Intel/SAP coupling bears online fruit

SAP and Intel have come together to launch Pandesic, a jointly owned company to provide small and medium-sized businesses with internet commerce systems.

In a bold move by the giants to tie a burgeoning market to their technologies, Pandesic aims to offer its products outside the US within 12 months, with Germany and the UK expected to be the first markets.

Both companies claimed Pandesic will offer more than internet transactions ? its product also include order, inventory, tax, logistics and financial processes currently conducted on paper.

Analysts said Pandesic?s system would appeal to businesses wanting to trade online, but warned that some may not want to be restricted to the Intel architecture or the proprietary SAP software.

Intel and SAP refused to reveal how much they have spent on funding Pandesic, which will be headed by former Intel CFO Harold Hughes. Bryan Plug has moved from his position as SAP America executive VP to become Pandesic president and CEO.

The system will initially be sold for business-to-business and business-to-consumer applications through resellers Inacom and US Web. Pandesic is recruiting channel partners, but Plug admitted only Pandesic has the expertise to fully support the product, leaving a question mark over its future channel sales policy, especially in Europe.