Partner Press Release
Nortel Networks Serves as Design Architecture Partner in RosettaNet's Launch of EConcert

Organization Brings IT Industry Leaders Together to Develop Supply Chain Standards

For Release June 9, 1999

Santa Clara, CA -- Nortel Networks* [NYSE/TSE: NT/TSE: NTL] today announced its participation in the launch of IT industry standards organization Rosettanet's EConcert project. The EConcert project is a phased implementation of partner-to-partner eCommerce designed to establish global business process standards for a PC supply chain, called EConcert. The EConcert project involves manufacturers, distributors, resellers and end users, with support from system architects and solutions partners, representing 34 companies that generate more than half of the PC sector's US$7 billion on annual revenues.

"As architect partners inBy helping design the RosettaNet's EConcert project architecture, Nortel Networks has takenused our networking industry leadership in supply chain integration over the Iinternet and contributed our experience here to help create a scaleable solution. The EConcert capability is very customer-centric,: ensuring the customers get the best information how and where they need it," said John Zoglin, director of eCommerce for Nortel Networks, Enterprise Solutions business unit.. "Our philosophy, from our products through our eBusiness strategy, is always open, non-proprietary based. We found the needThe key to success is to be standards-compliant with other business partners in the chain to be the key to our future success in this business model."

"Over the past twelve months, Nortel Networks employees have been contributing to content and transaction standards development for EConcert. Our goal is to align business processes and be standards-compliant by February 2, 2000."

EConcert, currently in the pilot phase, consists oif a phased implementation including lab testing of concepts to pre-production pilots to live production implementations that will, begin onning February 2, 2000.

RosettaNet is defining and leading the implementation of open and common processes - an "infostructure" - designed to align the e-business interfaces between IT supply chain partners. By focusing on alignment of interfaces, RosettaNet does not impose a specific business model within any supply chain partner, but improves the processes between supply chain partners.