SAP plans €2billion IoT investment in five years
SAP has announced investment plans of €2 billion over five years to help business and government entities benefit from the proliferation of sensors, smart devices and Big Data that is transforming business with the Internet of Things (IoT).
SAP said it planned to accelerate innovation in its IoT solution portfolio, increase sales and marketing, scale service, support and co-innovation, and grow its ecosystem of partners and startups in the IoT market, which is estimated to reach €250 billion by 2020.
Chief Executive Officer of SAP, Bill McDermott, said with billions of connected devices, “we now have the potential to reshape society, the economy and the environment. SAP HANA is the data platform we knew would unlock the Internet of Things. Today SAP is making another bold investment to help our customers seize the benefits of live business. Only SAP empowers businesses to innovate from the core to the edges to the networks.”
According to him, while business and public sector entities have unprecedented access to more information and real-time feeds, they still have difficulty tying it all together across operating locations, business units and functional teams.
As such, SAP IoT aimed to make sense of Big Data from the multitude of things through IoT solutions that apply machine learning and integrate with the core business applications of SAP S/4HANA.
“SAP IoT includes solutions connecting people, partners, things and the physical environment, enabling organizations to extend and enrich business processes with real-time, live intelligence so that they can see where opportunities exist, achieve new operational efficiencies, and reimagine business models, products and services to deliver more immediate customer and stakeholder value. SAP IoT seeks to enable connected business and connected society, addressing urban and rural areas and spanning agribusiness, infrastructure and energy, health, defense, manufacturing, consumer and transportation industries,” he said.
He further said that SAP is introducing Industry 4.0 packages that feature IoT solutions to enable customers’ digital business strategies. He stressed that the jump-start package is designed to initiate operational and business system connectivity as a foundation to monitor equipment effectiveness and provide insight into shop floor operations. The accelerator package also has this functionality, and adds an automated, paperless, manufacturing execution and control.
“Both packages are complemented by the SAP Distributed Manufacturing application for additive manufacturing 3D printing services. The jump-start and accelerator packages are available immediately. SAP plans to introduce the third Industry 4.0 solution package, the “advanced” package, at a later date to provide advanced manufacturing insight and controls, machine learning functionality and predictive analysis for quality and maintenance operations. SAP also plans IoT package solutions to address the unique digital operations of cities, agriculture and energy industries”, he stated.