Commerce One joins SAP in e-market plan

In a surprise move, enterprise resource planning supplier SAP is to join forces with Commerce One to develop a joint e-business marketplace for online trading. The yet-to-be-named marketplace suite will be based on a common architecture which uses technology and applications provided by SAP, vendor of mySAP.com marketplace, and Commerce One, which is building an […]

In a surprise move, enterprise resource planning supplier SAP is to join forces with Commerce One to develop a joint e-business marketplace for online trading.

The yet-to-be-named marketplace suite will be based on a common architecture which uses technology and applications provided by SAP, vendor of mySAP.com marketplace, and Commerce One, which is building an auto-industry exchange for automotive giants including DaimlerChrysler, Ford, and General Motors.

The SAP/Commerce One marketplace will handle collaborative design through to customer fulfilment, with industry-based content-sharing services and business intelligence.

The suite aims to transform serial supply chains into collaborative communities, offering the benefits of shorter cycle times and improved customer relationships for online global operations. Its will offer advanced planning and optimisation, product life-cycle management and business information warehousing.

Mark Hoffman, chairman and chief executive officer of Commerce One, said: `This will bring about the collaborative market of the future. Our relationship with SAP adds tremendous value across a range of functions.’

SAP will buy $250m of unregistered Commerce One common stock, and share royalties in a three-year agreement.

Commerce One is a young internet company, and has established internet-based trading exchanges in industries ranging from chemicals, energy and utilities to aerospace and the auto industry.

SAP, despite having a range of ERP products used by many large, international organisations, has only a limited number of significant mySAP.com users, including Waterford Crystal, Nestle and Eurotunnel.

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