If SAP now buys Salesforce

Monopolies are always disastrous. In this case, the SAP monopoly is not only annoying for existing customers, but also dangerous for SAP.

SAP's ERP monopoly made the software group feel powerful enough to introduce a new, radical and disastrous licensing model for "indirect use" - SAP fell into its own trap: The new model clearly shows the inequality between third-party applications from its own group (SAP Application Access) and third-party applications (Indirect/Digital Access).

SAP makes it crystal clear in the new model: Interactions between SAP applications such as CRM, Logistics, Ariba, Leonardo, SuccessFactors, Hybris, etc. and SAP's Digital Core are license-free (No additional ERP license needed), while the same interactions between Salesforce and other add-ons from SAP partners are subject to "indirect use" and thus require a license.

The monopolist from Walldorf has drawn an arbitrary line here between software components that communicate with the Digital Core (SAP ERP and S/4 Hana).

To understand the inconsistency and arbitrariness, one can try the following thought experiment: The existing SAP customer runs a SoH architecture (SAP Business Suite on Hana) supplemented by a CRM system from Salesforce.

SoH and Salesforce communicate via a NetWeaver stack (Process Integration). Naturally, SAP charges high fees for this with the argument: indirect use!

The existing customer now has several options to escape this financial super-GAU. But the easiest way would be for SAP to acquire Salesforce. That way, Salesforce becomes a family member like Ariba, Concur, and Hybris before it, and existing SAP customers no longer have to pay "indirect usage" for interoperability between Salesforce and SAP's Digital Core (ERP/ECC 6.0 or S/4 Hana).

"Indirect use" would thus not be a technical given or a legal conclusion, but merely SAP's arbitrariness. The Salesforce thought experiment can also be played the other way around:

SAP sells SuccessFactors and Hybris! All SAP existing customers with ERP/ECC 6.0 as well as S/4 and SuccessFactors and/or Hybris would then suddenly become subject to licensing in terms of SAP's "indirect use". It is therefore a question of viewpoint and not a question of use, function, technology, infrastructure, etc.

It is time to declare "indirect use" a mirage: It simply does not exist! "Indirect utilization" is a figment of Walldorf's imagination. Anyone who believes in it, who sees it, who accepts it, has fallen into the SAP trap.

Accordingly, the EU Software Directive 2009/24 also states:

"The function of computer programs is to interface and operate with the other components of a computer system and the users.

To this end, logical and, when appropriate, physical connection and interaction is necessary to ensure that software and users can function as intended.

The parts of the program that are intended to enable such connection and interaction between the elements of software and hardware are commonly known as the 'interface'.

This functional connection and interaction is commonly known as interoperability; this interoperability can be defined as the ability to exchange information and to mutually use the information exchanged."

Those who still believe in "indirect use" have only themselves to blame. As the late former chancellor Helmut Schmidt said:

"Anyone who has visions should see a doctor."

In the SAP community, it will be called in the future:

"Anyone who sees indirect use - that is, a mirage - should go to a lawyer who will explain the EU software directive to them."