SAP America, Inc., announced plans to acquire Ariba, Inc., a cloud-based business commerce network. The acquisition would add B2B collaboration to SAP’s existing solutions, thereby expanding growth opportunities and accelerating its momentum in the cloud. “Cloud-based collaboration is redefining business network innovation, and we are catching this wave in the early stage of its evolution,” said Bill McDermott and Jim Hageman, Co-CEOs at SAP, in a press release. “The addition of Ariba will deliver immediate value to our customers and provide another solid engine for driving SAP’s growth in the cloud.”
The combination of SAP’s innovations and core applications with the Ariba cloud-based network is intended to create new business value for customers. Together, SAP and Ariba aim to deliver an end-to-end solution that offers companies the capability to “achieve a closed-loop from source-to-pay, regardless of whether they deploy in the cloud, on-premise or through a combination of both,” according to a company press release. All SAP customers will be able to connect to the business network through pre-built integration points.
“In our personal lives, networks are playing an increasingly important role in how we connect, share and shop ― bringing more insight and efficiency into everything we do,” said Bob Calderoni, CEO of Ariba. “Businesses are looking for the same connectedness, insight and efficiencies in the processes and collaboration with customers, suppliers and partners beyond the walls of their companies. By combining Ariba’s open global trading network and SAP’s solutions and analytics, we are ushering in a new era of business-to-business collaboration and driving new levels of productivity.”
Headquartered in Sunnyvale, Calif., Ariba has approximately 2,600 employees and $444 million in total revenue. Ariba experienced 38.5% annual growth in 2011.