Known primarily for its fast-growing cloud sales, Germany-based enterprise software giant SAP (NYSE: SAP) recently announced a strategic development partnership with online payments provider PYMNTS.com, and unveiled a new "Payments2CashFlow Challenge."
Under the challenge, a few select developers among those that submit proposals will be given access to SAP's cloud-based solutions and PYMNTS.com's expertise to help them create a new business-to-business (B2B) payments offering. "The Payments2CashFlow Challenge is a great program to give developers a chance to tackle real-world payments problems that are being encountered by organizations of all types," commented Marty Mrugal, SAP's North American innovation officer.
SAP and PYMNTS.com are particularly interested in developers tackling what they see as the four key obstacles business customers encounter during the payment process: "making working capital smarter, dynamic payments optimization, supply chain payments optimization and creating a trusted supplier identity."
Proposals must be submitted no later than March 31. The challenge gets under way April 5 and will run for five weeks, PYMNTS.com CEO Karen Webster said. The opportunity is certainly a significant one, not to mention the positive impact an industry leading payments solution would have on SAP's fast-growing cloud revenue.
One study suggests that digital commerce and mobile payments will total approximately $715 billion this year in the U.S. alone, and will continue climbing to $1.15 trillion by 2021. Nabbing a piece of such a significant market would give SAP's cloud sales yet another boost. SAP ended 2016 with combined cloud subscription and support revenue of $3.14 billion, up 31% year over year.
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