Sapphire: SAP has no plans to become service provider

SAP co-chairman and chief executive officer Hasso Plattner said that his company had "no plans" to become a fully fledged service...

SAP co-chairman and chief executive officer Hasso Plattner said that his company had "no plans" to become a fully fledged service provider, at the Sapphire customer conference and trade show in Lisbon yesterday.

The business software company aims to generate more revenue by offering services to its corporate clients.

"With mySAP, we have to become more involved in projects," Plattner said. "To that extent, we need to focus more on service, but we're not going to go out and hire thousands of consultants and compete as a service provider."

Plattner expects SAP to work more closely with consultants to develop and implement more new software products than it has in the past. He added that many large IT projects now consist of up to 70% software.

While services could, in many cases, offer higher margins than software, Plattner said the company has no intention of selling "one piece of software and multiple services to support it".

In the end, he said, "Our business is to introduce software: We're a software company."

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