IFS and NEC Aggressively Target Automotive Market in China and Southeast Asia
SINGAPORE, May 18 -- IFS and NEC plan to jointly establish an Automotive Competence Center in Shanghai, China. The plan will be formally announced at IFS Asia Pacific Conference 2004, May 20, 2004-21 in Kunming, China. The Center will provide an integrated framework for customers and partners of IFS and NEC to perform prototyping, marketing, integration testing, and demonstrations of IFS Applications(TM) for the automotive market in China and Southeast Asia. This is one of the joint initiatives to result from IFS and NEC's announcement, made March 29 during IFS World Conference 2004 in Orlando, that the two companies are strengthening their partnership in global business solutions.
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China's automotive industry has experienced tremendous growth since the nation became a member of the World Trade Organization (WTO) in 2001. According to leading analyst firm Gartner, the opening of the automotive market to foreign investment may result in China's automotive production escalating to the level of Germany's by 2010*. Germany is currently the world's third-largest car producer. Domestic demand for Chinese automobiles is also likely to increase over the next few years as a result of rising income, easier access to financing, and extensive government investment in infrastructure development.
Industry estimates by just-auto suggest that the majority of global growth from 2004 to 2010 will be in Asia and that most of that growth will be in China, India, and Association of South East Asian Nations (ASEAN) countries. The ASEAN market is expected to reach 1.6 million vehicle sales in 2005 and 2.3 million by 2010. Automotive is one of IFS' focused industries.
"Through the Automotive Competence Center, NEC and IFS will collaborate to develop a global solution template for the automotive industry," said Mark Rabjohns, President of IFS Asia Pacific. "We are very pleased that NEC has chosen to partner with IFS in this global initiative. Our decision to base the center in China is largely due to the growth and potential of the automobile industry there."
"In response to a rapidly growing automotive market in China, NEC, through our partnership with IFS, will strengthen our support services toward this industry in Asia Pacific by establishing the Automotive Competence Center," said Yoshikazu Koda, General Manager of the 1st Manufacturing Industries Solutions Division of NEC Corporation. "Through this, NEC intends to empower its global solutions originated in China."
Initially, the center will consist of a core team of automotive experts from NEC and IFS. They will work closely with global industry directors as well as research and development teams in Japan (NEC) and Sweden (IFS) to develop the solution. The team will also have the extended support of presales and consulting staff from NEC and IFS to ensure fast, flexible, and effective communication in response to specific customer requirements.
With more than 120 automotive customers worldwide, including Isuzu Philippines, MG Rover, Volvo, BMW, Lotus Cars, London Taxi, and Tokai Rubber, NEC and IFS are confident that the in-depth knowledge and experience gained from working with these customers will yield a solution incorporating best practices and proven methodology.
* Gartner Dataquest Research Brief, Watch Out! China's Automotive Industry Accelerates, June 2003.
About NEC Corporation
NEC is one of the world's leading providers of Internet, broadband network, and enterprise business solutions dedicated to meeting the specialized needs of its diverse and global base of customers. Ranked as one of the world's top patent-producing companies, NEC delivers tailored solutions in the key fields of computer, networking, and electron devices, by integrating its technical strengths in IT and networks, and by providing advanced semiconductor solutions through NEC Electronics Corporation. The NEC Group employs more than 140,000 people worldwide and had net sales of approximately $40 billion in the fiscal year ended March 2004. For additional information, visit the NEC home page at: www.nec.com.
About IFS and IFS Applications
IFS develops and supplies component-based business applications for medium and large enterprises and organizations. IFS Applications, which can be implemented step by step, is based on web and portal technology. The solution offers 60+ enterprise application components used in manufacturing, supply chain management, customer relationship management, service provision, financials, product development, maintenance and human resource administration. IFS offers customers an easier, more open alternative.
IFS is a leading global business applications supplier with sales in 45 countries and more than 350,000 users worldwide. The company is listed on the Stockholm Stock Exchange (XSSE: IFS).
In Asia Pacific, IFS has offices in Australia, China, Hong Kong, India, Indonesia, Japan, Malaysia, Philippines, Singapore, Sri Lanka and Thailand. It is represented via a distributor in Taiwan.
For further information, please contact: John Bridges, VP Marketing of IFS North America, +1-520-512-2000, or fax, +1-520-512-2001, john.bridges@ifsna.com; or Chris Jensen, President of Jensen Market Relations, +1-714-847-7846, or fax, +1-714-847-4856, chris@jensenmarket.com, for IFS.
IFS' Web: www.ifsworld.com
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