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Auto Industry Accelerates Toward E-business, but Road Ahead is Unclear

August 29, 2000

Automotive industry executives are quickly realizing the importance of the Internet, but are uncertain how to make e-business technology work for them, according to a survey sponsored by Computer Sciences Corporation and Automotive Industries.

According to the survey, which polled more than 200 senior-level executives representing a cross-section of the global automotive industry, 60 percent of the participants report that their corporate leaders now view information technology as an investment, rather than a cost -- up from 50 percent in 1999.

However, "determining the appropriate use of e-business" tops the list of technology issues cited by these respondents. Faced with a broad array of strategic possibilities, e-business investment decisions are rising to the CEO level. The impact of the Web's explosive growth and consumers' desire to sit in the driver's seat have also prompted senior executives to take a greater role in developing their organizations' e-business strategies.

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