Today, the European Commission announced it is initiating an antitrust investigation into the German software giant SAP, due to concerns about its practices in software support services. The EU probe relates to SAP software called Enterprise Resource Planning, or ERP.
The Commission states that the investigation will determine if SAP potentially distorted competition in the aftermarket for maintenance and support services tied to on-premises software, licensed by SAP, used in managing business operations.
In a press release, SAP stated that it believes its policies and actions fully comply with EU competition rules.
“These proceedings address some areas of our on-premise maintenance and support policies, which are based on long-standing standards that are common across the global software sector. SAP believes that its policies and actions are fully in line with competition rules. However, we take the issues raised seriously and we are working closely with the EU Commission to resolve them.
We do not anticipate the engagement with the European Commission to result in material impacts on our financial performance.
As a major European player in a very dynamic global industry, SAP is committed to open competition. We trust the European Commission will aim for a quick and fair conclusion to these proceedings”
SAP shares fell 2% following the announcement.
By CEO NA Editorial Staff