SAP pushes SOA but dodges SaaS questions

SAP announces more than 80 new additions to its portfolio of All-in-One solutions but refuses to answer questions about its plans for A1S software as a service solutions

SAP today announced over 80 new additions to its All-in-One portfolio, which is designed to help customers make the best use of service orientated architecture (SOA) platforms.

It also outlined new downloadable packages for smaller businesses using its SAP Business One business management software that offer quicker access to new features and maintenance updates.

But the company refused to divulge pricing details or discuss any future plans for A1S software as a service (SaaS) solutions for SMEs, expected to debut later this year.

“I cannot give answers to those questions right now, but interested customers will want to wait until SAP says more about that,” said SAP CEO Henning Kagerman.

SAP did reveal it plans to deliver standardised software packages that will shave up to 90 percent off total cost of ownership (TCO) in some cases.

“We have 10,000 customers in user groups, but they are different types with different requirements. Some customers are inclined to accept standardisation and do not expect everything, others will want extras and expect to pay a higher price. The 90 percent TCO is only targeted at certain groups of customers,” added Kagerman.

SAP estimates that 850 more customers will move to its mySAP ERP 5.0 during 2007, but sought to reassure customers still using its R/3 business application suite and NetWeaver platform that they would not be pushed into adopting the SOA and web services.

“We don’t force customers to upgrade because we can see the benefit of NetWeaver backed services, but real enterprise SOA is ERP 2005,” said Kagermann.