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Adoption of Arena PLM Workgroup Edition Spreads Rapidly; Product Lifecycle Management Software Now A

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Foster City, Calif., Jun 22 - Arena Solutions, the leading provider of on-demand product lifecycle management software for mid-sized manufacturers, today announced the overwhelming success of its Arena PLM Workgroup Edition offering. Since Workgroup edition launched 4 months ago, more than 400 manufacturers have signed-on to use the free offering further solidifying Arena Solutions

Mid-sized manufacturers - a primary growth engine for the US economy - had previously been precluded from adopting PLM because traditional enterprise applications are too expensive, difficult to use and cumbersome to deploy. According to data from the National Association of Manufacturers (NAM), mid-sized manufacturers comprise about 95 percent of all U.S. manufacturing firms, employ about half of all manufacturing employees in the country, and account for more than $1 trillion in yearly revenue. Furthermore, the Federal Reserve said in a recent report that manufacturers of this size "are an integral part of the economy. They account for about half of private-sector output, employ more than half of private-sector workers and provide about three-fourths of net new jobs each year." These companies drive the economy through product innovation and are most in need of PLM solutions to help fuel their exponential growth and competitiveness against established firms. Arena PLM Workgroup Edition enables these companies to observe an immediate and dramatic increase in operational efficiency as well as streamline intra- and inter-company communication between designers, engineers, operations and the extended supply chain.

The hundreds of manufacturers that have adopted Arena PLM Workgroup Edition represent a broad diversity of companies including a foreign-based bicycle manufacturer, a cardiac device manufacturer and a developer of homeland security products for cargo containers. These companies are not just taking Arena on-demand PLM for a “test drive,” but are aggressively incorporating the product into their daily operations managing thousands of items in their bills of materials and collaborating with multiple supply chain suppliers and partners.

As adoption of Arena PLM Workgroup Edition spreads by word of mouth and companies experience the benefits that PLM delivered as a service provides to their organizations, many are taking steps to upgrade from the free, entry-level version to full deployment of Arena PLM Professional Edition, the company’s comprehensive PLM offering for larger companies and development teams. Companies electing to upgrade from Workgroup Edition to Arena PLM Professional do so seamlessly, with no additional deployment or software installation required and no data migration.

“The increase in complexity of our products and doubling of the rate of new product introduction required that we use a best of breed PLM solution,” said Gary Langerhans, Vice President of Operations of CoVi Technologies, the technology leader in high-definition video surveillance solutions. “The ability to test drive Arena PLM before purchase was a major selling point. With previous technology purchases we didn’t really know what we had bought until after the sale and were often times disappointed. With Arena Workgroup we were able to validate that the features we needed – BOM management, item management, version control, supplier collaboration and more – were available as advertised. Our engineers and document control professionals were able to experience for themselves how easy the application was to use. And the instantaneous deployment of Workgroup made us secure that we’d be up and running with Arena Professional quickly.”

“Arena Solutions has gained considerable traction in the marketplace by offering our Workgroup Edition for free trial to manufacturers that were previously unaware that a PLM product even exists for them,” said Michael Topolovac, CEO of Arena Solutions. “By providing product lifecycle management software as an on-demand service, we lower the cost of ownership and make PLM available to an underserved market of mid-sized manufacturers. SaaS applications are quick to deploy, easy to use and affordable. We believe so strongly in our ease of use and value proposition that we are willing to let prospects test drive the application prior to purchase. Our success validates that on-demand PLM and mid-market adoption will be a significant driver of PLM market growth to over $10 B in 2006 as predicted by IDC Research.”

Arena PLM enables manufacturing companies to share - in real time - a single version of the product record, facilitating design and engineering collaboration in diverse industries such as high-tech electronics, medical devices and consumer products. With an easy-to-use application that can be accessed on-demand, everyone in the global outsourced supply chain - from OEMs to their contract manufacturers, outsourced designers and suppliers - is able to work more efficiently, speed time-to-market, and more capably address market pressures.

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