SAP: TomorrowNow for sale, execs resign
SAP's TomorrowNow unit has been the subject of a lawsuit launched by Oracle. Anecdotal reports from analysts indicate that TomorrowNow may be having some trouble retaining customers amid the Oracle suit. So far, no significant financial damage has appeared.
On Monday, SAP said in a statement that TomorrowNow may be for sale. TomorrowNow CEO Andrew Nelson "and several members of his senior management team" have left the company. Mark White, who was appointed executive chairman of TomorrowNow in July, will remain in place.
White said:
"Our primary focus is TomorrowNow's existing customers, who will be supported through this management transition. SAP is prepared to manage through these changes to ensure that TomorrowNow's obligations to its current customers are met."
SAP added that White is putting programs in place to continue services and retain key managers and support personnel. White plans to meet with TomorrowNow customers in upcoming days.
If you parse that statement, it sounds like TomorrowNow is in flux right now. Meanwhile, SAP is also concluding that the unit isn't worth the headache. It's unclear what happens to the Oracle suit if TomorrowNow is sold. In any case, it appears that the Oracle suit has had a major effect on TomorrowNow, SAP's willingness to keep the unit and customers who may be eyeing the exits.