You''ve heard of e-business. Have you heard of c-business? Because that is what underlies SAP AG''s launch of SAPMarkets, a new subsidiary dedicating to creating and powering globally interconnected business-to-business market places on the Internet. Following the introduction of mySAP.com last year, this move underscores a new quality in developing, marketing and operating Internet-based market places and providing collaborative business (c-business) solutions. SAPMarkets will consolidate all of the current mySAP.com market place efforts to provide customers with the technology and cross- company integration expertise they need to bring market places to fruition at Internet speed. The new company will operate globally with headquarters in Palo Alto, California, and is expected to open for business in May 2000. While e-market places offer the promise of huge cost savings and return on investment, they also present significant challenges. Integration is among the biggest challenges. "SAPMarkets combines all of our Internet market place activities and resources into a dedicated entity, backed by the industry-leading business and integration expertise of the SAP Group and its ecosystem of customers and partners," says Hasso Plattner, co-Chairman and CEO of SAP AG, as well as interim-CEO of the new marketplace company. "With a focused dot.com company under its wings, SAP is in an excellent position to deliver our Internet market place activities and resources to help our customers better compete in the new economy."

SAPMarkets will be responsible for all existing and new vertical and horizontal market places. Designed using open, industry standards the mySAP.com Marketplaces combine content, community, collaboration, and commerce. The solutions offered by SAPMarkets combine the best of mySAP.com and third-party technology, applications and services. The new company will leverage the global SAP eco-system of partners and consultants as well as the global SAP sales force and will cooperate with other marketplace providers. SAP AG will retain majority control of SAPMarkets. Initially, SAP will invest up to EUR 500 million into the new company.