SAP Nation: a runaway software economy by Mirchandani Vinnie

SAP Nation: a runaway software economy by Mirchandani Vinnie

Author:Mirchandani, Vinnie [Mirchandani, Vinnie]
Language: eng
Format: epub
Publisher: Deal Architect Inc
Published: 2014-12-05T00:00:00+00:00


The data center has undergone a renaissance but few SAP customers benefited, because SAP hosting partners were too busy trying to recover their investments in older facilities. Of course, there were exceptions — the Capgemini “Merlin” data center in Swindon, U.K., opened in 2010, and “private clouds” SAP partners have recently been offering and partner virtualization efforts with VMware. SAP also gradually certified and introduced Amazon Web Services and Microsoft Azure offerings to its customers. (SAP had internally used AWS for years before it introduced it to its customer base.)

Inefficiently run data centers have been called some of the world’s worst polluters. SAP has emphasized sustainability and published an online annual report of its environmental and other investments with factoids such as reducing its “carbon footprint by 9 percent since the beginning of 2008.” It would be interesting to see a similar metric for its hosting partners.

If the U.S. CIA with its unique security requirements can pick Amazon over IBM for its infrastructure, and even offer to pay more for the Amazon bid, 92 it shows we have moved to a new world of IT industrialization that SAP customers could have leveraged.

SAP has since opened a data center in Sankt Leon-Rot, Germany, not far from its Walldorf headquarters, as part of its HANA Enterprise Cloud (HEC). The good news is this data center should put more pressure on its hosting partners. Imagine if SAP had done it much earlier around its Business Suite transaction processing areas. Instead, many of its customers are still stuck in multiyear hosting contracts in outdated data centers.

They have missed out on a wave of industrialization.



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