|By Maureen O'Gara||
|June 10, 2013 08:00 AM EDT||
SAP is buying hybris, a 16-year-old $85 million-a-year Swiss e-commerce company, expecting to deliver the next-generation e-commerce platform for on-premise and cloud deployment.
It claims the purchase, which many have expected for a long time, puts it at the leading edge of the consumer economy, raising the stakes in customer relationship management (CRM) and defining the next-generation customer experience.
Terms weren't disclosed, but All Things Digital thinks the deal is costing SAP $1.2 billion-$1.5 billion.
hybris just got $30 million from the VCs in March including Meritech Capital Partners and Greylock Israel. Its majority investor is Huntsman Gay Global Capital (HGGC), a private investment firm based in Palo Alto, California.
Forrester Research thinks these guys and their controlling interest dissuades hybris from going public and pushed it into SAP's arms instead.
Forrester also thinks SAP made the move now because its Web Channel Experience Management was way behind the market; because hybris has been treading on SAP's traditional ERP turf; and because SAP had a gaping hole in its portfolio compared to Oracle and IBM.
Forrester says, "With this acquisition, the enterprise commerce technology landscape is now dominated by four large software companies: SAP, IBM, Oracle and eBay. There are other smaller players, notably: Demandware, Digital River and Intershop, all of which have long been publically traded. The acquisition of hybris brings to a close a multibillion-dollar, three-year spell of intensive M&A and IPO activity in the enterprise commerce technology space. There will be future acquisitions for sure, but there are few independent vendors left now. The enterprise commerce space has entered a new phase of maturity and is now firmly entrenched as a strategically key product line alongside ERP and CRM."
The total value of the e-commerce technology market is estimated at $37 billion.
The consumer-facing widgetry is supposed to reinforce SAP's e-commerce applications and counter market share gains made by Salesforce. SAP's sales from CRM software was up just 0.1% last year, putting it behind Salesforce which grew 26% according to Gartner.
SAP means to connect the front-end e-commerce engine to back-end systems like inventory management and applications managing sales accounts, marketing and social engagement and then manage the resulting transactional data in other systems.
SAP will be going after folks interested in multiple delivery channels, devices and touch points. The combination of its enterprise solutions and hybris' omni-channel commerce solutions is supposed to offer the enterprise the enhanced data and tools needed to optimize margins and customer loyalty.
SAP said, "Today's consumers and businesses demand a seamless brand and shopping experience across all channels. Big Data, cloud and social technologies only heighten demand for the innovative commerce solutions needed to manage consistent customer engagement. Growing at more than twice the rate of the retail industry, e-commerce is increasingly recognized as a critical capability in identifying, winning and growing profitable customer relationships."
hybris will keep its current management led by CEO Ariel Lüdi and president and co-founder Carsten Thoma and remain standalone - which suggests to Forrester that there will be no forced dependencies.
SAP already has Ariba to facilitate transactions between businesses and it plans to integrate its HANA in-memory database technology with the service so clients can find and compare what they want. It also has the Jam social software platform
Actually everything SAP's got is ultimately supposed to be integrated with HANA and its analytics.
Besides Salesforce, SAP will be up against IBM and Oracle. hybris competes with IBM's WebSphere Commerce Suite and Oracle's Commerce Suite. NetSuite also just said it's getting into e-commerce and has a deal with Williams Sonoma.
The deal theoretically makes SAP number three in the market behind IBM and Oracle.
The company is based in the pretty lake-side town of Zug, Switzerland. It has 650 employees and its main offices are in Munich and Montreal. It has 500 corporate customers including GE, P&G and Ericsson.
hybris is supposed to be the world's fastest growing e-commerce software company although some Chinese firms might dispute that statement.
Its omni-channel commerce platform incorporates web, mobile, call center and store solutions. SAP says it helps businesses of all sizes on every continent sell more goods, services and digital content through every touch point, channel and device. Its solutions provide a single view of customers, products and orders across multiple demand and delivery channels through state-of-the-art master data management and unified commerce processes.
SAP is supposed to expand its scope, scale and power.
The deal should close in Q3.
SYS-CON Events announced today that BroadSoft, the leading global provider of Unified Communications and Collaboration (UCC) services to operators worldwide, has been named “Gold Sponsor” of SYS-CON's WebRTC Summit, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. BroadSoft is the leading provider of software and services that enable mobile, fixed-line and cable service providers to offer Unified Communications over their Internet Protocol networks. The Compa...
Apr. 17, 2015 09:45 PM EDT Reads: 2,073
VoxImplant has announced full WebRTC support in the newest versions of its Android SDK and iOS SDK. The updated SDKs, which enable audio and video calls on mobile devices, are now compatible with the WebRTC standard to allow any mobile app to communicate with WebRTC-enabled browsers, including Google Chrome, Mozilla Firefox, Opera, and, when available, Microsoft Spartan. The WebRTC-updated SDKs represent VoxImplant's continued leadership in simplifying the development of real-time communication...
Apr. 17, 2015 09:30 PM EDT Reads: 1,739
SYS-CON Events announced today that GENBAND, a leading developer of real time communications software solutions, has been named “Silver Sponsor” of SYS-CON's WebRTC Summit, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. The GENBAND team will be on hand to demonstrate their newest product, Kandy. Kandy is a communications Platform-as-a-Service (PaaS) that enables companies to seamlessly integrate more human communications into their Web and mobile applicatio...
Apr. 17, 2015 08:45 PM EDT Reads: 2,134
PubNub on Wednesday released an open source template to allow developers to add Skype-like video chat into their apps. The free template provides a fully functional video chat platform using WebRTC, PubNub and Google Authentication for a global, reliable collaboration solution. “While the WebRTC protocol has created huge excitement as a way to deliver video chat ubiquitously, there’s still a gap between the protocol itself and the ability to deploy a working, globally scaled, collaboration appl...
Apr. 17, 2015 07:45 PM EDT Reads: 7,219
SOASTA, the leader in performance analytics, today reported record growth of the CloudTest community, exceeding 30,000 registered users of the CloudTest platform in Q1 2015. SOASTA also announced widespread adoption of its Web and mobile testing solutions, with more than 1,600 customers completing more than 285,000 tests using CloudTest during the quarter. This rapid growth shows that DevOps-driven digital businesses are embracing a more continuous approach to testing, and CloudTest is meeting t...
Apr. 17, 2015 07:30 PM EDT Reads: 920
The IoT Bootcamp is coming to Cloud Expo | @ThingsExpo on June 9-10 at the Javits Center in New York. Instructor. Registration is now available at http://iotbootcamp.sys-con.com/ Instructor Janakiram MSV previously taught the famously successful Multi-Cloud Bootcamp at Cloud Expo | @ThingsExpo in November in Santa Clara. Now he is expanding the focus to Janakiram is the founder and CTO of Get Cloud Ready Consulting, a niche Cloud Migration and Cloud Operations firm that recently got acquir...
Apr. 17, 2015 07:15 PM EDT Reads: 756
ProfitBricks has launched its new DevOps Central and REST API, along with support for three multi-cloud libraries and a Python SDK. This, combined with its already existing SOAP API and its new RESTful API, moves ProfitBricks into a position to better serve the DevOps community and provide the ability to automate cloud infrastructure in a multi-cloud world. Following this momentum, ProfitBricks has also introduced several libraries that enable developers to use their favorite language to code ...
Apr. 17, 2015 06:00 PM EDT Reads: 1,204
Chef and Canonical announced a partnership to integrate and distribute Chef with Ubuntu. Canonical is integrating the Chef automation platform with Canonical's Machine-As-A-Service (MAAS), enabling users to automate the provisioning, configuration and deployment of bare metal compute resources in the data center. Canonical is packaging Chef 12 server in upcoming distributions of its Ubuntu open source operating system and will provide commercial support for Chef within its user base.
Apr. 17, 2015 05:45 PM EDT Reads: 1,682
SYS-CON Events announced today that Optimal Design, an Internet of Things solution provider, will exhibit at SYS-CON's Internet of @ThingsExpo, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. Optimal Design is an award winning product development firm offering industrial design and engineering services to the consumer, medical, and defense markets.
Apr. 17, 2015 05:30 PM EDT Reads: 1,551
While DevOps most critically and famously fosters collaboration, communication, and integration through cultural change, culture is more of an output than an input. In order to actively drive cultural evolution, organizations must make substantial organizational and process changes, and adopt new technologies, to encourage a DevOps culture. Moderated by Andi Mann, panelists will discuss how to balance these three pillars of DevOps, where to focus attention (and resources), where organizations m...
Apr. 17, 2015 05:00 PM EDT Reads: 1,588
SYS-CON Events announced today that kintone has been named “Bronze Sponsor” of SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY, and the 17th International Cloud Expo®, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. kintone promotes cloud-based workgroup productivity, transparency and profitability with a seamless collaboration space, build your own business applic...
Apr. 17, 2015 04:45 PM EDT Reads: 1,440
SYS-CON Events announced today that Stratoscale, the new data center operating system, will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. Based in Herzeliya, Israel, Stratoscale is redefining the data center, developing a hardware-agnostic, software platform hyper-converging compute, storage and networking across the rack or data center. The self-optimizing platform automatically distributes all physical...
Apr. 17, 2015 04:45 PM EDT Reads: 1,523
of cloud, colocation, managed services and disaster recovery solutions, will exhibit at SYS-CON's 16th International Cloud Expo®, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. TierPoint, LLC, is a leading national provider of information technology and data center services, including cloud, colocation, disaster recovery and managed IT services, with corporate headquarters in St. Louis, MO. TierPoint was formed through the strategic combination of some of t...
Apr. 17, 2015 04:00 PM EDT Reads: 1,255
How do you securely enable access to your applications in AWS without exposing any attack surfaces? The answer is usually very complicated because application environments morph over time in response to growing requirements from your employee base, your partners and your customers. In his session at 16th Cloud Expo, Haseeb Budhani, CEO and Co-founder of Soha, will share five common approaches that DevOps teams follow to secure access to applications deployed in AWS, Azure, etc., and the frict...
Apr. 17, 2015 04:00 PM EDT Reads: 1,311
SYS-CON Events announced today that Soha will exhibit at SYS-CON's DevOps Summit New York, which will take place on June 9-11, 2015, at the Javits Center in New York City, NY. Soha delivers enterprise-grade application security, on any device, as agile as the cloud. This turnkey, cloud-based service enables customers to solve secure application access and delivery challenges that traditional or virtualized network solutions cannot solve because they are too expensive, inflexible and operational...
Apr. 17, 2015 03:45 PM EDT Reads: 1,378