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gedas Becomes T-Systems

Global market leadership in the automotive sector by 2010

DETROIT, Nov. 15 -- T-Systems has reached an important milestone in its strategic direction on the global automotive market. The integration of gedas, the former IT subsidiary of Volkswagen, has been in full swing since April 2006. Today, the global renaming of the various branches begins. T-Systems is currently providing ICT services for over 50 global automotive suppliers and eight major manufacturers. The company intends to become the global market leader in the automotive sector by 2010. In Europe, T-Systems is already number one in terms of sales.

Cartel authorities gave the green light to T-Systems' acquisition of gedas in April 2006. As outsourcing belongs to the core business of T-Systems, all planning and integration processes have been conducted internally. The renaming process starts today. It will be implemented at all locations worldwide and is planned to be completed by the end of this year.

In its new Automotive Industry Line, T-Systems is bundling all of its activities for this global industry. T-Systems is now represented in all important regions and automotive markets worldwide with its 25 local business units. Some 6,000 employees work at over 50 locations in Europe, Asia, South and North America and Africa. Today, T-Systems is represented at all of the industry's important production centers due to the strong international orientation of car manufacturers, which has grown in the past two decades. For example, the company has new local business units in Mexico and Argentina as well as a strong foothold in Spain and China.

The integration of gedas with its eleven local business units complements the existing international T-Systems locations perfectly. For example, T- Systems did not have its own business unit in Mexico before the acquisition. The Mexican local business unit is now working for two major German car manufacturers. T-Systems has also achieved a strong position in the Spanish market: Number one on the automotive market and also market leader in the public sector, where gedas is also very successful.

"The integration of gedas into T-Systems is going smoothly just as planned," explains T-Systems CEO Lothar Pauly. "Through gedas' expertise, we have expanded our ability to provide IT solutions around the world to our global customers with uniform standards and consistent quality."

The Automotive Industry Line at T-Systems provides consulting services to companies with regards to changes in their value-added chains: for the planning and development of new car models, the procurement of goods and services, the production process, the car dealership business and customer care at the dealerships. Telecommunications, software development, system integration and the operation of IT solutions combined with an understanding of business processes in the automotive industry constitute T-Systems' unique expertise in the core automotive market. By bundling expertise in information and telecommunications technology and combining this with knowledge of the automotive industry, T-Systems is able to offer a portfolio that meets with high demand in this global industry.

About T-Systems

T-Systems delivers high-quality services combining information and communication technology (ICT). The company's broad expertise in both fields makes the business customer division of Deutsche Telekom a preferred partner for multi-national corporations, small and medium-sized businesses and public institutions. Over 160,000 customers from every industry worldwide benefit from the company's special expertise in providing integrated ICT solutions from a single source. T-Systems is the only company to offer its own complete ICT portfolio and to combine IT and communication technology to produce new solutions. In 2005, 52,000 employees in over 20 countries achieved a turnover of over 16 billion dollars.