Analyst’s pessimistic prediction regarding SAP prompts the question . . . Are ERP Vendors down for the count?!

Posted on November 18, 2010


“On that note, it’s time to take a battering ram to European business software giant SAP, it seems. “SAP will continue to battle it out on the sales front, but the reality is that business intelligence (from the Business Objects acquisition) is the feeding tube keeping the old man alive,” it snipes. “As customers contemplate costly upgrades or inflexible maintenance, and others consolidate to be more agile, SAP has no new generation to offer. The duct tape and shoestring fixes are unrealistic, and companies now have credible alternatives (Oracle, NetSuite, and others)” – suggesting only decline awaits for the Walldorf legend.”

from November 17th, 2010 publicTECHNOLOGY.NET article “2011: The year Ballmer goes, HP struggles and the Cloud dominates?” by Gary Flood

In my November 14th post “With SaaS-Sprawl Fear Tactics Falling on Deaf Ears and Continuing Lawsuits 2010 is a Year most ERP Vendors Would Probably Like to Forget! Yet Few in the Industry Tell the Story?,” I raised the question as to why many mainstream pundits continue to overlook the reality that is the disintegrating ERP vendor landscape.  Kind of a lone voice in the woods call out to the industry, hoping for an echo of perhaps similar views from somewhere out there in the seeming infinity that is the virtual realms of the Internet.

ERP Vendors . . . down for the count?

Well, and to borrow a line from the world of science fiction . . . I/we are not alone after all!  There is in deed life out there, confirmation of which came back in the form of a November 17th article from the UK-based publication publicTECHNOLOGY.NET.

Making references to life-support feeding tubes and duct tape, the Nucleus Research “Big in 2011” prognostication upon which the article is based is interesting, timely and ominous for what they called the “Walldorf legend.”  And while I am still not sold on the remains of the day being divided up by acquisition-hungry Oracle and IBM, just the fact that someone else is shouting out that the Emporer has no clothes is telling.

What are your thoughts?  Do you believe that SAP is in fact rotting from the inside out, held together by the external veneer of its once former (real or perceived) greatness?  If you think about it, wasn’t Rome once a great empire?

Remember to take our poll and tell what you think . . . are ERP vendors going the way of the dinosaur?