Siemens Business Services has received orders worth a total of EUR140 million from 15 banks in Germany and Luxembourg for its established standard Kordoba Classic software, in the process delivering a critical blow to a two-year old pact with SAP to develop new banking software for this market.
Under the agreement with the banks, which include ING direct banking subsidiary DiBa, Oldenburgische Landesbank and the Deutsche Apotheker- und Ärztebank, Siemens Operating Group is to update, enhance, support - and in some cases operate - the Kordoba package on their behalf.
The deal is a blow to German software outfit SAP, which struck a deal with Siemens in April 2001 calling for the the migration of all 47 Kordoba customers to an upgraded version of the software based on SAP's Bank Customer Accounts solution.
Deutsche Post's Postbank unit and BNP Paribas's Consors division have already switched to the SAP version. Other significant Kordoba users such as Dresdner Bank and Bankgesellschaft Berlin have yet to make a commitment.
SBS's solo agreement with the 15 regional banks robs SAP of a significant customer and revenue base.
Jürgen Frischmuth, member of group executive management at Siemens Business Services, describes the deal as a milestone for the company. "The enormous interest that our standard Kordoba solution has generated is proof of the banks' long-term commitment to our company."