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Technology Stocks : EDS - Recent pullback a buy opportunity???
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To: Daniel G. DeBusschere who wrote (1365)2/10/1999 12:22:00 PM
From: Daniel G. DeBusschere  Read Replies (1) of 1841
 
___SAP Signs Outsourcing Deal With EDS___
SAP is setting its sights on small and midsize businesses.
The vendor yesterday announced an outsourcing alliance with
EDS to provide enterprise resource planning applications to
companies that typically do not have the technical expertise
or financial resources to implement such software.

The SAP software will be hosted at any of EDS's 12 data
centers in North America. The software will run on an Oracle
database and a Sun hardware platform. EDS will assume
responsibility for housing, maintaining, and upgrading the
software and hardware. It also will provide a frame relay
connection that will transfer SAP-related business data
between its centers and the customer site.

The service will be priced between $425 and $660 per user
per month for a minimum of three months, depending on the
number of SAP licenses purchased. Customers also must pay an
additional implementation fee, which will vary depending on
the amount of software customization required. "We want to
remove the barriers of entry to ERP software," says Tom
Melchiore, director of outsourcing at SAP. He says the
outsourcing program will translate into a lower total cost
of ownership, as well as greater customer satisfaction and
success rates with the software. That may well be the case,
given the many problems past customers have had with ERP
software in general. -- Tom Stein
*********************************
From InformationWeek Online
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