14. January 2013

HANA-Turbo against Oracle

License strategy for SAP-DBMS at a crossroad
CEO Snabe looks happy about this strike

So far, in-memory technology HANA had accelerated SAP BW and BusinessObjects components, as well as a number of business scenarios. Now SAP announced the support of In-Memory for the core Business Suite an rolls out this version via Enhancement-Packages. With that, companies can accelerate all queries and transaction processing, and they may think about the full replacement of their current database technology for SAP. License cost are 15% of application value and identical to the fees for Oracle DBMS. The move does not only improve the usage, but it will change the existing licensing strategy with Oracle. The support for OEM database products with continue, but Oracle DB is no longer a strategic product for SAP in the future.

A Rapid Deployment Solution will enable HANA Business Suite for SMB starting in February. It promises a go live within six months, along with a complete package of pre-configured software,  implementation services, content and training at a fixed fee.

What does it mean for you?

The rivalry between Oracle and SAP is well-known. The power play could escalate in the coming months and should be rationalized in current new license agreements with SAP by negotiation of a clear migration option. As long as SAP remits their OEM fees to Oracle, such money is lost for SAP HANA revenue. Any compromise to fund the HANA Version DBMS licenses in case of migration must come from SAP.

(Source: SAP)


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