SAP outlines future vision at CeBIT

SAP has moved to distance itself from the increasingly acrimonious dispute raging around Oracle's attempt to complete a hostile takeover of PeopleSoft.

Speaking at the CeBIT trade show, SAP chief executive Henning Kagermann said he disagreed with the US Department of Justice (DoJ) and shared Oracle's view that today's ERP market is made up of many more players than just SAP, PeopleSoft and Oracle.

"We have said publicly, and I will explain again, that we see the definition of the market as a growing one," he said.

"As a player in this market we believe the DoJ is wrong with its definition."

In its ruling against Oracle's latest bid for PeopleSoft last month the DoJ described the ERP market as "high-function, integrated human resource management and financial management services software".

Kagermann went on to describe how the ongoing takeover saga had affected SAP.

"The good thing [about the Oracle takeover bid for PeopleSoft] is that it is strengthening our position. But it is also bringing more price pressure," he said.

He added that smaller niche players focusing on specific verticals or countries would find it hard to survive in an atmosphere of consolidation, particularly as SAP was also targeting smaller businesses with its Business One suite.

"If we [ourselves] look for an acquisition, I think it would be at a vertical level like in banking, for instance, where our solution is not as comprehensive as it could be; although we are in no discussions and have no plans to do so at the moment," he said.

Kagermann also took the opportunity to outline a vision of full ERP integration across enterprises.

"This gives the customer the flexibility to easily substitute SAP functionality instead of another application, making the customer more willing to engage in a larger context with SAP," he said.