Neusoft and EMC Agree to Establish Strategic Partnership

EMC and Neusoft Contract to Set up a Joint R&D Center and Launch Cooperation in Solution R&D, Education & Training, Market & Service, and Medical Services.

【27 April 2005, Beijing China】 EMC, the USA-based world leader of information storage and management, and Neusoft Group Ltd, Chinese leading software and solutions provider, jointly held a strategic partnership agreement signing ceremony and press conference in Beijing today. At the press conference it was announced that both sides were to establish a strategic partnership. Both EMC and Neusoft wish to, through a win-win alliance, enhance Chinese information management and service market by jointly providing customers with optimized products and solutions. Mr. Joe Tucci, President & CEO of EMC, Dr. Liu Jiren, Chairman & CEO of Neusoft Group Ltd and senior managements of both sides were present on the occasion. The agreement covers construction of an EMC-Neusoft joint R&D center as well as broad cooperation in solution R&D, education & training, market & service, and medical services.

An accurate understanding of market and customer needs lays groundwork for this partnership. TBC data indicates an upcoming rise of the ratio of storage equipment purchase to IT budget from current 50% to 75% in the coming one or two years; by 2006, network storage will rise to a new peak and the global market capacity will reach more than US$ 100 billion when Chinese market capacity will be 100,000 TB.

According to the agreement, both sides will firstly set up an EMC-Neusoft R&D center in Shenyang City where Neusoft is headquartered. The center will be engaged in, by using complete infrastructures and abundant human resources of Neusoft, localization, test, quality verification & appraisal of EMC software products; software R&D support; and new product & component development. It will better address rapidly-growing customer demands in the Chinese market. Neusoft will also benefit from this partnership with an increased capacity in storage features of solution portfolio and a higher market share of offshore software outsourcing.

In the arena of education & training, EMC has set up an EMC storage technology authorized training center at NIIT that offers storage engineer training programs of both CTF and CCM levels to enterprises and individuals. An EMC-Neusoft storage technology laboratory was also established in Dalian. Since EMC storage technologies are built in or applied by Neusoft solutions and products, EMC will accommodate professional certification training to solution consultants and IT architects of Neusoft. Besides, EMC and Neusoft will implement a training scheme for customers of both sides.

The last part of cooperation involves medical services. Neusoft is to embed EMC platforms into its medical products, digital imaging systems and e-hospital solutions. By using strengths of each other, both sides hope to leverage their competence in related fields for more market shares of their solutions.

EMC is always pursuing innovation in the fields of virtual storage, information lifecycle management, disaster tolerance and business continuity with remarkable market performance achieved. As an important strategic partner of EMC, Neusoft has dedicated itself in infrastructure informatization in China for years. Up to now it owns more than 7000 large customers, rated as a leading market share holder in many industries. According to a survey report released by CCID Consulting in the beginning of this year, Neusoft’s international software export topped all other Chinese software enterprises in 2004. It is analyzed that this strategic partnership between EMC and Neusoft is a win-win alliance that will enhance core competitive edges of both sides by providing customers with optimized software products and solutions.

About EMC

The USA-based EMC is the world leader in products, services, and solutions for information storage and its management, offering enterprises and institutions network storage solutions. EMC is missioned to help customers manage and use more information, more easily and effectively. To know more about EMC’s products and service information, please visit EMC’s website at: http://www.emc.com.