SAP is acquiring Khimetrics to provide its retail business applications customers with better pricing and product-demand analysis.
The Arizona, US-based Khimetrics, which has most of its customers in the US, has seen rapid growth, and marks the latest acquisition by SAP in its strategy to buy specialist companies operating in vertical markets.
The deal follows SAP’s acquisition of Triversity, a small software company that makes point-of-sale software. The value of the acquisition has not been revealed.
SAP’s strategy to buy niche players is in contrast to big rival Oracle, which has this year chosen to spend billions of dollars on acquiring PeopleSoft and Siebel – plus lesser amounts on retail players like Retek.
Retek, which has most of its customers in the US, was originally an SAP target before Oracle stepped in.
SAP cannot be sure that Oracle won’t step in to buy Khimetrics too, as Oracle chief executive officer Larry Ellison is on record as saying that Oracle will do everything to protect its share of the US retail market, which it claims to lead.
The SAP deal is set to be completed in January and if it goes through, Khimetrics’ Java-based software will be integrated into the SAP for Retail software portfolio.