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Oracle sues rival SAP over "corporate theft"



By Michael Kahn
23 March 2007 @ 05:15 am BST

London - Oracle sued SAP on Thursday for "corporate theft on a grand scale," claiming its business software rival used customers' online access codes to steal copyrighted software.


In this file photo Henning Kagermmann, CEO and co founder of software group SAP poses prior to the company's annual news conference in Frankfurt January 25, 2006. Oracle sued SAP on Thursday for "corporate theft on a grand scale," claiming
In this file photo Henning Kagermmann, CEO and co founder of software group SAP poses prior to the company's annual news conference in Frankfurt January 25, 2006. Oracle sued SAP on Thursday for "corporate theft on a grand scale," claiming its business software rival used customers' online access codes to steal copyrighted software. REUTERS/Alex Grimm
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Oracle, which is battling with SAP in the market for software that helps companies automate business functions, accused the German company of gaining repeated and unauthorized access to its password protected customer support Web site.

This allowed SAP to copy thousands of Oracle software products and other confidential materials onto its own servers and compile an illegal library of copyrighted software code, the lawsuit charged.

"This case is about corporate theft on a grand scale, committed by the largest German software company a conglomerate known as SAP," said the lawsuit, filed in U.S. District Court in San Francisco.

An SAP representative in Germany declined to comment on the latest battle in what has become a bitter rivalry.

Oracle has spent $20 billion (10.2 billion pounds) buying software rivals over the past three years to challenge SAP, the leader in corporate applications that help automate everything from accounting to human resources to inventory management. Oracle is expanding into that market as its core database business matures.

Executives at both companies regularly belittle each other's products and strategies in public. Oracle has called SAP's NetWeaver product "net deceiver" while SAP has referred to Oracle's "Project Fusion" has "confusion."

In its lawsuit, Oracle said a "storehouse of stolen Oracle intellectual property" allowed SAP to offer cut rate support services to Oracle customers and lure them to their own products.

Redwood Shores, California based Oracle is seeking to stop SAP and prevent it from using illegally acquired materials, as well as damages and attorneys' fees, according to the lawsuit.

Oracle said it noticed unusual activity on its systems near the end of last year that did not resemble the kind of authorized access available to customers.

© 2009 Thomson Reuters. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

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