Thursday, July 17, 2008

SAP, Oracle Boost Software Prices -

Oligopoly pricing?...

Two of the biggest makers of business software have raised prices, a sign that consolidation in the industry may be easing the competition over prices that has been a hallmark of the last decade.

SAP AG said Wednesday that it has raised prices for the ongoing support and customer-service fees, known as maintenance, that are part of large software purchases. The move comes one month after rival Oracle Corp. raised list prices for its software.


SAP, based in Walldorf, Germany, charges many customers an annual maintenance fee equal to 17% of the upfront price of the software. Starting Jan. 1, that fee will be raised to 22% and phased in over four years, the company said. In exchange, customers get enhanced service, including around-the-clock support and help to identify and fix problems with systems from other tech companies that interact with SAP software, a company spokesman said.

SAP, Oracle Boost Software Prices -

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