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December 20/27, 1999

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1999 Product Of The Year
i2 Technologies' Rhythm

By Alorie Gilbert

Products Of The Year:
  • Broadvision One-To-One

  • CacheFlow's Web-Caching System

  • Red Hat Linux 6.1

  • Novell Directory Services B

  • Oracle8i

  • Network-Based Procurement Services

  • i2 Technologies' Rhythm

  • Siebel 99

  • Four-Way Enterprise Servers

  • Extensible Markup Language

  • Hardware Renaissance

  • Most Important Products of the '90s

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    Analysts forecast that supply-chain software revenue will more than quadruple in the next few years, from $3.9 billion this year to $18.6 billion in 2003, according to analyst firm AMR Research.

    While today's market is characterized by many diverse players and segments, not one has been able to touch i2 Technologies Inc. in market share, revenue growth, and, recently, stock valuation. Among software packages that help companies forecast demand and optimize production, i2's Rhythm suite owns 13% of the market, a far greater share than any of its closest rivals. The company's market capitalization is more than $13.6 billion, with shares trading around $140, up from a low of $17.75 earlier this year, and i2 was added this month to the Nasdaq 100 Index, a listing of the largest and most active issues on the Nasdaq exchange, based on market capitalization.

    Today, i2 has more than 600 customers, including Compaq, Dell Computer, Ford, General Motors, and IBM. It sells more than 20 supply-chain software components, all part of the Rhythm suite, including applications for product life-cycle management, supply planning, demand planning, demand fulfillment, financial and operations planning, and customer-relationship management.

    Led by CEO and founder Sanjiv Sidhu, the company continues to innovate and redefine supply-chain management by aggressively expanding its product line. Repositioning itself as a provider of E-business systems this year, i2 launched its Intelligent eBusiness initiative, a group of products that promises to manage the process of selling goods over the Internet from the customer-facing front end to supplier management in the back office.

    In September, the company outlined plans for operating a public business-to-business trading exchange on the Web called TradeMatrix, where companies can conduct business with customers and suppliers and negotiate the best deals.

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