Houston, Texas, Nov. 18, 1999 – Cable & Wireless and Compaq Computer Corporation announced that they plan to form a global relationship, which will position Cable & Wireless as a leading application service provider (ASP) and Compaq as a premier provider of enabling technology and services. Cable & Wireless, enabled by Compaq, will be the first global provider to offer small- and medium-sized enterprises complete end-to-end e-business solutions, from Internet access devices to hosted business applications. Forrester Research predicts that the market for these services will grow to $10.1 billion by 2001.

The two companies plan to commit a total of $500 million over the next five years to the relationship. Compaq’s participation includes revenue-sharing and traditional supplier contracts. The new relationship will offer solutions from January 1, 2000, initially serving customers across the UK, Europe and US. Further expansion is planned across Asia Pacific during the following 12 months.

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