"I take pleasure in being the last executive from SAP to refer to A1S -- we're burying the term today," Bill Wohl, SAP vice president of product technology group communications, told reporters.
Designed to be an affordable option for midsized companies with 100 - 500 employees, the starting price for SAP Business ByDesign is $149 per month per user. This price includes software, services and support, for companies with a minimum of 25 licensed users. There is also a $54 per month option for "efficiency users" that buys limited software access for a set of five users.
SAP Business ByDesign, with its subscription pricing model, joins Business One and All-in-One in SAP's small and midsized business (SMB) portfolio.
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Business One is designed for companies with less than 100 employees, and All-in-One is aimed at the upper end of the midmarket -- companies with less than 2,500 employees. Both are on-premise products.
"It is the most important announcement of my career I'm making today," SAP CEO Henning Kagermann. "We designed this product to create a new market for us."
The company is currently in the pilot phase with customers in the U.S. and Germany, and is validating the product in the U.K., France and China.