Close
  • Latest News
  • Artificial Intelligence
  • Big Data and Analytics
  • Cloud
  • Networking
  • Cybersecurity
  • Applications
  • IT Management
  • Storage
  • Sponsored
  • Mobile
  • Small Business
  • Development
  • Database
  • Servers
  • Android
  • Apple
  • Innovation
  • Blogs
  • PC Hardware
  • Reviews
  • Search Engines
  • Virtualization
Read Down
Sign in
Close
Welcome!Log into your account
Forgot your password?
Read Down
Password recovery
Recover your password
Close
Search
Logo
Logo
  • Latest News
  • Artificial Intelligence
  • Big Data and Analytics
  • Cloud
  • Networking
  • Cybersecurity
  • Applications
  • IT Management
  • Storage
  • Sponsored
  • Mobile
  • Small Business
  • Development
  • Database
  • Servers
  • Android
  • Apple
  • Innovation
  • Blogs
  • PC Hardware
  • Reviews
  • Search Engines
  • Virtualization
More
    Home Applications
    • Applications
    • Cloud
    • Mobile

    SAP Acquires Business Collaboration Company Ariba for $4.3 Billion

    By
    Robert J. Mullins
    -
    May 22, 2012
    Share
    Facebook
    Twitter
    Linkedin

      eWEEK content and product recommendations are editorially independent. We may make money when you click on links to our partners. Learn More.

      SAP announced it is going to acquire Ariba, the provider of a cloud-based buyer-seller collaboration network for $4.3 billion, giving SAP an entrée into the fast-growing collaboration technology market.

      SAP America, the U.S. subsidiary of the German enterprise software giant SAP AG, made the deal to acquire Ariba at $45 a share, which is a 20 percent premium over the $37.64 closing price of Ariba’s stock on May 21, the day before the acquisition was announced. Ariba, which has 2,600 employees and is based in Sunnyvale, Calif., recorded $444 million in revenue in 2011, a 38.5 percent jump over 2010.

      Ariba sells cloud-based collaborative commerce applications used primarily in business-to-business environments. The acquisition comes one week after SAP rolled out a series of cloud-based applications at a conference in Orlando, Fla., tied to its acquisition of SuccessFactors, a maker of cloud-based human resources software, in February.

      “SAP’s entry into the inter-enterprise business network space significantly expands its growth opportunities and accelerates its momentum in the cloud,” SAP stated in a news release.

      Cloud-based collaboration software is a growing market as companies look for ways to keep in close touch with employees, partners and others increasingly scattered around the globe.

      Collaboration tools also include Voice over IP (VoIP) telephony, e-mail, instant messaging and videoconferencing features, collectively called unified communications technology. Microsoft Lync, for example, is a widely used UC platform. Likewise, Microsoft SharePoint is a Web application platform for collaboration, enabling document sharing and editing via the cloud.

      SAP said that industry experts estimate the size of the cloud-based enterprise network and procurement segment, in which Ariba operates, at $5 billion in revenue and that the Ariba network is the largest and most global trading network in the space, connecting and automating more than $319 billion in commerce transactions.

      “In our personal lives, networks are playing an increasingly important role in how we connect, share and shop–bringing more insight and efficiency into everything we do,” said Bob Calderoni, CEO of Ariba, in a statement. “Businesses are looking for the same connectedness, insight and efficiencies in the processes and collaboration with customers, suppliers and partners beyond the walls of their companies.”

      Ariba and its customers will also benefit from the capabilities of SAP’s HANA platform, which delivers enterprise applications from an in-memory-designed platform that offers faster performance than data retrieved from disk storage. New HANA-based apps were also introduced at the conference in Florida.

      The Ariba acquisition is expected to close in the third quarter of this year, SAP said.

      Robert J. Mullins
      Robert Mullins is a freelance writer for eWEEK who has covered the technology industry in Silicon Valley for more than a decade. He has written for several tech publications including Network Computing, Information Week, Network World and various TechTarget titles. Mullins also served as a correspondent in the San Francisco Bureau of IDG News Service and, before that, covered technology news for the Silicon Valley/San Jose Business Journal. Back in his home state of Wisconsin, Robert worked as the news director for NPR stations in Milwaukee and LaCrosse in the 1980s.

      Get the Free Newsletter!

      Subscribe to Daily Tech Insider for top news, trends & analysis

      Get the Free Newsletter!

      Subscribe to Daily Tech Insider for top news, trends & analysis

      MOST POPULAR ARTICLES

      Artificial Intelligence

      10 Best AI 3D Generators 2023

      Aminu Abdullahi - November 17, 2023 0
      AI 3D Generators are powerful tools for creating 3D models and animations. Discover the 10 best AI 3D Generators for 2023 and explore their features.
      Read more
      Latest News

      Zeus Kerravala on Networking: Multicloud, 5G, and...

      James Maguire - December 16, 2022 0
      I spoke with Zeus Kerravala, industry analyst at ZK Research, about the rapid changes in enterprise networking, as tech advances and digital transformation prompt...
      Read more
      Applications

      Datadog President Amit Agarwal on Trends in...

      James Maguire - November 11, 2022 0
      I spoke with Amit Agarwal, President of Datadog, about infrastructure observability, from current trends to key challenges to the future of this rapidly growing...
      Read more
      Cloud

      IGEL CEO Jed Ayres on Edge and...

      James Maguire - June 14, 2022 0
      I spoke with Jed Ayres, CEO of IGEL, about the endpoint sector, and an open source OS for the cloud; we also spoke about...
      Read more
      Applications

      Kyndryl’s Nicolas Sekkaki on Handling AI and...

      James Maguire - November 9, 2022 0
      I spoke with Nicolas Sekkaki, Group Practice Leader for Applications, Data and AI at Kyndryl, about how companies can boost both their AI and...
      Read more
      Logo

      eWeek has the latest technology news and analysis, buying guides, and product reviews for IT professionals and technology buyers. The site’s focus is on innovative solutions and covering in-depth technical content. eWeek stays on the cutting edge of technology news and IT trends through interviews and expert analysis. Gain insight from top innovators and thought leaders in the fields of IT, business, enterprise software, startups, and more.

      Facebook
      Linkedin
      RSS
      Twitter
      Youtube

      Advertisers

      Advertise with TechnologyAdvice on eWeek and our other IT-focused platforms.

      Advertise with Us

      Menu

      • About eWeek
      • Subscribe to our Newsletter
      • Latest News

      Our Brands

      • Privacy Policy
      • Terms
      • About
      • Contact
      • Advertise
      • Sitemap
      • California – Do Not Sell My Information

      Property of TechnologyAdvice.
      © 2022 TechnologyAdvice. All Rights Reserved

      Advertiser Disclosure: Some of the products that appear on this site are from companies from which TechnologyAdvice receives compensation. This compensation may impact how and where products appear on this site including, for example, the order in which they appear. TechnologyAdvice does not include all companies or all types of products available in the marketplace.

      ×