|Bid||134.56 x 800|
|Ask||134.62 x 900|
|Day's Range||134.08 - 136.00|
|52 Week Range||94.81 - 140.62|
|Beta (3Y Monthly)||0.93|
|PE Ratio (TTM)||32.50|
|Forward Dividend & Yield||1.67 (1.24%)|
|1y Target Est||142.62|
(Bloomberg) -- Billionaire Azim Premji has helped create India’s latest tech unicorn: a fast-rising software startup that symbolizes the growing investor interest in the Asian nation’s enterprise technology space.Icertis, which competes with SAP SE and Oracle Corp. to help businesses manage contracts in the cloud, has raised $115 million, propelling it to unicorn status as investors flock to enterprise software makers.The advanced-stage funding round in Bellevue, Washington and Pune, India-based Icertis was co-led by Greycroft Partners LLC and PremjiInvest, the fund managed by the family office of Indian tech billionaire Premji. Existing investors including B Capital Group, Eight Roads Ventures and Cross Creek Advisors participated. With this, Icertis has raised over $211 million.The enterprise software segment is heating up as investors from Tiger Global Management to Sequoia and Accel scour the industry for India’s next startup giants. Many are expected to be business- rather than consumer-focused, as the country’s talent pool shifts from IT outsourcing services for global clients toward designing and providing online software.Icertis said it now helps customers worldwide manage over 5.7 million contracts, from supply chain and procurement deals to employee agreements and nondisclosure pacts, that have a total value of more than $1 trillion.“As contracts get converted from static documents to digital assets for the first time in history, every dollar in or out is governed by a contract, putting them at the heart of every enterprise,” said Samir Bodas, Icertis’s co-founder and chief executive officer. “Every global company faces unprecedented global competition and needs software to manage contracts.”Icertis is currently valued at “well north of one billion dollars,” Bodas added. The company will use the additional funding to grow its business, including by expanding sales and marketing. Global compliance demands involving Brexit, tariffs, European data privacy regulations as well as rapid digitization has worked in Icertis’s favor, while technologies like artificial intelligence helped enhance the sophistry of its services.“We have been able to ride the technology wave and assert leadership in the space despite large competitors,” Bodas said, citing consultancies Forrester Research and Gartner.Icertis works on a subscription model, charging customers based on the number of contracts drawn up and tracked using its software. MGI Research forecasts the total spending by companies for such contract management at over $20 billion from 2018 to 2022, with services on the cloud growing around 37% annually over the same period.Founded in 2009 when Bodas and friend Monish Darda began exploring cloud-based applications, Icertis in 2015 homed in on building a contract management platform. Today, more than 600 of its 850 employees are based in Pune, where the product is developed. The startup operates a dozen offices from Sofia to Sydney.(Updates with Eight Roads’s participation in the third paragraph.)To contact the reporter on this story: Saritha Rai in Bangalore at firstname.lastname@example.orgTo contact the editors responsible for this story: Edwin Chan at email@example.com, Colum MurphyFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
(Bloomberg) -- Want the lowdown on European markets? In your inbox before the open, every day. Sign up here.At the heart of Chief Executive Officer Christian Sewing’s turnaround plan for Deutsche Bank AG is a contrarian bet: that he can cut spending on technology while gaining ground on the competition.Even with the digital revolution in finance accelerating, Deutsche Bank expects to trim its annual outlays on tech to 2.9 billion euros ($3.3 billion) in 2022 from a peak of 4.2 billion euros this year.“Deutsche Bank would probably love to be spending more on technology, but they need money for other parts of their restructuring,” said Pierre Drach, managing director of Independent Research in Frankfurt. “It’s pretty much impossible for European banks to catch up with the Americans at this stage.”Sewing’s team says it’s made progress in fixing information networks that his predecessor called “antiquated and inadequate.” Years of expansion left it with systems that couldn’t communicate with each other and didn’t adequately track its business. The bank, which has spent almost $18.5 billion on legal settlements and fines since 2008, has also suggested that the past breakdown in controls stemmed in part from weak systems.The 4.2 billion euros Deutsche Bank has budgeted this year to maintain and modernize its systems represents a fraction of the $11.5 billion JPMorgan Chase & Co. shells out. "You have to spend to win" with new technologies, Jamie Dimon, the bank’s CEO, said Tuesday.The gap is set to widen as the German chief executive wants to cut technology costs by almost a quarter. European banks, meanwhile, are forecast to increase tech spending at a 4.8% annual rate through 2022, according to the consulting firm Celent.“We continue to invest in IT to serve clients better, become safer, more efficient and better controlled,” Senthuran Shanmugasivam, a Deutsche Bank spokesman, said in response to questions from Bloomberg. “Despite our smaller footprint, our investment plans in 2019 are broadly unchanged as we reallocate resources to our core businesses.”It’s all part of a retrenchment Sewing announced last week to exit equities sales and trading and eliminate 18,000 jobs. Deutsche Bank aims to cut adjusted costs to 17 billion euros in 2022 from 22.8 billion euros last year; the share of technology expenses would remain stable over that time period.The company can modernize systems while spending less, for example by moving most of its applications to the cloud, according to Frank Kuhnke, who oversees its technology. He said Deutsche Bank has already cut the cost of crunching data by more than 30% since 2016 even as it increased computing capacity by about 12% a year to meet regulatory demands.Still, Deutsche Bank needs “to make a further step change in embracing technology,” Sewing told analysts last week.New HiresThe CEO has brought in new talent to do that. Bernd Leukert, who left the management board of software company SAP SE earlier this year, will start in September. Neal Pawar will join as chief information officer from AQR Capital Management the same month.Hiring outsiders hasn’t been a panacea in the past. Kim Hammonds, a former Boeing Co. executive, spent about four and a half years rebuilding the bank’s systems only to be ousted in 2018 after reportedly calling the bank “the most dysfunctional company” she’d ever worked for.Deutsche Bank expects its retrenchment from businesses to allow it to focus on its core operations. It will also save about 300 million euros by 2022 by shedding almost 5,000 external IT contractors and replacing them with internal staff at a lower cost. The integration of consumer lender Postbank will avoid duplication of expenses.The digital revolution is upending all aspects of finance -- from taking deposits to bond trading, a traditional Deutsche Bank strength. Citigroup Inc. has created a fintech division to invest in debt-market technologies while Spain’s Banco Bilbao Vizcaya Argentaria SA has created a unit to automate trade processes and generate intelligence from data. Dutch bank ING Groep NV has used artificial intelligence to win 20% more bond trades and cut costs.Cutting tech costs is also notoriously difficult.A three-year initiative announced in 2012 failed to stop technology spending from ballooning 44% by 2015. That was the year that then-CEO John Cryan said he would reduce the number of operating systems from 45 to four in 2020. Deutsche Bank still has 26, Sewing told investors in May. He kept the goal of eventually cutting them to four, but says the lender will need to run 10 to 15 systems for the foreseeable future.“Everyone knows that Deutsche Bank’s systems are a mess and I think they will have to end up spending more,” said Drach. “The fact that their new technology head hasn’t come on board yet gives them a good narrative for increasing the ultimate amount.”\--With assistance from Katie Linsell.To contact the reporter on this story: Nicholas Comfort in Frankfurt at firstname.lastname@example.orgTo contact the editors responsible for this story: Dale Crofts at email@example.com, James Hertling, Giles TurnerFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
NEW YORK, July 16, 2019 /PRNewswire/ -- SAP SE (SAP) and Karlie Kloss today announced a partnership to help drive meaningful experiences by encouraging and enabling more young women to pursue their passion within science, technology, engineering, arts and math (STEAM) subjects. Together, SAP, a leader in Experience Management, and Karlie, an international supermodel and entrepreneur, aim to increase access to STEAM opportunities for young women, bridge the technical skills gap and support the next generation of innovators and change makers. Karlie and her coding organization, Kode With Klossy, create learning experiences and opportunities for young women that increase their confidence and inspire them to pursue their passion in a technology-driven world.
You can't talk about enterprise software without talking about SAP, theGerman software giant that now has a market cap of more than $172 billion,making it Europe's most valuable tech company
Western Digital's (WDC) IntelliFlash portfolio will be integrated with SAP HANA's in-memory data processing capabilities to enhance productivity of business-critical applications.
(Bloomberg) -- German Economics Minister Peter Altmaier plans to build up a German cloud service to allow European companies to store data independent of Asian or U.S. rivals such as Amazon.com Inc.“Germany has a right to technological sovereignty,” said Altmaier during a visit to San Francisco. “Data clouds should not only be set up in the U.S. or China, but also in Germany so that European companies, which want secure and reliable data storage, have this option.”Altmaier’s plans are a second attempt to build up an independent German cloud service. Deutsche Telekom AG has been marketing its own cloud as a secure alternative to U.S. platforms, but at the end of 2018 began offering access to Amazon’s data centers in a recognition of its longtime rival’s dominance in Europe.The minister said he’s seeking partners for his planned cloud alliance and is in talks with SAP SE, Deutsche Telekom and other companies. He expects a decision by the companies in the next months, he said.Geopolitical tensions and trade wars are making European politicians cautious about domestic champions ceding control of their data to technology suppliers from the U.S. or China, fearing that providers could deny access to critical information about customers or production, or serve as a venue for rogue agents.Under the Trump Administration’s Cloud Act (or the “Clarifying Lawful Overseas Use of Data Act”) that was signed last year, all U.S. cloud providers can be ordered to provide local authorities data stored on their servers no matter where that data is physically stored. A similar concept has been enshrined in Chinese law since 2017, in which information of citizens must be stored in-country and accessible on demand to the authorities.Agnes Pannier-Runacher, France’s deputy economy minister, said in an interview with Bloomberg in June that European businesses relinquishing control of their data was “a systemic risk” to the competitiveness and sovereignty of an economy.Germany’s central bank has also recently warned the region’s banking sector that the move to shifting data on the cloud will make the industry harder to monitor.(Updated with additional context.)To contact the reporter on this story: Birgit Jennen in Berlin at firstname.lastname@example.orgTo contact the editors responsible for this story: Ben Sills at email@example.com, ;Giles Turner at firstname.lastname@example.org, Andrew PollackFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
One of Pittsburgh's best known developers now owns one of the city's most visible office properties. After first announcing that a deal was in the works in early May, Green Tree-based Burns Scalo Real Estate closed on buying 225 North Shore Drive in a transaction that was finalized on one of the last work days in June.
SAN DIEGO, California , July 9, 2019 /PRNewswire/ -- SAP SE (NYSE: SAP) today announced that Esri , the global leader in location intelligence, now supports SAP® Cloud Platform, SAP HANA® service . This ...
(Bloomberg) -- Microsoft Corp. and ServiceNow Inc., makers of cloud-based software, announced a partnership that will help ServiceNow sell to highly regulated industries and further integrate the companies’ technology. ServiceNow will use Microsoft’s Azure cloud to host workloads for the U.S. and Australian governments, the companies said Tuesday in a statement. The companies may allow other customers to run ServiceNow applications on Microsoft’s cloud, but didn’t specify when. This is the first time that ServiceNow has made its software available for use with a major public cloud-computing vendor.Microsoft will also sell ServiceNow applications, helpingServiceNow enter new segments and geographic markets. The agreement may bolster ServiceNow’s stated goal of reaching $10 billion in annual revenue. ServiceNow pitches itself as a “digital workflow company” that organizes the basics of business, such as setting up a help desk for IT operations or bringing on board new employees. Its decision to use Azure to run its software, instead of relying purely on in-house server farms, is key for Microsoft as it seeks more customers for its cloud infrastructure services. Market leader Amazon.com Inc. counts many of the biggest cloud-software application providers as clients, including Splunk Inc. and Okta Inc. “Microsoft was really best positioned as a broad strategic partner,” Lara Caimi, chief strategy officer of ServiceNow, said in an interview. “We were hearing from our customers that they wanted ServiceNow and Microsoft to work better together.”Microsoft will also use more ServiceNow software, adopting the company’s Information Technology & Employee Experience product “to improve operations, enhance employee experiences, and deliver stronger business outcomes,” according to the statement. For now, the software makers will integrate more capabilities from Microsoft's customer-relationship, accounting, and Office cloud applications with ServiceNow’s programs. The new deal with ServiceNow expands on a limited partnership the companies announced in October. Moving forward, ServiceNow will benefit from Microsoft’s security certifications as it pursues government contracts around the world. For Microsoft, the partnership will give the company another ally in the fast-growing cloud-applications space. The world’s largest software maker already partners with Adobe Inc. and SAP SE — companies that compete against a key Microsoft rival, Salesforce.com Inc. ServiceNow also goes toe-to-toe against Salesforce in help desk software, and Microsoft’s plan to sell ServiceNow products to customers fills a key gap in the Microsoft ecosystem. For its part, Salesforce has bought companies that are rivals of Microsoft, such as analytics company Tableau Software Inc. and Quip, which has a productivity suite.“It's a large vote of confidence in our platform,” said Gavriella Schuster, a Microsoft vice president.ServiceNow’s stock has gained 65% this year, closing at $293 on Monday in New York. Microsoft’s shares have jumped 35% this year to $136.96. The Redmond, Washington-based software maker is the world’s most valuable company by market capitalization.Microsoft and Santa Clara, California-based ServiceNow committed to collaborate on future solutions, and are currently hashing out some of the details. ServiceNow may join Microsoft’s Open Data Initiative, a pact with SAP and Adobe to use the same data model so mutual customers can move information among their various systems. To contact the authors of this story: Nico Grant in San Francisco at email@example.comDina Bass in Seattle at firstname.lastname@example.orgTo contact the editor responsible for this story: Andrew Pollack at email@example.com, Alistair BarrFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Increasing adoption of blockchain applications is compelling technology giants IBM, Facebook (FB), Google and Oracle (ORCL) to advance initiatives in the space.
(Bloomberg) -- Using code rather than concrete, European companies are busy building walls to protect their data, and are being encouraged by local politicians concerned about threats to their sovereignty.France’s biggest supplier of drinking water is one example. Before switching to Google’s cloud-based office software, Veolia Environnement SA first hired cybersecurity company Atos SE to handle the encryption of its data before it reached the Alphabet Inc.-owned company’s servers.Geopolitical tensions and trade wars are making European politicians cautious about domestic champions ceding control of their data to technology suppliers from the U.S. or China, fearing that providers could deny access to critical information about customers or production, or serve as a venue for rogue agents.Agnes Pannier-Runacher, France’s deputy economy minister, said in an interview that businesses relinquishing control of their data was “a systemic risk” to the competitiveness and sovereignty of an economy.Firms are increasingly migrating their data into cloud-based ecosystems -- an industry Gartner estimates will be worth about $214 billion in 2019, and one dominated by American and Chinese giants such as Amazon.com.com, Microsoft Corp., and Alibaba Group Holding Ltd.Germany’s central bank also recently warned the region’s banking sector that the move to shifting data on the cloud will make the industry harder to monitor.“For many companies, data is a strategic question,” Pannier-Runacher said. “It’s okay to have certain data out of reach in a functioning multilateral system; it becomes problematic in a unilateral system where one side can put pressure and cut access.”Read More: Huawei Frightens Europe’s Data Protectors. America Does, TooUnder the Trump Administration’s Cloud Act (or the “Clarifying Lawful Overseas Use of Data Act”) that was signed last year, all U.S. cloud providers can be ordered to provide local authorities data stored on their servers no matter where that data is physically stored. A similar concept has been enshrined in Chinese law since 2017, in which information of citizens must be stored in-country and accessible on demand to the authorities.As a result, European encryption specialists like Atos and Thales have been touting their home-grown history as a unique selling point, when competing with U.S. rivals such as Salesforce.com Inc. Amazon and others. Smaller European-grown cloud providers like Gigas Hosting SA in Spain and OVH Groupe SAS in France – while still dwarfs compared to their U.S. rivals – have not been not shy in making the point that English isn’t their first languageRead More: If You’re to Beat Amazon in Spain, Maybe Start Speaking Spanish“Veolia wants to maintain control and sovereignty over its data, however secure cloud solutions may be,’’ said Pascal Dalla-Torre, the company’s cybersecurity officer. “We’re building a sanctuary, a secure space. It’s a solution to protect our sensitive data.’’Atos isn’t alone in tapping the rising demand for European encryption middlemen: Multi-billion-dollar European firms such as defense contractor Thales SA and German software giant SAP SE both sell security products that sit between a company’s data and its cloud provider. Societe Generale, France’s third-largest bank by market cap, said it’s using Netherlands-based Gemalto to secure its cloud-destined information.Atos says it has a pipeline of 1 billion euros ($1.1 billion) under negotiations for security contracts similar to the one it signed with Veolia.“European businesses want Google’s technology, but with the right protections -- that’s one of the most common demands we have from customers today,” Atos Chairman and Chief Executive Officer Thierry Breton said in an interview.Europe is not the only region looking to promote its local providers. Boosted in part by escalating U.S. tensions, Beijing-based database and cloud provider PingCAP is winning over local tech giants, startups and financial institutions to its enterprise software.U.S. companies yet to see any serious knock-on effect. Oracle Corp. Recently closed at a record high amid positive signs in its transition to cloud-based computing, while Salesforce has been busy inking $15.3 billion deals.“The pace of innovation of hyper-scalers is so high that European companies must use them to stay in the game,” Carla Arend, researcher IDC’s lead cloud analyst, said. "But the regulatory environment and global security risks are certainly part of the concerns that Europeans are taking into account.”\--With assistance from Fabio Benedetti-Valentini and Gregory Viscusi.To contact the reporters on this story: Marie Mawad in Paris at firstname.lastname@example.org;Helene Fouquet in Paris at email@example.comTo contact the editors responsible for this story: Giles Turner at firstname.lastname@example.org, Nate LanxonFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Automatic Data Processing Inc. (NASDAQ: ADP) offers human capital management solutions such as payroll services, benefits administration, compliance solutions and human capital management through its Employer Services segment.
A broker working to find tenants for the 2+U skyscraper in Seattle said this year the development would be full by the time it opens this summer, and it will be, according to two commercial real estate industry sources. Experience management software company SAP Qualtrics will lease 300,000 square feet in the 38-story tower that's nearing completion at Second Avenue and University Street, said the sources, who asked not to be named to protect business relationships. Skanska Vice President of Communications Elizabeth Miller said there "are no material lease transactions to report at this time.” SAP Qualtrics has not yet responded to the Business Journal.
is not being shy about making an offensive against upstart cloud players that have eroded its market share in recent years. Shares were rising on Thursday, largely on the idea that the company can go "back to the future" and regain a great deal of its formerly dominant market share, particularly in cloud enterprise resource management (ERP) and human capital management (HCM). CEO Mark Hurd said that overall ERP and HCM annualized software-as-a-service revenue is "up in the high 20%" with Fusion cloud apps providing a significant boost to bookings and revenue.
(Bloomberg) -- Oracle Corp.’s shares climbed after the world’s second-largest software maker returned to sales growth and gave a forecast indicating the momentum may continue. For investors, the results were a reprieve amid the company’s uneven transition to cloud-based computing.Revenue increased 1.1% to $11.1 billion in the period ended May 31 from a year earlier, the Redwood City, California-based company said Wednesday in a statement. Analysts, on average, projected $10.9 billion, according to data compiled by Bloomberg. Oracle said sales will grow as much as 2% in the current period.Chief Executive Officers Safra Catz and Mark Hurd have sought to maintain Oracle’s large customer base as the company competes with a dizzying number of rivals in the cloud-computing space. The software maker’s stumbles against Amazon.com Inc. and others have spurred the company to seek help from unlikely sources. Earlier this month, Oracle announced an alliance with longtime rival Microsoft Corp., letting customers use their respective clouds.The period marked Oracle’s first year-over-year increase in total revenue since the fiscal first quarter.Oracle shares jumped about 5% in extended trading after closing at $52.68 in New York. The stock has gained 17% this year.Profit, excluding some expenses, will be 80 cents to 82 cents a share in the period that ends in August, Catz said on a conference call. The forecast is in line with Wall Street’s average estimate of 81 cents. Oracle reported an adjusted profit of $1.16 a share in the fiscal fourth quarter, compared with estimates of $1.07 a share.Pat Walravens, an analyst at JMP Securities, said Oracle’s sales and profit outlook brought relief to concerned investors.“These are small numbers but we seem to be making some progress,’’ Walravens said in an interview. “Oracle is doing a nice job on the applications side, but on the infrastructure side you’re competing against Microsoft, Amazon Web Services and the Google Cloud. That remains highly competitive.’’Larry Ellison, Oracle’s billionaire co-founder and executive chairman, said some corporate applications for the cloud are finally boosting overall growth, even as product lines like the company’s data-broker business declined.“We are focused on our star products and our star products are now driving the top line higher,” Ellison said on the call. “We have these other businesses that are melting away and we just don’t care.”Cloud license and on-premise license sales increased 12% to $2.52 billion, suggesting that Oracle is doing a better job of signing on new customers. The company said that revenue from NetSuite grew 32%, and Fusion HR and financial suites gained by the same amount. Hurd has been keen to chase growth by selling apps and set a target for attaining 50% market share to best rival SAP SE.Revenue from cloud services and license support was unchanged at $6.8 billion in the quarter, Oracle said. While that metric includes revenue from hosting customers’ data on the cloud, a large portion is generated by maintenance fees for traditional software housed on clients’ servers. The unit accounted for more than 60% of total revenue.Sales of Oracle’s servers declined 11% in the period. Catz said the company has chosen to “downsize our low-margin legacy hardware business,” which Oracle acquired when it bought Sun Microsystems.Oracle has been firing workers around the world to cut expenses. The company’s adjusted operating margin reached 47%, the highest in five years. The company’s costs related to restructuring also doubled to $168 million in the quarter compared with a year earlier.The deal between Oracle and Microsoft will allow mutual customers to connect databases on Oracle’s cloud to applications on Microsoft’s Azure cloud. The agreement signified a concession by Oracle that it won’t be able to compete against Amazon Web Services alone. AWS offers cheaper versions of the databases that make up Oracle’s core business.To contact the reporter on this story: Nico Grant in San Francisco at email@example.comTo contact the editors responsible for this story: Jillian Ward at firstname.lastname@example.org, Andrew Pollack, Molly SchuetzFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
After its $8 billion acquisition of Qualtrics late last year, the European software giant — with North American headquarters in Newtown Square — is betting that it can fend off heavy-hitting competitors like Microsoft and Oracle by integrating its operational expertise with Qualtrics’ customer sentiment data, creating what it calls “experience management.” Since the beginning of the year, SAP has also seen departures in its top leadership, rolled out a restructuring plan affecting about 4,400 employees worldwide, set ambitious goals for boosting margins in its growing cloud business and drew the attention of activist investor Elliot Management, which invested $1.3 billion in SAP (NYSE: SAP) in April to acquire a roughly 1% stake. SAP’s global transformation is also unfolding at its Delaware County campus, where more than 3,300 employees across sales, marketing, executive leadership and other functions work every day.
The Palo Alto company was founded by a group of former leaders at Fusion-io Inc. and has now raised more than $200 million and nearly doubled its valuation since last summer to about $540 million, according to PitchBook Data.