Friday, February 02, 2007
MySAP ERP 2005 upgrades increasing, ASUG president says
MySAP ERP 2005 upgrades increasing, ASUG president says: "For example, at TechEd 2006, Shai Agassi, SAP's products and technology group president, said the company would not have a major new version of mySAP ERP until 2010. Until that time, the company will periodically release updated features in bunches called enhancement packages.
'Prior to that announcement many customers were waiting for 'the next release' to adopt,' Masney said. 'With the clear market message that there's not going to be a 'next release' until 2010, we are seeing a large uptick in 2007 in the number of upgrades that customers are undertaking due to this predictability.'
In addition, many customers who have not upgraded from older versions are coming off maintenance plans. SAP's '5-1-2' maintenance strategy -- five years of maintenance, one year of extended maintenance for an additional 2% and two years for an additional 4% above the annual maintenance fee -- means that users of older versions are now facing a choice, Masney explained.
'Certainly there is some incentive to take advantage of upgrading to a supported product, because many of the older products are no longer on maintenance,' Masney said. 'When the core of your business and IT platform is mySAP ERP, certainly that's a part of the incentive to upgrade.' "
'Prior to that announcement many customers were waiting for 'the next release' to adopt,' Masney said. 'With the clear market message that there's not going to be a 'next release' until 2010, we are seeing a large uptick in 2007 in the number of upgrades that customers are undertaking due to this predictability.'
In addition, many customers who have not upgraded from older versions are coming off maintenance plans. SAP's '5-1-2' maintenance strategy -- five years of maintenance, one year of extended maintenance for an additional 2% and two years for an additional 4% above the annual maintenance fee -- means that users of older versions are now facing a choice, Masney explained.
'Certainly there is some incentive to take advantage of upgrading to a supported product, because many of the older products are no longer on maintenance,' Masney said. 'When the core of your business and IT platform is mySAP ERP, certainly that's a part of the incentive to upgrade.' "
