Group Suppliers Will Adopt the Same World-Leading Collaborative Design Solution

IBM and Dassault Systemes today announced that BMW Group, one of the world's most profitable car manufacturers and leader in the premium vehicle market, is developing a new vehicle program with IBM Product Lifecycle Management technology with software from Dassault Systemes. The powerful solution is helping BMW Group to streamline product development and contain costs.

IBM PLM Solutions, with CATIA(R) V5 for collaborative product development and ENOVIA(TM) for product data and lifecycle management developed by Dassault Systemes, will enable BMW Group to reuse standard vehicle components to create multiple variants that can be used from one model to the next. Integrating all product information throughout the vehicle development lifecycle, the new PLM platform is set to boost operational efficiency, increase collaboration between development teams, reduce time to market, and ultimately deliver better premium vehicles for increased customer satisfaction. The two-year rollout represents a significant IT investment by the BMW Group.

IBM has also been engaged in an extensive CATIA V5 rollout program to integrate BMW Group suppliers with the PLM platform. Several hundred suppliers contributing to BMW's new car program will be equipped with IBM PLM Solutions by the end of 2004. This collaboration will enable material suppliers to significantly improve efficiency by reacting to the design changes that are customary in new vehicle development far earlier in the product development cycle and eliminate unnecessary time delays that translate into costs.

Long-time partners with BMW Group for product development, IBM and Dassault Systemes' team of consulting professionals are supporting BMW Group to revolutionize the way a car is conceived and developed. With world-class PLM tools and industry expertise, BMW Group continues to strive for the optimum development process across all domains.

BMW Group is now prepared to develop entire vehicles virtually, which are the basis for complete virtual validations, i.e., crash test and other vehicle safety and performance simulations, significantly reducing the need for costly physical prototypes. Anticipated benefits include a significant reduction in both development time and cost via a process which facilitates faster and more innovative design.

CATIA V5 will be used to create a digital master car model that can be used to develop a full family of vehicles. ENOVIAVPM will run concurrently with CATIA V5 and CATIA V4 for total integration of vehicle design and manufacturing information. It will also enable BMW Group to efficiently manage all vehicle-related information - linking common standards, processes, applications and methodology.

"We have been working with BMW for more than twenty years. During that time, we have studied their development processes, listened to their engineers, and together come up with PLM solutions that perfectly fit BMW Group's development strategy. It's a win-win relationship built on trust and respect that has helped BMW Group, Dassault Systemes and IBM become leaders in their respective domains," said Bruno Latchague, Executive Vice president, Development and Support, Dassault Systemes and Dr. Manfred Sammet, IBM PLM Management Executive for the BMW digital car program.

Cars from the other BMW Group brands, MINI and Rolls Royce, are also developed using IBM PLM Solutions.

About IBM

IBM is the world's largest technological company, providing leadership and innovation throughout the world for more than 80 years. IBM is the largest supplier of "hardware", "software" and Information Technology services, and pioneered the development and implementation of "e-business" solutions. IBM Sales & Distribution, which supports more than a dozen key industries worldwide, works with companies of all sizes around the world to deploy the full range of IBM technologies. The fastest way to get more information about IBM is through the IBM home page at http://www.ibm.com

About Dassault Systemes

As world leader in PLM (Product Lifecycle Management) solutions, the Dassault Systemes group brings value to more than 65,000 customers in 80 countries. A pioneer in the 3D software market since 1981, Dassault Systemes develops and markets PLM application software and services that support industrial processes and provide a 3D vision of the entire life cycle of products from conception to retirement. Its offering includes integrated PLM solutions for product development (CATIA, DELMIA, ENOVIA, SMARTEAM), mainstream product design tools (SolidWorks), and 3D components (SPATIAL). Dassault Systemes is listed on the Nasdaq (DASTY) and Euronext Paris (#13065, DSY.PA) stock exchanges. For more information, visit http://www.3ds.com