Capstan and i2 Collaborate on Logistics Front

SAN MATEO (04/21/2000) - Enterprise business software developer i2 Technologies Inc. will be adding global shipping and logistics support to its line of FreightMatrix planning software through an exclusive reselling agreement with Capstan Systems Inc.

As a result of the partnership, the potential exists for i2 users to complement their internal supply-chain streamlining with external efficiencies via Capstan, industry observers said.

Capstan software also will work with the TradeMatrix package for developing business-to-business electronic marketplaces, according to officials.

The export, import, and global logistics offerings of Capstan will be available as hosted application services of the FreightMatrix suite. Joint engineering efforts are under way to make this possible.

The i2/Capstan combination will provide users with an alternative to a "global supply chain that is extremely manual now," said Ronald Alvarez, president and CEO of Capstan.

The hosted Capstan offerings should be available by June or July, Alvarez said.

Over the coming months, Capstan also will be training i2's systems integration partners, Alvarez said.

"Our efforts will be on supporting i2 for its Global 2000 accounts and building a response team [to assist in application deployments]," he said.

Analysts at AMR Research, in Boston, said that FreightMatrix users are likely to benefit from the domain expertise of Capstan, particularly the international trade compliance, regulation, taxing and tariff determination as well as documentation capabilities.

The relationship may even lead to an acquisition over the next six months, speculated John Fontanella, an analyst at AMR. Moreover, i2 also made an investment in Capstan of an undisclosed amount.

"It wouldn't surprise me," Fontanella said. Primarily, i2 "absolutely needs" Capstan's international trade functions, he said. To get there, i2 has to make a major commitment to integrate Capstan's software as well as provide content-management steps that would justify an acquisition.i2 Technologies Inc., in Dallas, is at Capstan Systems Inc., in San Francisco, is at

Capstan meets i2

ASP-hosted Capstan 2.0 modules and i2's FreightMatrix combine for the following.

* Supply-chain execution combined with global logistics* Building with TradeMatrix Internet marketplaces with logistics capabilities* Supply-chain services partners* International trade.

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