SAP Advances Innovation Strategy With Sybase Acquisition

In late breaking news today, SAP announced a definitive agreement to acquire Sybase for $5.8 billion. The deal will be accretive for SAP and is expected to close in July 2010. Sybase is a profitable company with revenues of $1.2 billion and $1 billion in cash. Sybase Chairman, CEO and President John S. Chen will become a member of SAP's Executive Board.

The deal is a good move by SAP mainly because it accelerates SAP’s innovation strategy, which is focused on in-memory computing, mobile device applications, analytics, and SaaS. Sybase brings assets to the table in each of these areas:

  • In-memory databases via its Adaptive Server Enterprise (ASE) platform and SQL Anywhere.
  • Mobile applications development and device management via Sybase Unwired and Afaria.
  • Analytics via the Sybase IQ column oriented analytics server and complex event processing (CEP) technology.
  • Cloud computing is delivered via Sybase’s partnership with Amazon Web Services.

 

It is also a good move for several other reasons:

Read more