SAP sinks $3.2 billion into SuccessFactors

By Liam Tung on Dec 5, 2011 3:02 PM
Filed under Strategy

We'll be a 'cloud powerhouse', says SAP chief.

SAP is hoping to accelerate its race to become a "cloud powerhouse" with its $US3.4 billion ($A3.2 billion) acquisition of BizX maker, SuccessFactors.

The acquisition of the employee managament software company, announced Saturday, is being funded by SAP's free cash and a €1 billion loan. 

“The cloud is a core of SAP’s future growth, and the combination of SuccessFactors’ leadership team and technology with SAP will create a cloud powerhouse.

"The acquisition will help us address the top priority for CEOs globally – managing people and talent,” said Bill McDermott, Co-CEO of SAP.

SuccessFactors was founded by Danish CEO Lars Dalgaard, who launched the company in 2001 with its performance management software.

The company currently has 1450 employees, 3500 customers and 15 million subscription seats, according to SAP. It earned $91 million in revenues for the quarter ending September 30

SuccessFactors will also give SAP the enterprise social networking platform, CubeTree, performance management firm, Inform, and a recently expanded Australian data centre that serves its hosted applications to the Asia Pacific.

Dalgaard will remain as CEO of SuccessFactors which SAP will keep as an independent brand. 

SuccessFactors is SAP's most recent major acquisition since its $6.5 billion purchase of Sybase, which helped build up SAP's enterprise mobile technologies. 

Follow us on Facebook and Twitter

Copyright © . All rights reserved.


SAP sinks $3.2 billion into SuccessFactors SAP's newest board member, Lars Dalgaard, signing the deal.
Top Stories
AFL star joins Melbourne's Broadband Solutions
Shaun Grigg starts second job at peak of footy career.
Amazon Web Services killing it: revenue up 64%
Cloud vendor also triples operating income.
WestConnex signs national reseller Viatek
Five-year deal with Sydney Motorway Corporation.
Sign up to receive CRN email bulletins
What's the most important factor when partnering with a new vendor?

Latest Comments
CRN Magazine

Issue: 347 | March 2016

CRN Magazine looks in-depth at the emerging issues and developments for the channel, and provides insight, analysis and strategic information to help resellers better run their businesses.