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ECT News Community   »   E-Commerce Times Talkback   »   Re: Will SAP Leave Commerce One in the B2B Dust?

Re: Will SAP Leave Commerce One in the B2B Dust?
Posted by: Mark W. Vigoroso 2002-01-31 18:30:05
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Earlier this month, a subtle turn of events occurred in the B2B e-commerce arena that
should have set off flashing red lights. E-business software giant SAP opted out of an
e-procurement software licensing agreement with beleaguered partner Commerce One. The
dissolution of the software pact highlights a prevailing B2B trend: "inside-out"
e-business. Today's companies are looking to shore up e-business systems inside the
organization and then extend them outward to trading partners.

Re: Will SAP Leave Commerce One in the B2B Dust?
Posted by: mbulkeley 2002-02-01 14:56:18 In reply to: Mark W. Vigoroso
This is more a comment to the nature of the action. The history of ecommerce has been that the marketplace model eventually either finds its niche or reaches a critical mass (as in meltdown, not as in profitibality).

The big firms start viewing the costs and determine they can do the same or better. The marketplaces hope this doesn't happen because the firms have "outsourced" the effort to the marketplace.

However, the firm still owns all the processes that create the data to be passed through the marketplace. The marketplace by its very nature of creating a standardized process and "format" for operating, becomes its own worst enemy.

This is the same as what you comment on--inside out. The advent of better software tools makes this even more compelling for the large firms.

Thus the marketplace ends up relegated to those companies who cannot do it themselves. Just like marketplaces of yore, the landed gentry grew their own and only went to the market for specialty goods or infrequent need (and even then they probably struck a side deal with the merchant). The rest of the populace had to buy their goods in the market and that is what sustained it.

Re: Will SAP Leave Commerce One in the B2B Dust?
Posted by: smarttrooper 2002-02-01 00:18:26 In reply to: Mark W. Vigoroso
Is there anything going on between SAP and ELCO?
Elcom now has out a Dynamic Trade Centre that they
have Branded from industry2industry which is part
owned by SAP and I think the product was co-developed between i2i and Sap and maybe the product that SAP uses for Dynamic Trading.
What gives here?
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