Microsoft invests $10m in Interliant

Microsoft has invested $10m in application service provider (ASP) Interliant as part of a joint development deal.

The alliance is the latest in a series of high-profile deals for Interliant. Dell Computer, BMC Software and Network Solutions have already taken an equity stake in the ASP.

The aim of the Microsoft pact is to build development tools for independent software vendors and solution providers wanting to create applications based on the software giant's Windows 2000 and Exchange 2000 Servers. Interliant would then host the messaging packages for its customers.

Thomas Knoll, vice president of Microsoft's Network Solutions Group, said: "Expanding the availability of new, high-performance application hosting services based on Exchange is a key component of Microsoft's efforts in this industry.""Interliant's skill in providing services and technology for the ASP market integrated with Microsoft's products create a powerful platform for businesses looking to deploy collaborative applications on the internet."

The deal builds on the two companies' existing agreement to build hosted services that extend the reach of the software giant's latest operating system and messaging product.