Teradata takes SAP to US court, seeks monetary damages

Teradata big data analytics
US-based analytics company Teradata has filed a suit against Germany-based software firm SAP in a US court for trade secret misappropriation, copyright infringement and antitrust violations.

The complaint is available on Teradata’s website at: https://assets.teradata.com/News/2018/2018-06-19-Complaint.pdf.

Teradata, in its court filing, has sought an injunction barring SAP’s illegal conduct, monetary damages, and legal and relief available under law. SAP was not available for comments on the issue.

Teradata has named SAP co-founder Hasso Plattner and then-CTO Vishal Sikka, who later joined Infosys as CEO, in the suit. Teradata did not say that these two senior members of SAP team were responsible for using Teradata information.

SAP’s Hasso Plattner and Vishal Sikka announced their goal of revitalizing SAP’s product offerings by developing a faster database architecture.

Vishal Sikka restructured SAP’s engineering teams to develop and deploy SAP HANA in less than a year.

Vishal Sikka in November 2010 announced that SAP had begun shipping its HANA product. SAP in May 2011 demonstrated HANA for SAP BW to create an EDAW-type environment. SAP announced general availability of SAP HANA in June 2011. Teradata said SAP HANA had $2 billion in revenue in 2016.

Teradata says SAP has used its position in Enterprise Resource Planning (ERP) Applications to gain entrance to and grab market share in the Enterprise Data Analytics and Warehousing (EDAW) market.

SAP leveraged its position in ERP Applications to attract Teradata into a joint venture to gain access to Teradata’s intellectual property. The joint venture combined SAP’s ERP Applications suite and Business Warehouse reporting tool (SAP BW) with Teradata’s massively parallel processing (MPP) architecture for EDAW.

Teradata says SAP stole Teradata’s trade secrets in the EDAW space, and used them to introduce SAP HANA.

SAP is forcing its enterprise customers to adopt HANA in exchange for upgrading ERP Applications. SAP has begun significantly restricting Teradata’s ability to access customers’ SAP-derived data.

SAP has deliberately sought to exploit its large, existing ERP customer base to the detriment of Teradata and its customers.

Given the high costs of switching ERP providers, SAP’s ERP customers are locked-in to using SAP’s ERP Applications, and SAP is attempting to lock them into using only HANA in the EDAW market as well.

SAP could not have developed and marketed HANA without its theft of Teradata’s trade secrets. SAP is now attempting to foreclose Teradata from supplying EDAW solutions to many of the largest corporations in the world.