T-Systems announced today that it plans to buy SAP AG’s external hosting business for an undisclosed sum.

The company, which is the business customer wing of Deutsche Telekom AG, said it would host software apps for around 90 of SAP’s punters at its computer centre under the deal.

The agreement, subject to the normal regulatory scrutiny, is expected to complete early next month.

No staff or fixed assets will be transferred under the deal, said Munich, Germany based T-Systems in a statement.

"The takeover of SAP external hosting business fits precisely to T-Systems' global SAP strategy," said T-Systems board member and head of ICT ops, Olaf Heyden.

"The transaction is the next step according to the won deal with Continental to underline T-Systems’ position as a global leading SAP service provider. On the same hand we boost our dynamic services approach.”

SAP’s senior managed services boss Wolfgang Krips was keen to point out that customers would be unaffected by the corporate handover.

"Even though there will be a transition to a new provider, I am confident that customers will find the gradual transition to T-Systems to be smooth and very manageable so they may continue to execute their IT agendas," he said. ®