Monday, April 30, 2007
SAP swears off buying binge | The Register
SAP swears off buying binge The Register: "That, combined with Oracle's SAP attack tactics, and the fact SAP's last year missed expectations, delivering 13.5 per cent growth instead of the anticipated 15 to 17 per cent range, has left some on Wall St feeling unsettled over SAP's prospects.
It's probable that some have been whispering in Kagermann's ear over the judiciousness of a prudent acquisition or two to help match Oracle, in the way certain analysts in the past advised Sun Microsystems to spin out Java.
Kagermann, though, held firm. Asked about the effects consolidation and competition are having in an environment where enterprise spending is down, Kagermann said he believes SAP can hover above the forces of consolidation and slow down.
'[We are] doubling the addressable market to make it clear to investors that SAP doesn't depend on [the] growth rate of the markets, and we create our own markets. We have 25 per cent market share today. If we go for 35 to 40 per cent, we will have more than double digit growth for the next few years,' Kagermann told press, analysts, and bloggers.
'Consolidation is being driven by one company [Oracle], which we are not following because it's not a good solution,' he said.
SAP claims to have taken 550 Oracle customers."
It's probable that some have been whispering in Kagermann's ear over the judiciousness of a prudent acquisition or two to help match Oracle, in the way certain analysts in the past advised Sun Microsystems to spin out Java.
Kagermann, though, held firm. Asked about the effects consolidation and competition are having in an environment where enterprise spending is down, Kagermann said he believes SAP can hover above the forces of consolidation and slow down.
'[We are] doubling the addressable market to make it clear to investors that SAP doesn't depend on [the] growth rate of the markets, and we create our own markets. We have 25 per cent market share today. If we go for 35 to 40 per cent, we will have more than double digit growth for the next few years,' Kagermann told press, analysts, and bloggers.
'Consolidation is being driven by one company [Oracle], which we are not following because it's not a good solution,' he said.
SAP claims to have taken 550 Oracle customers."
