Allied Market Research reported that the global enterprise software market is expected to garner $41.69 billion by 2020 with Asia-Pacific being one of the most lucrative markets to reach $9.77 billion.
Rimini Street, a global provider of enterprise software products and services and a third-party support provider of Oracle and SAP software products, will be expanding its operations in Southeast Asia and the Greater China region. Andrew Seow will be leading this venture as the company’s Regional Director.
With Rimini Street’s quest to disrupt and redefine the enterprise software space as a third-party support provider, their latest investment in Southeast Asia and the Greater China region is yet another breaking story to be told.
The company’s latest expansion in APAC is brought about by its increasing base in the region. Hyundai, GM, and Proton are some of their newly converted clients.
“Rather than follow the vendor-dictated roadmaps that consume too much budget and put pressure on resources with expensive annual maintenance fees and a steady beat of required upgrades and updates, organizations can now turn to a trusted partner in Rimini Street to help them take the necessary steps towards leveraging their significant IT investments to achieve business results.”
How is competition looking in the region?
In the fast-moving Asian markets, Rimini Street is anticipated to compete in the ERP space with SAP, Oracle, Microsoft and other ERP software bigwigs that have earlier established their presence in APAC.
Ravin said that SAP and Rimini Street have a “co-existence agreement” where fierce competition is in the field.
SAP has reported revenue growth of 6.5% year-on-year, driven by S/4HANA customer adoption and strong cloud growth in the Asia Pacific and Japan business in Q1 of 2019.
SAP CEO Bill McDermott announced that SAP’s value would double by 2023 with China as the fastest growing market.
APJ boasted a healthy 55% rise in revenue, while Europe and the Americas at 42% and 45%, respectively. The growth in SAP cloud is growing strong globally with much promise in China and Japan.
On the other hand, Rimini Street remains unabashed despite the eight-year legal showdown with Oracle over copyright infringement.
Much like SAP, driven by digital transformation projects and smart city developments across APAC including SEA, Oracle is also steadily growing.
Cherian Varghese, Regional Managing Director and Vice-President of Oracle in ASEAN said new areas such as blockchain, IoT and autonomous bases have contributed to the organization’s continuous success. Oracle has also seen tremendous growth in SaaS portfolio, ERP suite and NetSuite business.
Rimini Street’s Value Proposition in the Region
Seth Ravin, Founder and CEO of Rimini Street, emphasized that the company’s
core mission is to enable licensees of Oracle, SAP, IBM, Microsoft, and other enterprise software vendors to save up to 90% on total support costs.
Cost savings is attributed to bypassing vendor-driven roadmaps and extending current IT investment. He stressed that aside from being costly, the arduous migration and recurring updates might have no inherent value to the client in terms of competitive advantage.
“It’s really not just about reducing costs. It’s about shifting investment – taking back the money and investing it back into your business. We focus on bringing that 90% spend down to 60%. That’s a game changer and that’s why you have so many Fortune 500’s who’ve made the switch to Rimini Street today and why they keep growing.”
Andrew Powell, APAC Managing Director of Rimini Street said,
“Our expansion into Southeast Asia and further expansion into Greater China will help bolster Rimini Street’s already strong presence across Asia-Pacific. Furthermore, the investment reflects what we see as a strong and growing appetite throughout the regions for a much more value-driven, flexible alternative to paying expensive Oracle and SAP support costs for enterprise software systems.”