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SAP license fees are due even for indirect users, court says

Peter Sayer | Feb. 20, 2017
Beverage firm Diageo could be on the hook for an additional £55 million in license fees because it gave Salesforce users access to data held in an SAP system

SAP put a precise figure on the license fees for indirect access via the Salesforce integration: £54,503,578 (US$ 67.8 million).

For Diageo, that's a huge bill -- on a par with the total amount it paid SAP for all services between May 2004 and November 2015, which the parties put at between £50 million and £61 million.

Unable to determine how many customers had accessed mySAP through the Contact system, or to identify a category of named user in the contract that would cover the use by sales staff of mySAP through the Gen2 system, the judge deferred the calculation to a later stage of the trial.

Other businesses may not want to wait for the judge to do the math.

"Business are signing up to an open-ended direct debit which they can't withdraw from. It's really not surprising that many are now choosing the certainty and low cost of Google and Amazon Web Services," concluded Fry.

 

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