AT&T: Helps Intercontinental Hotels Group Develop Industry-First Application Service Provider Model

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Aaron Bedy
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Candlewood Suites Hotels now use hosted application
for all property management services

FOR RELEASE NOVEMBER 2, 2005

ATLANTA – AT&T announced today that it has deployed an Internet Protocol Virtual Private Network (IP VPN) for InterContinental Hotels Group and its managed Candlewood Suites Hotel portfolio — the first of its kind in the hospitality industry.

The new networking architecture centralizes the property management software application at AT&T’s Atlanta-area Internet Data Center (IDC) and eliminates the need for individual servers at each location. The 76 Candlewood Hotels now can access this core hotel operating system over a secure, privately managed network that lowers equipment and maintenance costs. It also makes it easy to update the software and remotely manage the computing systems.

“IHG has always envisioned a networking platform that allows us to offer hotels access to their property management system from a centralized location,” said Gustaaf Schrils, vice president of Hotel Technology Services for the Americas Region of IHG. “However, until now, networking technology made this model cost-prohibitive, difficult to implement and a serious network security risk.

“Using AT&T’s advanced networking solutions and technical expertise, we have developed a highly efficient network platform that will likely become a model for the hospitality industry.”

The AT&T solution leverages the VPN and Multi-Protocol Label Switching (MPLS) technology to provide a multi-faceted and highly reliable – but low cost – network. MPLS prioritizes data traffic between the hotel and the property management application residing at AT&T’s IDC, ensuring application performance and uninterrupted communications.

AT&T operates 26 IDCs around the world and has enjoyed a strategic technology relationship with IHG for nearly 50 years.

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About AT&T
For more than 125 years, AT&T (NYSE “T”) has been known for unparalleled quality and reliability in communications. Backed by the research and development capabilities of AT&T Labs, the company is a global leader in local, long distance, Internet and transaction-based voice and data services.