It was recently told by SAP AG, German business software maker that now it would compete with smaller competitor in the fields of cost and value, with the help of pay-as-you-use Business ByDesign software. The software would be launched for small and medium sized customers later this month.

According to SAP, the software would be the strongest product for them and would be known as cloud environment. The customers would be able to use this software by taking it on rent through the Internet and according to the usage they could pay.

"We believe it is a game changer. It can add value to thousands of small and medium customers", said Ferose V. R., Managing Director of SAP Labs India Pvt. Ltd which is the largest research unit of SAP outside Germany.

It was seen that Business ByDesign software could help in reducing the costs and improve decision making. In 2007 the software was introduced by SAP which aimed at more than 100,000 customers by 2010.

Ferose also said that the technology was stable and strong now. He also added that the TCO including maintenance and repairs.

It was told by Bharat Goenka, Co-founder and Managing Director at Tally Solutions Pvt. Ltd that for model to do well thousands of customers were needed and not few hundreds.