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SAP and IBM Collaborate to Offer Integrated Business Systems Dedicated to Midsize Companies Worldwide

ORLANDO, Fla., May 5 /PRNewswire-FirstCall/ -- SAP AG (NYSE: SAP) today revealed plans to further extend its recently announced fast-start program for SAP(R) Business All-in-One solutions by expanding the strategic partnership with IBM that looks back on a long history of close collaboration in the areas of technology, channel and services. The two companies now take their established, reliable and scalable solutions that are specifically packaged and featured for small and midsize enterprises (SMEs) to achieve optimal implementation times and total cost of ownership (TCO) for customers. The components will include IBM Power Systems, System x and BladeCenter servers, SAP Business All-in-One and an optimized database and operating system. Midsize companies in the services, trade and manufacturing industries are expected to gain significant benefits from these comprehensive offerings, as they allow for quick time to deployment of end-to-end business processes at a low TCO. The announcement was made at the co-located events SAPPHIRE(R) 2008 Orlando, SAP's international customer conference, and the ASUG (America's SAP Users' Group) Annual Conference, both being held in Orlando, Florida, May 4-7.

ORLANDO, Fla., May 5 /PRNewswire-FirstCall/ — SAP AG (NYSE: SAP) today revealed plans to further extend its recently announced fast-start program for SAP(R) Business All-in-One solutions by expanding the strategic partnership with IBM that looks back on a long history of close collaboration in the areas of technology, channel and services. The two companies now take their established, reliable and scalable solutions that are specifically packaged and featured for small and midsize enterprises (SMEs) to achieve optimal implementation times and total cost of ownership (TCO) for customers. The components will include IBM Power Systems, System x and BladeCenter servers, SAP Business All-in-One and an optimized database and operating system. Midsize companies in the services, trade and manufacturing industries are expected to gain significant benefits from these comprehensive offerings, as they allow for quick time to deployment of end-to-end business processes at a low TCO. The announcement was made at the co-located events SAPPHIRE(R) 2008 Orlando, SAP's international customer conference, and the ASUG (America's SAP Users' Group) Annual Conference, both being held in Orlando, Florida, May 4-7.

(Logo: http://www.newscom.com/cgi-bin/prnh/20050310/SFTH009LOGO-a)

SAP and IBM are currently evaluating three potential offerings based on IBM Power Systems, System x and BladeCenter servers to provide customers with the flexibility to fully leverage their existing IT infrastructure, while benefiting from proven and pre-tested combinations optimized to meet the unique demands of midsize customers. For IBM System x, the companies intend to enable customers to choose between System x or BladeCenter servers with either IBM DB2 or SAP(R) MaxDB(TM) with SAP Business All-in-One and SUSE Linux Enterprise Server from Novell. The companies also intend to incorporate the IBM i InstallOption for SAP, dubbed "KOBI," under the fast-start program. Customers will be able to order a preconfigured IBM Power Systems server consisting of SAP Business All-in-One and IBM DB2 running IBM i (formerly i5/OS).

"The joint business relationship between SAP and IBM is in keeping with the interest of midsize businesses in preconfigured and pretested ERP software that runs on preferred hardware types," said Ray Boggs, vice president of SMB research, IDC. "The flexibility in hardware platform choice combined with appropriate software will help encourage midsize firms to invest in ERP and related solutions that are becoming easier to implement."

SAP and IBM Provide a Winning Combination

The expanded relationship will allow SAP, IBM and their respective partner channels to deliver industry-specific, end-to-end solutions based on SAP Business All-in-One and IBM hardware and services. These new offerings for SAP Business All-in-One are designed to combine software, database and hardware into one package, with all components optimized to help midsize companies drive down TCO while protecting their overall IT investment. The offering will

be made available via value-added resellers of SAP and business partners of IBM.

"This agreement represents IBM's continuing commitment to deliver targeted industry solutions for the mid-market," said Rainer Zinn, general manager, Global IBM SAP Alliance. "We look forward to working even closer with SAP to bring innovative business solutions to our joint SME clients."

Evolutionary Innovation

With the easy-to-use solution configurator, prospective customers can quickly configure the SAP Business All-in-One solution according to their needs and immediately receive a cost estimation* for the solution, including database and hardware as well as implementation.

"IBM servers are an excellent platform for innovation and to address new market segments and channels based on open standards and leading edge technology," said Hans-Peter Klaey, president, Global SME and corporate officer, SAP AG. "The intended offering will provide midsize companies with faster access to integrated business and IT solutions that are easy to implement, competitively priced and optimized for each other. I am confident that this package will simplify the deployment and use of on-premise solutions, drive adoption of integrated business solutions in the SME market and further deliver the best value to our customers."

For more information on SAP solutions for small businesses and midsize companies, please visit http://www.sap.com/sme. For more information on the fast-start program for SAP Business All-in-One, see http://www.sap.com/solutions/sme/businessallinone/solutionoverview/index.epx?t ab=FastStart

*Cost estimate is an SAP estimation only and not valid for partners; partners cost estimation may differ

SAPPHIRE(R) 2008 Orlando and SAPPHIRE(R) 2008 Berlin

More than 15,000 customers, partners and technical experts are convening at SAPPHIRE 2008 to discover how SAP and its thriving partner ecosystem are delivering IT solutions that create value beyond the four walls of the enterprise, to create "business beyond boundaries." SAP's premier educational and networking event, SAPPHIRE is the one occasion where senior executives, business managers, and decision-makers can come together every year to explore how innovative business solutions foster long-term, profitable growth. SAPPHIRE(R) 2008 is being held in Orlando, Florida, May 4-7, and in Berlin, Germany, May 19-21, 2008. For more information, please visit http://www.sap.com/sapphire.

Based on the success of last year's events, SAP and the Americas' SAP Users' Group (ASUG) are co-locating their premier events in Orlando, where the 2008 ASUG Annual Conference takes place May 4-7.

Note to Editors:

Webcasts, announcements, media roundtables, keynote presentations and podcasts from SAPPHIRE 2008 will be available in the event's virtual newsroom at http://www.sapsapphire.com/usa2008/newsroom/index.htm. To view video stories on diverse topics, visit http://www.sap-tv.com. From this newly launched site, you also can embed videos into your own Web pages, share video via email links and subscribe to RSS feeds from SAP TV. No registration is required. To preview and request broadcast-standard video digitally or by tape, log on to http://www.thenewsmarket.com/sap, where registration and video is free to the media.

About SAP

SAP is the world's leading provider of business software(*), offering applications and services that enable companies of all sizes and in more than 25 industries to become best-run businesses. With more than 47,800 customers (excludes customers from the acquisition of Business Objects) in over 120 countries, the company is listed on several exchanges, including the Frankfurt stock exchange and NYSE, under the symbol "SAP." (For more information, visit http://www.sap.com)

(*) SAP defines business software as comprising enterprise resource planning and related applications.

Any statements contained in this document that are not historical facts are forward-looking statements as defined in the U.S. Private Securities Litigation Reform Act of 1995. Words such as "anticipate," "believe," "estimate," "expect," "forecast," "intend," "may," "plan," "project," "predict," "should" and "will" and similar expressions as they relate to SAP are intended to identify such forward-looking statements. SAP undertakes no obligation to publicly update or revise any forward-looking statements. All forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ materially from expectations. The factors that could affect SAP's future financial results are discussed more fully in SAP's filings with the U.S. Securities and Exchange Commission ("SEC"), including SAP's most recent Annual Report on Form 20-F filed with the SEC. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of their dates.

Copyright (C) 2008 SAP AG. All rights reserved.

SAP, R/3, mySAP, mySAP.com, xApps, xApp, SAP NetWeaver and other SAP products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of SAP AG in Germany and in several other countries all over the world. All other product and service names mentioned are the trademarks of their respective companies. Data contained in this document serve informational purposes only. National product specifications may vary.

For customers interested in learning more about SAP products: Global Customer Center: +49 180 534-34-24 United States Only: 1 (800) 872-1SAP (1-800-872-1727) For more information, press only: Astrid Polchen, +49 (6227) 7-47644, astrid.poelchen@sap.com, CET SAP Press Office, +49 (6227) 7-46315, CET; +1 (610) 661-3200, EDT; press@sap.com Torrey Fazen, Burson-Marsteller, +1 (917) 916-6398, torrey.fazen@bm.com, EDT

During SAPPHIRE (from May 4 to 7), to speak with press contacts on site, please dial the SAP press room at +1 (610) 661-0469.

SOURCE SAP AG

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