In a joint statement with Amazon this week, Capgemini North American announced it will help enterprises install SAP applications or migrate existing SAP apps to Amazon’s public web services cloud. The new service will also offer a “Rapid Cloud Workshop” on Amazon’s cloud infrastructure, letting users launch SAP stress test pilots, before going live. This news follows last months highly publicized Amazon EC2 outage and last week’s announcement that Amazon’s public cloud is now certified to run SAP apps such as Business Objects and Rapid Deployment products. This year, SAP and Amazon also committed to launching additional public cloud products, including SAP ERP (enterprise resource planning).
Strategically, this news is extremely important to both companies as SAP sees it’s client’s migrating from expensive data center server environments to managed clouds- mainly hosted by established service integrators; and for Amazon, as it wants to attract more of those same enterprises with larger server and storage “standing” workloads. Per David Bradshaw, research manager, European SaaS and Cloud Services, at IDC, “At the moment a large chunk of Amazon’s business comes from people loading up servers for relatively short times to do testing, which means it has a fairly unpredictable load. Standing loads mean Amazon gets a better utilization of its hardware, but it has to be offered at a lower cost than current pricing for it to make sense to enterprises.”