SAP on Tuesday reported second quarter net income that was down 9 percent from a year ago due primarily to merger integration costs, but revenue surged 18 percent. The company said it will hit the high end of its 2008 revenue targets.
The bet is that small and midsized companies are going to need to crunch unstructured data just like large outfits do.
One of the big takeaways from the SAP analyst meeting was the company's effort to woo small- to mid-size enterprise customers. The effort is there, but technology executives at these smaller enterprises are a tough nut to crack for large software vendors.
The Research in Motion vs. Apple smartphone face-off makes for a good story, but the companies present an interesting business strategy question: Is it better to start in the enterprise and then go consumer or vice versa?
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SAP co-CEO Leo Apotheker had a simple message in his keynote Tuesday: It's all about the business network, which consists of companies, suppliers, customers and all the data that flows between them. And to be in that network you need SAP.
SAP co-CEO Leo Apotheker says that Business ByDesign, the application giant's high-profile software as a service product, was delayed because of its total cost of ownership for the company.That's a fancy way of saying SAP hasn't figured out how to make money at its $149 per user per month price point.
If Oracle and SAP can gobble up cloud players there will be evolution not revolution.