No financial terms were disclosed.

The alliance brings together Dassault Systemes' strength in 3D software with Microsoft's platform, which includes Web services development, real-time collaboration, and the Windows client and Windows Server operating systems.

Microsoft and Dassault Systemes also agreed to work together to encourage broad market adoption of XML (Extensible Markup Language) for 3D applications across the design and graphics industry.

XML is designed to improve the functionality of the Web by providing more flexible and adaptable information identification.

The companies said they would also explore opportunities to work toward delivering fully integrated products in the field of automation.

Microsoft president Bill Gates was to visit the head of Dassault Systemes Bernard Charles in Paris on Wednesday before holding a press conference.

Charles said in a statement that Microsoft and Dassault Systemes shared a common aim of making 3D and PLM widely available.

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