SAP acquires e-commerce software firm Hybris

German enterprise software maker SAP AG has acquired Swiss e-commerce software developer Hybris in a bid to expand into the $37-billion e-commmerce technology market.

Both companies did not disclose the financial terms of the deal, but two sources familiar with the matter told Reuters that SAP paid between $1 billion and $1.5 billion for the acquisition.

The deal comes a few days after SAP's competitor Salesforce.com had proposed buying marketing software provider ExactTarget, for about $2.5 billion. (See: Salesforce.com to buy marketing software provider ExactTarget for $2.5 bn)

Zug-based Hybris, which has 600 employees, is backed by investors like Huntsman Gay Global Capital, Meritech Capital Partners and Greylock Israel.

Founded in 1997, Hybris offers a multi-channel ecommerce platform that incorporates Web, mobile, call centre and store solutions.

SAP said in a statement Hybris helps businesses to sell more goods, services and digital content through every touch point, channel and device  and has over 500 companies as its clients, including global B2B sites W.W.Grainger, Rexel, General Electric, Thomson Reuters, 3M, Toys"R"Us, Metro, Bridgestone, P&G, Levi's, Nikon, Galeries Lafayette, Migros, Nespresso and Lufthansa.

Walldorf-based SAP said that the acquisition positions it to deliver the next-generation e-commerce platform, with the choice of on-premise or cloud deployment, as enterprises around the world seek to optimise the customer experience for businesses and consumers across an ever-growing number of delivery channels, devices and touch points.

SAP added that the $37-billion e-commerce technology market is experiencing rapid growth as businesses adapt to changing customer behaviours that seamlessly cross Web, mobile, store, contact center and other points of engagement.

''Big data, cloud and social technologies only heighten demand for innovative commerce solutions needed for managing consistent customer engagement. Growing at more than twice the rate of the retail industry, e-commerce is increasingly recognized as a critical capability in identifying, winning and growing profitable customer relationships,'' said Ariel Lüdi, CEO, hybris and Carsten Thoma, president and co-founder, Hybris.

"Hybris is a recognized leader in commerce platform technology, and the combination with SAP will enable us to deliver complete multi-channel business solutions and continue our strong growth trajectory," thoma added.