REDMOND, Wash. - April 3, 2000 - Microsoft Corp. today announced plans to release BackOffice^® Server 2000, the next version of its comprehensive server suite for the Microsoft^® Windows^® 2000 operating system that will reduce the cost and complexity of building, deploying and managing scalable IT solutions for branch offices, departments and medium-size businesses. Microsoft also today introduced a special pricing promotion on Upgrade Advantage (UA) for BackOffice Server and the BackOffice Client Access License (CAL), which allows BackOffice Select and Open License customers to upgrade to Windows 2000 Server immediately and entitles them to future upgrade releases of BackOffice Server components - as well as the server suite itself - for two years from the date of purchase.

BackOffice Server 2000: Built for the Windows 2000 Active Directory

BackOffice Server 2000 will feature Windows 2000 Server as well as the latest Windows 2000-based Microsoft server applications: Exchange 2000 Server (with the Outlook^® 2000 Service Release 1), SQL Server™ 2000, Host Integration Server 2000, Systems Management Server 2.0 with Service Pack 2 and the next release of Proxy Server. Microsoft is continuing its investments in the value-added features of the BackOffice Server suite, and BackOffice Server 2000 will offer enhancements to branch office administration and monitoring, setup and deployment, and server suite management, including updated sample intranet applications. BackOffice Server 2000 will be Windows 2000 Active Directory™-enabled, providing enhanced ease of use and security by integrating applications, users, data, suite features and other resources into a single, unified environment.

General availability is expected toward the end of 2000. Pricing for BackOffice Server 2000 will be announced at that time.

Upgrade Advantage

Upgrade Advantage is the cost-effective way to stay current with Microsoft server operating systems and applications. UA enables customers to upgrade to Windows 2000 Server immediately and future BackOffice Server suite components as they become available, all at savings from 13 percent to 24 percent. For example, UA for BackOffice Server under Open Licensing, normally $1,118 (U.S.) estimated retail price (ERP), is now $916 (U.S.), an 18 percent savings. UA for the BackOffice Client Access License (CAL) under Open Licensing, normally $118 (U.S.) ERP, is now $95 (U.S.), a 19.5 percent savings. Advantages to upgrading to Windows 2000 Server today include improved scalability, reliability and manageability for BackOffice Server 4.5, with new Web, networking and application services. The integration of Windows 2000 with BackOffice Server 4.5 provides enhanced directory and security services, simplified management via the Microsoft Management Console, and improved communications and Internet access through virtual private networks.

UA includes all BackOffice Server component upgrades, including Windows 2000 Server, Exchange Server, SQL Server, Host Integration Server, Proxy Server, Systems Management Server and upgrades of the server suite itself over a two-year period from the time of licensing. This UA pricing promotion is available to Open and Select customers and will be offered through June 30, 2000. More information about the promotion is available at the Microsoft BackOffice Server Web site, http://www.microsoft.com/backofficeserver/.

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.