Intel Launches Worldwide Channel Initiative for Internet Service Providers

Program to Provide Internet Building Blocks For Rapidly Changing ISP Environment

SANTA CLARA, Calif., June 28, 1999 -- Intel Corporation today introduced the Intel Internet Service Provider Program, a worldwide channel initiative that will provide Internet Service Providers (ISPs), Application Service Providers (ASPs), and value-added resellers (VARs) with a variety of Internet-tailored products and technologies sold by a dedicated channel sales and support team. Aimed at the estimated 14,000 ISPs and ASPs worldwide, the Intel Internet Service Provider Program is a response to the rapidly changing nature of the Internet economy.

"The historical lines among ISPs, ASPs, and VARs are blurring," said Sean Maloney, Intel senior vice president and director, Sales and Marketing Group, "and the total number of ISPs globally is growing. ISPs have begun to offer application services and sell equipment, fueled by explosive demand internationally for Internet capabilities."

The Intel ISP Program will deliver server and networking "building blocks" to ISPs and ASPs via Intel's traditional sales channels, including distributors, VARs and computer manufacturers. The building block approach allows maximum flexibility for ISPs and their customers and maximum configurability for the channels that service those customers.

"ISPs are like fingerprints; no two are alike," said Maloney. "Each has different equipment and service needs. Under this program, the customer can choose the right level of integration and proper suppliers and channels."

A New Role for ISPs
The Intel Internet Service Provider Program will support the trend in which ISPs and ASPs sell Internet equipment to their own customers. According to industry analyst Infonetics, six out of ten ISPs plan to enter the CPE equipment resale business in 1999.

"ISPs are evolving from their traditional role of providing Internet access to becoming a one-stop-shopping source for many new Internet-related applications, products and services, such as Web hosting and creation, e-commerce and customer premise equipment," Maloney said. "They are becoming an important influencing force between Internet technology and small- and medium-sized businesses, as well as consumers."

To assist in this transition, the program will offer ISPs a variety of communication, sales and marketing tools, training, a dedicated ISP Web site with public and private content, financial services such as equipment leasing, and product demo programs.

Networking and Server Platform Building Blocks
Products offered through the program include both networking equipment -- such as local and wide area network connectivity products -- and server solutions.

Networking offerings are designed for ease of integration as well as scalability. They include infrastructure products, such as network interface cards, hubs and switches; connectivity solutions, such as routers, remote access concentrators, virtual private network (VPN) client and gateway offerings; and customer premise equipment solutions, such as routers, VPN technology and Intel's family of InBusiness™ connectivity products for small business.

Server products include Pentium® III and Pentium III Xeon™ processor based server platforms with special form factors to address ISPs' growing server needs. ISPs will also have the opportunity to choose from a variety of operating systems. The high-performing server solutions are designed to assist ISPs with maximizing "up time" and revenue, while achieving a higher level of integration.

For more information about the Intel Internet Service Provider program and to register for the Intel ISP newsletter, interested ISPs, ASPs and VARs should go to www.intel.com/isp. Registrants that fulfill the program and profile requirements can qualify to become program participants.

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