The US House of Representatives rejected the attempt to block Accenture (NYSE: ACN) from receiving the $10 billion security contract to help administer the US Visitor and Immigrant Status Indicator Technology (US-VISIT) program. Republicans and Democrats both agreed that pulling the Accenture contract could lead to serious delays in implementing key security measures.

Early last week, the House Appropriations Committee sponsored an amendment to the homeland security bill that would have prohibited the Bermuda-based company from administering the US-VISIT program. By Friday, the House had voted 221-182 to defeat the amendment, enabling Accenture to implement its $10 billion contract with the Department of Homeland Security.

"This is about a two-year delay in re-awarding the contract," said Arizona Republican Jim Kolbe. "It's about security."

The Trials of Oracle and DOJ

Competition is fierce. It is also the basis for the battle taking place in a San Francisco courtroom between Oracle and the Department of Justice.

Two weeks ago, Oracle faced off against the DOJ in the antitrust trial to block its $7.7 billion take-over bid for PeopleSoft. The DOJ, backed by state governments, Oracle competitors and PeopleSoft clients, claims that an acquisition would eliminate competition between enterprise software companies. Currently, Oracle, PeopleSoft and SAP dominate the market for software that large companies and governments can use to run their business. Without competition, the Department of Justice alleges software prices could rise.

There is also fear that Oracle would not upgrade and maintain current PeopleSoft applications after the merger. If Oracle did not support PeopleSoft applications, it could cost companies and governments billions of dollars.

In his testimony, Ken Johnson, chief information officer of PepsiAmericas Inc., claims that it would cost PepsiAmerica $30 million to switch software vendors and a study compiled by PeopleSoft indicates that state and local governments in 13 U.S. states could be forced to pay billions of dollars to switch software vendors.

"I'm concerned about the long-term direction of the (PeopleSoft) software we've implemented," Johnson said.

In its defense, Oracle claims that it would support PeopleSoft applications for the next 10 years.

Testimony in support of Oracle also indicates that there is sufficient competition within the niche. Internal documents released last week indicate that Microsoft has a long-term goal of generating $10 billion in annual business applications software sales. A witness also testified that Lawson, which typically serves the mid-market, was the chosen solution for "complex" companies like Johnson & Johnson and Safeway and it beat out PeopleSoft on 38 out of 65 deals in 2002.

It is too early in the game to determine who will come out ahead, but time will tell. U.S. District Court Judge Vaughn Walker will ultimately decide the fate of Oracle's $7.7 billion takeover bid in the upcoming weeks. The trial is expected to last a month.

General Dynamics Uses Siebel Field Service

Siebel Systems (Nasdaq: SEBL) recently announced that General Dynamics Network Systems, a business unit of General Dynamics, has chosen Siebel Field Service to enhance its support and maintenance of critical intelligence and command-and-control systems for U.S. defense and intelligence operations worldwide.
General Dynamics provides on-site computer repair, network management and administration, logistics support, video system support, software configuration, and remote diagnostics services at 1,065 customer sites worldwide. The Siebel Field Service system will track all requests for action between the government and General Dynamics. General Dynamics is conducting a pilot test and expects to fully roll out the solution by the fourth quarter of 2004.
"We are pleased to be partnering with General Dynamics," said Craig Fairfield, Director, Siebel Aerospace and Defense. "Customer service is a key differentiator for Department of Defense contractors. With increased outsourcing for service, defense contractors are competing for the life cycle service contracts supporting the armed forces. Through Siebel Systems' world-class Life Cycle Service and Support solution, we are proud to be the emerging platform standard for program support."

Siebel Systems Ships Siebel Sales 7.7

Siebel Systems announced the general availability of Siebel Sales 7.7. The release includes both new and enhanced functionality:

• Pay-for-Performance Solutions : designed to help organizations increase revenues and lower cost of sales.
• Microsoft Outlook and Microsoft Exchange Integration : designed to enable Siebel customers to access Microsoft Outlook and Exchange functions within Siebel interface
• Siebel Usage Accelerator 7.7 : designed to measure and manage user adoption and effectiveness of Siebel Sales
• Enhanced Mobile Support for Remote Field Sales Forces : designed to enable field personnel to leverage the power of Siebel Analytics without being connected to the corporate network
• Improved User Interaction : designed to simplify common actions by streamlining navigation; enhancing the readability of sales-related data; and providing embedded, role-based guidance

Providing specialist insurance services to businesses in over 189 countries, Lloyd's of London has signed an infrastructure management services agreement (IMS) with Unisys (Nasdaq: UIS), a contract with an estimated value of $17 million (GBP 10 million). Under the five year contract, Unisys will transform and manage Lloyd's IT infrastructure to help make it transparent, secure and flexible as well as support 1,400 desktops and 200 servers in an effort to provide a consistent user experience for Lloyd's employees and enhance service delivery.

"This extensive contract with Lloyd's strengthens Unisys presence in the City of London and demonstrates our deep understanding of the demanding financial services sector," explained Brian Hadfield, managing director, Unisys UK. "It also showcases that Unisys can manage IT risk for the most risk sensitive organizations, where downtime is not an option."

New Leadership for Accenture

Effective September 1, 2004, Stephen J. Rohleder will replace Stephan A. James as Accenture's (NYSE: ACN) Chief Operating Officer. After 36 years with the company, James will retire on August 31 but will continue to hold an advisory role as international chairman.

Currently, Rohleder serves as chief executive of Accenture's Government operating group, leading Accenture's work with national, state and municipal government agencies and organizations around the world. When Rohleder steps into his new position on September 1, Martin L. Cole, the current managing partner of Outsourcing & Infrastructure Delivery, will assume the role of chief executive of Accenture's Government operating group.

In their new positions, Rohleder will retain his roles as an executive officer of Accenture and a member of the company's Management Committee and Mr. Cole will become a member of the company's Management Committee and an executive officer.

"Steve Rohleder and Marty Cole are two of the most accomplished executives in our company and in the industry, with proven track records as business builders and an intense focus on sales and client satisfaction," said William D. Green, who will replace Joe W. Forehand as Accenture's CEO on Sept. 1, 2004. "I am excited about the passion for our business that Steve and Marty will bring to my leadership team as we guide Accenture into our next phase of growth."

ATB Financial Selects Siebel Branch Teller

Canadian bank ATB Financial has selected Siebel Branch Teller to revamp its branch network. Headquartered in Edmonton, Alberta, ATB Financial was established in 1938 and provides financial services to approximately 600,000 customers in 240 Alberta communities. ATB will use the Siebel branch renewal application to optimize the customer experience and to provide high-speed service while increasing operational efficiency and driving down branch transaction costs. IBM Global Services will provide end-to-end hardware and systems integration services.

"After an extensive review of possible vendors, we chose Siebel Systems because of the company's in-depth knowledge and expertise in branch renewal and their proven track record in large branch deployments," said Ken Casey, Senior Vice President, Retail Banking Delivery, ATB Financial.

ATB's requirements called for a solution that would improve the customer experience, capture cross-selling opportunities, and replace difficult-to-use character-based transaction screens. The ability to deliver additional enhanced functionality in the first phase of the project also influenced the company's choice.

Siebel Branch Teller is a customer-focused, end-to-end processing and fulfillment teller and platform solution which financial institutions can use to replace aging and cumbersome legacy systems. In addition, Siebel Branch Teller increases branch efficiency by automating transactions and processes and reducing paper-based operations.

Siebel Branch Teller is a component of Siebel Retail Finance, a complete banking solution that provides an integrated suite of financial transaction, marketing, sales, service, and business intelligence functionality.

BT to Standardize its Global Service Management Platform on Amdocs

Amdocs (Nasdaq: DOX) announced that British Telecommunications is standardizing its global service management platform across all business units by using ClarifyCRM to streamline and standardize its ordering, fulfillment and support processes.

Taking a page out of their relationship with Siebel Systems BT will establish a Centre of Excellence to provide expert resources.

Hayden New Head of Genesys

Genesys Telecommunications Laboratories, a subsidiary of Alcatel, announced that Wes Hayden is replacing Laurent Philonenko as president and CEO, effective immediately. As former senior vice president of Americas, Mr. Hayden and brings over five years of experience leading a profitable sales organization within Genesys.

"Wes Hayden's talent, experience and natural leadership ability will be strong assets in taking Genesys to the next level. He has an in-depth understanding of our company, our customer needs and our technology that will benefit every aspect of our organization, from engineering and product development to overall operations," said Jean-Christophe Giroux, President, Alcatel Enterprise Solutions Division.

Laurent Philonenko is expected to take a new position at Cisco.