CHT and Microsoft Sign MOU to Join Forces in Delivering Cloud Services

CHT and Microsoft strategically align to develop SaaS, PaaS and IaaS cloud
applications, integrating customized value-added services for the PC, mobile
phone and TV, bringing enterprise and end users a convenient digital
lifestyle.

TAIPEI, Taiwan, Nov. 9 /PRNewswire-FirstCall/ -- Today Microsoft Corp. signed
a memorandum of understanding (MOU) with Chunghwa Telecom Co. Ltd. (CHT)
announcing a collaboration on software applications and cloud services for
end-user devices, together creating new business opportunities in cloud
services. This strategic alliance will allow CHT to leverage Microsoft's
innovative platforms and technologies in delivering convenient, value-added
mobile and cloud services, bringing higher efficiency to enterprise users and
convenient, smart digital user experiences to consumers.

(Logo: http://www.newscom.com/cgi-bin/prnh/20000822/MSFTLOGO)

The MOU signaling the beginning of a collaboration on software applications
and cloud services for end-user devices was signed by Simon Leung, corporate
vice president, chairman and CEO of Microsoft Greater China Region, and
Shyue-Ching Lu, chairman and CEO of CHT, in the presence of Microsoft CEO
Steve Ballmer.

"Microsoft and Chunghwa Telecom have a strong partnership based on a shared
vision for delivering great products and services that enable our customers to
take full advantage of mobile technology at work and at home," Ballmer said.
"We're expanding the scope of our collaboration because CHT is a great partner
in these efforts and because we are committed to working closely with
companies in Taiwan to help strengthen the Taiwanese IT industry."

"Through this agreement, Microsoft and CHT will work together to deliver a new
generation of seamless, connected experiences that bring the power of cloud
computing to consumers and to business of all sizes here in Taiwan," Ballmer
continued. "These efforts will include everything from the implementation of
an optimized, dynamic datacenter to hosted services for businesses and new
cloud-based services for consumers that span PCs, mobile phones and the
television."

"We hope that our strategic alliance with Microsoft will result in a more
convenient mobile experience for consumers," Shyue-Ching said. "CHT has
continuously enhanced our software applications and service scopes, and
devoted ourselves to digital services including audio, video, information
security and entertainment services. The combination of Microsoft's innovative
technologies and CHT's resources is intended to accelerate the application of
cloud technologies on actual services, bringing consumers convenient services
and fresh user experiences."

"Allowing enterprise users and consumers to easily access information and
services with different end-user devices anytime, anywhere has been a common
aspiration and goal for CHT and Microsoft over the years. CHT's vast
experience in leading Internet infrastructures and providing consumers and
enterprise users with rich software applications will certainly stimulate the
realization of this goal," Leung said. "This MOU with CHT represents a shared
ambition to integrate cloud services with the three screens -- PC, smartphone
and TV. We believe that with the mutual sharing and incorporation of
Microsoft's cloud platform technologies and consulting services with CHT's
technology resources and service platforms, the vision of consumers and
enterprise users being able to quickly access information and services
anytime, anywhere, with any device is going to be within reach very soon."

CHT, Microsoft to Create Innovative Cloud Services and Enhanced Mobile
Experiences
The collaboration between Microsoft and CHT on cloud services focuses on three
areas, software as a service (SaaS), platform as a service (PaaS) and
infrastructure as a service (IaaS):
-- SaaS. CHT will become Microsoft's local telecom partner in providing
Microsoft Business Productivity Online Suite (BPOS) online services.
-- PaaS. CHT and Microsoft will conduct technology exchange in the area
of
public cloud computing. CHT will work with Microsoft in the Windows
Azure Platform Metro Early Adoption Program. Through technology
collaboration and support from the Microsoft Innovation Center, CHT
will
develop and deploy early adoption of cloud services on the Windows
Azure
platform and offer these services to consumers and enterprise users.

-- IaaS. In the form of technology sharing with CHT, Microsoft will
introduce the professional technology named Microsoft Global
Foundation
Services and Dynamic Data Center Toolkit. This joint effort enables
CHT
to provide optimized dynamic datacenter cloud services on the basis of
energy conservation, reduction of carbon footprint, power savings,
space
savings, and enhancement of cloud resource monitoring and management.

Value-Added Services for PCs, Smartphones and TV Bring Consumers Closer to a
Convenient Digital Lifestyle

In addition to cloud services, CHT and Microsoft will leverage the many
opportunities created by the worldwide launch of Windows 7 and are planning to
take further cooperative efforts for the three screens -- PC, smartphone and
TV -- with the goal of enabling users to enjoy the convenience that modern
technology brings.

In the area of PCs, CHT will build Microsoft products and technologies
including Windows Gadget, customized applications such as Microsoft Internet
Explorer 8 and Microsoft Silverlight technology into netbooks, enabling end
consumers to enjoy these applications and services directly upon turning on
their netbook.

The two parties will work together on built-in, customized, value-added
service interfaces for Windows® phones as well. CHT and Microsoft also plan to
cooperate in the area of digital home entertainment application services for
at-home TV users.

Founded in 1975, Microsoft (Nasdaq: MSFT) is the worldwide leader in software,
services and solutions that help people and businesses realize their full
potential.

SOURCE Microsoft Corp.

Sophia Chang, PR Director, Microsoft Taiwan, Tel: 02-37253808, Fax:
02-37253151, sophiach@microsoft.com; or Harry Wang, Corporate PR Manager,
Microsoft Taiwan, Tel: 02-37253160, Fax: 02-37253151, i-hawang@microsoft.com;
or Peter Teng, Veda International Corp., Tel: 02-27043024, ext. 168, Mobile:
0936115461, peter@veda.com.tw