SAP AG and Microsoft on Tuesday announced plans to form a joint lab in Germany in an effort to tie the SAP Business Suite more closely with Microsoft's SQL Server 2005.
The announcement further extends the relationship between German-based SAP with Microsoft. Last month, the software giants announced plans to expand their Duet relationship, which aims to enhance SAP's Business Suite for Microsoft's Office.
Under the most recent announcement, the companies are seeking to simplify and improve the ability to run SAP applications on Microsoft's SQL Server 2005.
Although the companies have been collaborating for the past 15 years on SQL Server and SAP business applications, their efforts have particularly increased over the past few years. Both companies count Oracle as an arch rival, Microsoft on the database front and SAP on the applications front.
The two companies entertained talks about merging back in 2003.
The new lab will be housed on SAP's campus in Walldorf, Germany, an SAP representative said.