Ericsson and SAP Announce New Combination of Cloud-Based Machine-to-Machine Solutions to Enhance Enterprise Efficiency
(Thomson Reuters ONE) -
BARCELONA, Spain - In an effort to meet the growing demand for machine-to-
machine technology, Ericsson (NASDAQ:ERIC) and SAP AG (NYSE:SAP) have signed an
agreement to jointly market and sell cloud-based, machine-to-machine (M2M)
solutions and services to enterprises via operators around the globe. The
solutions will be based on a combined software-as-a-service (SaaS) offering from
Ericsson and SAP within M2M.
The combined power of Ericsson's services, solutions, technology and network
operator infrastructure, which are powered by Ericsson Device Connection
Platform & Service Enablement Platform, and enterprise business solutions from
SAP powered by the SAP HANA® platform will allow businesses to find better and
more innovative ways to respond to customer needs even more quickly than they
could before. The announcement was made at Mobile World Congress, held February
25 - 28, 2013 in Barcelona, Spain.
Enterprises have faced barriers toward the adoption of M2M solutions, such as
lack of complete multi-industry end-to-end offerings and deficiency of suitable
global coverage connectivity solutions that are needed by multinational
enterprises. Ericsson and SAP are teaming up to deliver a connected cloud-based
offering to operators that will remove those barriers, while at the same time
adding the benefits of minimal up-front investment and faster time-to-market.
These new solutions and services will also help enhance enterprise efficiency in
key business processes such as maintenance, remote service, inventory, logistics
and road transport management, vending and customer experience management.
The joint M2M infrastructure and industry specific solutions will be provided by
operators as a service to enterprises, and Ericsson and SAP are already
discussing the model with operators.
Per Simonsen, CEO, Telenor Connexion, said: "At Telenor Connexion we see that
M2M is becoming an increasingly strategic and integral part of our customers'
operations and products. This joint collaboration between SAP and Ericsson is
key in facilitating customers' implementation of M2M, increasing the value
proposition and enhancing the customer experience. In addition, this will
provide great opportunities to reach new customers in different industries and
markets."
Lynda Burton, Director of Wholesale at Three UK, said: "We are seeing a growing
demand for turnkey M2M solutions. This partnership, combined with Three's market
leadership and experience in mobile data, delivers a powerful solution to
enterprise customers."
SAP is well positioned to offer enterprises market leading mobile, cloud
computing and big data analytics, as well asin-depth experience in combining
those technologies to create unique and powerful solutions across 24 industries.
Jim Hagemann Snabe, Co-CEO of SAP AG, said: "Today's announcement is a first
step toward delivering on a shared vision that SAP and Ericsson have for co-
innovating with our customers worldwide to help them deliver on the promise of
M2M. Together, we will break down the barriers that prevent customer adoption of
M2M solutions by delivering a simple, affordable and fast-to-implement
solution. Enterprises will benefit from an offering that provides them with
everything they need to connect to machines, and helps turn high volumes of data
into real-time knowledge and decision-making.
In addition to solutions and technology, Ericsson will lend its consulting,
systems integration and managed services, and complementary device and
applications testing, as well as verification services to facilitate a faster
time-to-market, efficient use of mobile network resources and an optimized user
experience. Operators, such as M2M connectivity providers, may choose from
different levels of ambition, ranging from a full enterprise M2M prime supplier
to an ecosystem partner.
The Ericsson Device Connection Platform and Service Enablement Platform operator
community is growing rapidly, with recent announcements by 3UK, Megafon,
Swisscom, TeliaSoneraand XL Axiata.
Hans Vestberg, President and CEO, Ericsson, said: "The global M2M service
revenue is estimated to reach more than 200 BUSD by 2017. This partnership gives
us a chance to unlock some of that potential. By accessing services and
controlling devices with solutions leveraging Ericsson experience from the
communications industry and SAP from the enterprise segment, businesses will
find better and more innovative ways to respond to customer needs more quickly.
Building an ecosystem also allows our operator customers a new way to address
new markets and enterprise needs."
The joint go-to-market model combines the assets of SAP, Ericsson and mobile
operators, making it possible for enterprises to effectively connect their
enterprise assets across multi-country operations with full integration to
existing business processes, along with support for mobile and real-time
scenarios.
This means that an enterprise needing a full end-to-end logistics solution -
including M2M connectivity, applications and cloud services - can get a
comprehensive solution from a mobile operator leveraging the SAP/Ericsson
partnership.
In another example, an enterprise needing a smart vending machine solution
including M2M connectivity, applications and cloud services, would be able to
contract the SAP and Ericsson offerings as a service through a mobile operator
leveraging the deal. Other components and vertical applications from both
companies can also be included in order to offer value-add and increase the
scope of the solution offered to the customer.
NOTES TO EDITORS
About SAP
As market leader in enterprise application software, SAP (NYSE: SAP) helps
companies of all sizes and industries run better. From back office to boardroom,
warehouse to storefront, desktop to mobile device - SAP empowers people and
organizations to work together more efficiently and use business insight more
effectively to stay ahead of the competition. SAP applications and services
enable more than 232,000 customers to operate profitably, adapt continuously,
and grow sustainably. For more information, visit www.sap.com.
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