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The Business Value of SAP Cloud Platform

Steve Gouveia, SAP

March, 2019

ExternalSMB Innovation Summit 2019

3Confidential: Released for Partners© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

4Confidential: Released for Partners© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

How can we innovate? How can we create

the best experience?

How can we derive value?

How can we keep up

with technology?

How can we

respond faster?

5Confidential: Released for Partners© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

60s – 70s 80s – 90s 2000s Today

Industrial

Automation

Business Process

Automation

Digital

Transformation

Era of

Intelligence

Digital Era Intelligent Era

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Intelligent Enterprise

7Confidential: Released for Partners© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

effectively using

data and technology

responding to

individual needs

engaging talent

in new ways

creating disruptive

business models

Intelligent Enterprise

8Confidential: Released for Partners© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

Intelligent Technologies Digital PlatformIntelligent Suite

Intelligent Enterprise

1 2 3

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AI +++ ML +++ Big Data +++

IoT +++ Analytics +++ Blockchain

Intelligent

Technologies

People

Engagement

Network & Spend

Management

Customer

Experience

Digital

PlatformIntelligent Suite

Manufacturing

& Supply Chain

10Confidential: Released for Partners© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

Digital

Platform

SAP Cloud

Platform

Data

Management

Data Integration

SAP HANA

Data

Management

Suite

11Confidential: Released for Partners© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

SAP HANA

Data

ManagementBuild &

Extend

Integrate

Experience

SAP Cloud

Platform

Digital

Platform

12Confidential: Released for Partners© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

SAP Cloud

Platform

SAP HANA

Data

Management

Digital

Platform

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Foundation for the Intelligent Enterprise

How do we move our Partners, to the

SAP Cloud Platform?

15Confidential: Released for Partners© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

SAP Cloud Platform Licensing Options for SAP Business One Partners

Develop, test and demo extensions to SAP Business One on SAP Cloud Platform

▪ Starter packs available on Partner TDD Price List: “Innovation pack for SAP Cloud Platform“ (in the Neo

environment) or “Multi-cloud starter pack for SAP Cloud Platform“ (in the Cloud Foundry environment),

▪ Starting from €89 p.m.

Inn

ovate

16Confidential: Released for Partners© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

SAP Cloud Platform Licensing Options for SAP Business One Partners

Embedded Platform-as-a-Service (ePaaS)

• Partner sells extension as SaaS including embedded SAP

Cloud Platform resources (single or multi-tenancy).

• Simple pricing - revenue share of 10% of partner app

subscription revenue (minimum fees per instance, starting from

€220 p.m.).

• Each App/Extension/Solution must be registered with SAP

(free of charge “App Readiness Check“).

• 1:n approach – fits best to SSPs or VARs with own

standard solutions.

Ru

n t

ime /

Co

mm

erc

iali

zati

on

Partner share

SAP royalty for

SAP Cloud Platform

(ePaaS)

Customer

subscription

revenue to

partner

Subscription

90%

10%

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ePaaS Base Bundles

*For more details, please visit partneredge.sap.com

RoyaltiesBundle

CategoryDescription Material

Minimum Royalties

per monthePaaS Bundle contents

10%Of net cloud

subscription revenue

ACloud Application

does not use

structured storage

8004129 €220

SAP Cloud Platform with 2 Java servers (small), 10GB Document service,

512GB/month bandwidth, 1 custom domain, mobile service for development

and operations: 2500 concurrent Mobile Users OR Portal: 25 000 site

visits/month incl. 3 portal administrator Users, 3000 Logon Requests/month

Identity Authentication

B

Cloud Application

uses standard

database services

8004130 - HANA €490SAP Cloud Platform with 3 Java servers (small), 10GB Document service,

512GB/month bandwidth, 1 custom domain, mobile service for development

and operations: 3500 concurrent Mobile Users OR Portal: 40 000 site

visits/month incl. 3 portal administrator Users, 3000 Logon Requests/month

Identity Authentication. SAP HANA service, base edition (32GB) OR SAP

ASE service (40GB). 8004826 – ASE €490

C

Cloud Application

uses advanced SAP

HANA platform

services

8004131 €990

SAP Cloud Platform with 6 Java servers (small), 300GB Document service,

1024GB/month bandwidth, 3 custom domains, mobile service for

development and operations: 5000 concurrent Mobile Users OR Portal: 60

000 site visits/month incl. 3 portal administrator Users, 3000 Logon

Requests/month Identity Authentication. SAP HANA service, platform edition

(64GB).

Multi-Cloud

(“MC”)

Cloud Application

runs in the Cloud

Foundry environment

8005812 €290

SAP Cloud Platform with 4GB Application Runtime on SAP Cloud Platform,

100GB Object Store on SAP Cloud Platform, 128GB/month bandwidth, 1

custom domain, 3000 Logon Requests/month Identity Authentication. Other

backing services for structured storage to be added à la carte at increased

BCS Minimum Royalties

18Confidential: Released for Partners© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

SAP Cloud Platform Licensing Options for SAP Business One Partners

Embedded Platform-as-a-Service (ePaaS)

• Partner sells extension as SaaS including embedded SAP Cloud Platform resources (single or

multi-tenancy).

• Simple pricing - revenue share of 10% of partner app subscription revenue (minimum fees per

instance, starting from €220 p.m.).

• Each App/Extension/Solution must be registered with SAP (free of charge “App Readiness

Check“).

• 1:n approach – fits best to SSPs or VARs with own standard solutions.

Ru

n t

ime /

Co

mm

erc

iali

zati

on

Develop, test and demo extensions to SAP Business One on SAP Cloud Platform

▪ Starter packs available on Partner TDD Price List: “Innovation pack for SAP Cloud Platform“ (in the Neo

environment) or “Multi-cloud starter pack for SAP Cloud Platform“ (in the Cloud Foundry environment),

▪ Starting from €89 p.m.

Inn

ovate

Examples

20Confidential: Released for Partners© 2019 SAP SE or an SAP affiliate company. All rights reserved. ǀ

Example of a Lean Manufacturing Solution:

▪ Managing ‘Make-to-Order’ and ‘Make-to-Stock’ production processes, with

inventory, routings, activities, etc.

▪ SAP Cloud Platform with standard SAP HANA services (32GB)

▪ With multi tenancy

▪ Integrating with SAP Business One via Service Layer and with Mobile/Desktop

users via OData

Prices

▪ Per User – 40 € / month.

▪ Average customer – 20 users

▪ 5 customers in the platform

▪ Revenue per customer – 800€ / month

▪ Total Revenue – 4,000€ / month

▪ Royalties to SAP CP (10%) – 400€ /month (< than the minimum of 490€) so

the invoice is for 490€

SAP Cloud Platform: Vertical Solution

TLS tunnel

SAP cloud

connector

Internet

REST/OData

OData

Mobile Users

Cu

sto

mer

On

Pre

mis

e

(or

Cu

sto

me

r in

SA

P B

usin

es

s O

ne C

lou

d)

Cu

sto

me

rS

AP

Clo

ud

Pla

tfo

rm

HTTPS

Firewall

Firewall

SAP Business One Companies

SAP Business One Service Layer

Desktop Users

3rd party cloud

apps

SCP Services

Vertical

Solution

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Example of a Beer Tap Maintenance solution:

▪ Managing van stock, and service management operations via mobile

▪ SAP Cloud Platform with standard SAP HANA services (32GB)

▪ With multi tenancy

▪ Integrating with SAP Business One via Service Layer and with Mobile/Desktop

users via OData

Prices

▪ Per User – 40 € / month.

▪ Average customer – 50 users

▪ 5 customers in the platform

▪ Revenue per customer – 2,000€ / month

▪ Total Revenue – 10,000€ / month

▪ Royalties to SAP CP (10%) – 1,000€ /month (> than the minimum of 490€)

SAP Cloud Platform: Mobile Extension

TLS tunnel

SAP cloud

connector

Internet

Mobile app

configuration

OData

OData

SAP Fiori UX

browser-UX Mobile devices

(native/hybrid)

SAP Cloud

Platform

Mobile

Services

Cloud back end

Cu

sto

mer

On

Pre

mis

e

(or

Cu

sto

me

r in

SA

P B

usin

es

s O

ne C

lou

d)

Cu

sto

me

rS

AP

Clo

ud

Pla

tfo

rm

HTTPS

Firewall

Firewall

SAP Business One Companies

SAP Business One Service Layer

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ESP Edge

Example of a Transportation solution:

▪ Managing location, consumption, type and state of each of the transportation options (multiple sensors).

▪ SAP Cloud Platform with Advanced SAP HANA services (64GB)

▪ With multi tenancy

▪ Integrating with SAP Business One via Service Layer and with Mobile/Desktop users via OData

▪ Using technologies such as Java, Ruby, Python, .Net, JavaScript and many others.

Prices

▪ Per device – 10 € / month.

▪ Avg. # of transports – 50 options

▪ Avg. # of devices / transport – 5 devices/sensors

▪ 5 customers in the platform

▪ Revenue per customer – 2,500€ / month

▪ Total Revenue – 12,500€ / month

▪ Royalties to SAP CP (10%) – 1,250€ /month (> than the minimum of 1.198€ → 290€ + 628€ + 5*34€+10*11€)

SAP Cloud Platform: IoT solution based on SAP HANA

IoT applications

Internet

Machine, devices, things

MobiLink suite client

SAP SQL Anywhere

Local store

and forward

SAPUI5

InternetTLS tunnel

Remote dev. mgmt

Msg mgt svc

Remote data sync

Cu

sto

mer

devic

es

Cu

sto

me

rS

AP

Clo

ud

Pla

tfo

rm

HTTPS

SAP HANA

Firewall

Firewall

*Run time and design time

IoT requires the devices 5 x 100 devices + IoT

Application Enablement Application Services of

10 blocks of 100Mi dataStreams per month

Thank you.

Contact information:

Steve Gouveia

Steve.gouveia@sap.com

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