announced Thursday that they would step through the economic mire holding hands with a two-year deal that will involve $60 million.
Compaq will bundle Intuit's
personal finance software, Quicken New User Edition and the Quicken Financial Center onto Compaq's PCs. Houston-based Compaq will also power many of Intuit's most popular Web sites, such as Quicken.com, as well as advertise on them.
In exchange, Mountain View Calif.-based Intuit will use Compaq's servers and PCs. Intuit plans to integrate Compaq's Tru64 Unix operating system into its technology infrastructure and move its data storage onto Compaq's StorageWorks.
Alliances such as this one certainly are not new to tech biggies, even if they don't bring in much money. For Compaq, which took in $42 billion in revenue last year, and Intuit, which had sales of $1.4 billion, an extra $15 million a year is a relative revenue crumb.
Nonetheless, analysts agree that every bit helps. "This will add incremental value to both companies. It gives Intuit another distribution partner, and it's good for Intuit's already strong brand name," said
analyst Glenn Greene, who rates the stock an add. (His firm hasn't done any underwriting for the company.)