SAP Raises Maintenance Prices for All Customers

The software giant will transition its current users to the new Enterprise Support program at 22% of net license fees.


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Posted on Jul 16, 2008

SAP AG today said it will transition all of its enterprise software customers to its recently introduced Enterprise Support maintenance offering, a move that will raise annual support prices for most of SAP's 47,000 customers.

Beginning Jan. 1, 2009, and planned as a phased-in transition, SAP will shift existing customers to Enterprise Support, which carries an annual charge of 22% of net license fees. As part of the change, SAP said, it is immediately discontinuing its Basic Support offering, priced at 17% of net license fees. SAP is also discontinuing Premium Support, which was priced at 22% of net license fees, and will fold these support customers into the Enterprise Support offering.

The change brings SAP's maintenance charge structure in line with that of its major enterprise software competitor, Oracle, which has charged 22% for maintenance for some time.

The move to transition all customers to the Enterprise Support offering follows creation of the higher-cost maintenance program earlier this year. At that time, Enterprise Support, at 22%, was designated for new SAP customers, with existing customers retaining the option to stick with lower-cost Basic Support or Premium Support. At the time, however, many experts said it was only a matter of time before SAP acted to move all customers to Enterprise Support at 22%.

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