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Microsoft Federal Systems Joins DD 21 Blue Team

WASHINGTON, DC, October 11th, 2000 -- The DD 21 Blue Team, led by Bath Iron Works (BIW), a General Dynamics Company, and Lockheed Martin Naval Electronics & Surveillance Systems, announced today that Microsoft Federal Systems has joined the Blue Team, which is developing the U.S. Navy's next-generation surface ship - the Zumwalt-class DD 21 land-attack destroyer. As a Blue Team member, Microsoft will provide solutions based on leading commercial software technologies, research and development, and future information technology trends. Microsoft will work with the Blue Team to identify best practices in software development and military solutions to support the ship's information infrastructure. Additionally, Microsoft Consulting Services will support the Blue Team with specific DD 21 solutions as well as technology deployment and knowledge transfer.

"The addition of Microsoft as a Blue Team partner will allow us to leverage software and information technology marketplace trends, ensuring that DD 21 will enjoy the benefit of the most modern, cost-effective computer processing software, hardware and architecture available," said Mike Hughes, Lockheed Martin Vice President, DD 21 Program.

"Our addition to the DD 21 Blue Team validates the paradigm shift Microsoft has undergone over the last two years," said Willie Williamson, Programs Director, Microsoft Federal. "We now actively participate in complex solutions for many of the various military functions, including weapons systems and command and control."

In July, Microsoft Federal Systems joined Lockheed Martin's Integrated Warfare Systems team, supporting the design and development of CVN 77, the U.S. Navy's next-generation nuclear-powered aircraft carrier. In that role, Microsoft Federal, based in Washington D.C., will lead the information infrastructure development activity based on the company's Windows 2000 platform. Among other activities, the IWS team will improve interoperability among sensors, advanced communications systems, high-performance ship network connectivity, aircraft control systems, and other electronics on the ship.

The Navy plans to procure the DD 21 Zumwalt-class destroyer under a streamlined acquisition process that encourages innovation, design flexibility and the use of commercial technologies and processes. Consequently, procurement, operating and support costs for the DD 21 will be substantially lower, and technical advances in ship design will enable the DD 21 to operate with up to 70 percent fewer crew members than today's surface combatants require.

The Blue Team approach also focuses on critical requirements such as land attack, crew quality of life, survivability, design for commonality with future 21st century Navy platforms, and key operational concepts that will enable the DD 21 to dominate the littoral battlespace. The DD 21 will also be the Navy's first class of ships designed and built during the 21st century to be powered by electric drive featuring an integrated power architecture.

The proposal for the ship's initial system design is due to the Navy in mid-November. In 2001, one contractor team will be selected to produce DD 21 with the first ship award scheduled for 2005 for a 2010 delivery.

The addition of Microsoft to the Blue Team complements an already strong group of industry teammates including: Northrop Grumman, SAIC, L3 Communications, Gibbs & Cox, United Defense LP, Solipsys, Computer Sciences Corporation, Micro Analysis & Design Inc., Aptima, Booz Allen Hamilton, Fire Risk Management, Hopeman Brothers, Metron, Sikorsky, Sippican, and the University of Maine. Their Blue Team commercial teammates include equally impressive organizations, including: IBM; Cisco; Rational Software; Aramark; and Parametric Technology.

Recognized Navy expertise is provided to the Blue Team by several detachments of the Naval Surface Warfare Center, the Space and Naval Warfare Systems Command (SPAWAR), and the Navy Inventory Control Point (NAVICP).

Founded in 1975, Microsoft (Nasdaq: MSFT) is the worldwide leader in software, services and Internet technologies for personal and business computing. The company offers a wide range of products and services designed to empower people through great software -- any time, any place and on any device.

Microsoft and Windows are registered trademarks or trademarks of Microsoft Corp. in the United States and/or other countries.

Jim Tierney
Lockheed Martin Naval Electronics & Surveillance Systems-Moorestown
856.722.5848
jim.g.tierney@lmco.com

Rich Palmay
Lockheed Martin Naval Electronics & Surveillance Systems-Moorestown 856.722.2708
richard.l.palmay@lmco.com

Keith Hodson
Microsoft
202.274.1485
khodson@microsoft.com



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