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CEO of SAP’s TomorrowNow Unit Resigns

November 19, 2007
In another twist to a lawsuit between software rivals SAP and Oracle, SAP said Monday, November 19, that several senior managers of its TomorrowNow unit, including the unit’s CEO, have resigned. SAP also said it is considering several options for the future of the TomorrowNow business, including a possible sale.

TomorrowNow is the software support unit at the heart of Oracle’s lawsuit alleging that SAP committed “corporate theft on a grand scale.”

TomorrowNow CEO Andrew Nelson and several members of his senior management team are leaving the company, SAP said. Mark White, who was appointed in July 2007 as executive chairman of TomorrowNow, will continue in that role.

“Our primary focus is TomorrowNow’s existing customers, who will be supported through this management transition,” White said in a statement.

TomorrowNow offers support services to clients running various Oracle product lines, such as PeopleSoft software. In March, Oracle sued SAP, accusing it of stealing support materials.

In July, SAP said TomorrowNow was authorized to download materials from Oracle’s Web site on behalf of TomorrowNow customers, but acknowledged “some inappropriate downloads.” SAP also said the U.S. Department of Justice has requested that SAP and TomorrowNow provide certain documents.

Despite SAP’s admission of improper downloads, some see a bright future for using a third-party company to support HR software and other applications.

Ed Frauenheim