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The Host with the Most

SAP boldly goes where a number of other software vendors have already gone.

It’s still not entirely clear when SAP will release Business ByDesign for general purchase. The company’s management has indicated it intends to make the product widely available in the United States next year. At the unveiling, one official noted: “You can be sure we will ramp it up based on our profitability expectations.”

You can also be sure managers at rival ERP vendors will be watching closely to see if those expectations are met. “Everyone is waiting to see what the response is going to be,” says Shepherd. “Nobody really knows if there are 1,000 companies that are looking to buy — or 100,000.”

John Edwards is a frequent contributor to CFO.

Suite Smell of Success
If Business ByDesign catches on, it could give SAP a hammerlock on the ERP market.
ERP Vendor License Revenues* Share
SAP $3.8 bill. 42%
Oracle $2.3 bill. 25%
Sage Group $641 mill. 7%
Microsoft $602 mill. 7%
Infor $535 mill. 6%
Epicor $100 mill. 1%
Exact Software $91 mill. 1%
Deltek Systems $76 mill. 1%
Lawson $73 mill. 1%
IFS $59 mill. 1%
* 2006; Source: AMR Research

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