The purpose of this study is to examine the users’ acceptance of the Interentity supply contract e-procurement system for national universities in Taiwan by applying Technology Acceptance Model (TAM), with a focus on the role of its external variables. For this purpose, this study builds an extended TAM by incorporating two variables, system quality and information quality, about the system characteristics as its external variables to make the model more applicable. Then we draw the sample from the staff members of national universities in Taiwan who have experiences in using this e-procurement system. The data was collected by traditional mail survey with questionnaire. After that, we use the LISREL software to do the testing of our research hypotheses by applying structural equation modeling (SEM) technique. This study finds that the system characteristics are the main factors influencing user’s acceptance behavior. This means that it is essential for government to improve the system quality and information quality of the e-procurement system if they want to promote users’ use intentions and frequencies.