12 May 2009

Rumour: Microsoft to Buy SAP?

I don't normally comment on rumours, but this one is too plausible:

Microsoft Corp Chief Executive Steve Ballmer on Tuesday said speculation the company may buy German software firm SAP (SAPG.DE) was a 'random rumour.'

"I have nothing to say about rumours of acquisitions ... positively or negatively," he told reporters in Mumbai, when asked about an acquisition of SAP.

"It strikes me as a random rumour."

Microsoft, the world's top software firm, on Monday sold a $3.75 billion debt issue, sparking talk that it could be readying a bid for the German firm.

SAP's Co-Chief Executive Leo Apothekar said on Monday he believed the business software maker should stay independent, following the fresh speculation in European markets that Microsoft could bid for it.

Irrespective of rumours, Microsoft would be the perfect suitor for SAP since the latter is one of the last major bastions of proprietary software in Europe, and favours software patents.

That's no surprise, since Enterprise Resource Planning - SAP's heartland - is one of the few software sectors where open source has failed to make significant headway yet, and software patent monopolies are a great way to lock out up-and-coming free alternatives to high-priced closed-source solutions.

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Unknown said...

Things start to move also in the ERP world: see http://www.openerp.com/

Glyn Moody said...

Thanks. There are several good open source ERP projects coming along, but has really hit the big time yet, I think.