NetSuite, Inc. (NYSE: N), the industry's leading provider of cloud-based enterprise resource planning (ERP) / financial suites, today announced a strategic partnership with Sunway E-Systems (SES), one of Southeast Asia's leading integrators of technology-enabled business transformation and a subsidiary of the Sunway Group. The partnership gives SES the exclusive rights to distribute, resell, implement and support NetSuite's cloud computing business management suites in Malaysia.
According to a recent Gartner survey*, emerging Asia Pacific markets are primed to adopt cloud computing solutions. In the report Gartner writes, "In Malaysia, CRM and supply chain management (SCM) were the next most popular applications for SaaS after ERP. In China, 50% of respondents indicated they had been using SaaS for more than four years, while in Malaysia, this figure exceeded 76%." In addition, a recent research report from Springboard Research indicates that Asia Pacific organisations will spend close to US $2.3 billion on cloud computing solutions by 2012, a growth rate of 46%.
Partnering with NetSuite gives SES an immediate presence in the rapidly expanding cloud computing industry, as well as a superior line-up of cloud business management solutions, including NetSuite's core integrated suite that combines ERP / Financials, customer relationship management (CRM) and Ecommerce software, and NetSuite OneWorld, a cloud computing solution which enables multinational and multi-subsidiary companies to manage their global financial consolidation and business operations in real-time.
As the exclusive distributor in Malaysia, SES can build and directly manage a network of resellers, partners and integrators in a three-tiered structure designed for the Malaysian marketplace. SES can also draw on its extensive business process domain knowledge and understanding of clients' key business processes to deliver best-in-class implementation services and support. SES and NetSuite have agreed to jointly promote NetSuite to businesses in Malaysia via a series of coordinated marketing campaigns.
"Sunway is a major market force in Malaysia led by its industry experience, access to the highest levels of commerce and government, and proven expertise in business transformation," said Chris Schafer, NetSuite's Managing Director for Asia-Pacific (APAC). "NetSuite could not have a better partner in the region as it seeks to address the rapidly growing Malaysian market demand for cloud computing solutions. The Sunway Group has embraced cloud computing as the way of the future and, through SES and NetSuite, SES can also realise the benefits of the cloud, which are synonymous with dramatic IT cost reductions, efficiency and productivity gains. We are very excited and proud to be working with such a prestigious Malaysian company and we look forward to a long and fruitful partnership."
Through its partnership with NetSuite, SES can also capitalise on the growing regional trend for resellers and systems integrators to move customers to the cloud. New customers can be the beneficiaries of SES' decades of direct industry experience and knowledge management, and the significant business benefits associated with NetSuite solutions.
"This partnership, which combines our ICT and business process expertise with NetSuite's market-leading business management software, provides the highest degree of flexibility and value as companies of all sizes and types seek to lower operating costs and eliminate capital expenditure by moving key business processes to the cloud," said Cheah Kok Hoong, CEO of SES.
In upcoming months, following the successful rollout of the Malaysian business, SES plans to extend its regional distribution network in Southeast Asia as a non-exclusive NetSuite distributor for Thailand in 2011.
SES's proven expertise in business transformation makes it an excellent match for NetSuite's Asia Pacific Channel Program, which provides partners with unprecedented benefits, including the unique recurring revenue model, which is designed to reward partners for successfully retaining their clients year after year.
About Sunway E-Systems (SES)
Sunway Group (sunway.com.my) is a well-established, diversified conglomerate in Malaysia with nine core businesses spanning more than 40 locations worldwide.
The Sunway E-Systems (SES) subsidiary sells, distributes and supports Software-as-a-Service (SaaS) and Product Lifecycle Management (PLM) solutions. Its SaaS solutions include Enterprise Resource Planning (ERP), Customer Relationship Management (CRM) and e-Commerce solutions that assist customers in managing all business process.
NetSuite, Inc. (netsuite.com) is the industry's leading provider of cloud-based enterprise resource planning (ERP) / financial suites. NetSuite enables companies to manage core key business operations in a single system, which includes Enterprise Resource Planning (ERP), Accounting, Customer Relationship Management (CRM), and Ecommerce. NetSuite's patent-pending "real-time dashboard" technology provides an easy-to-use view into up-to-date, role-specific business information.
NetSuite and the NetSuite logo are registered service marks of NetSuite, Inc.
Cautionary Note Regarding Forward-Looking Statements
This press release contains forward-looking statements relating to expectations, plans, and prospects including expectations relating the expected growth of the Malaysian SaaS market and SES' plans to extend its regional distribution network for NetSuite. In particular, the following factors, among others, could cause results to differ materially from those expressed or implied by such forward-looking statements: the market for on-demand services in Malaysia or Southeast Asia may develop more slowly than expected; and risks associated with material defects or errors in the Company's software or the effect of undetected computer viruses. For a detailed discussion of these and other cautionary statements, please refer to the risk factors discussed in filings with the U.S. Securities and Exchange Commission ("SEC"), including but not limited to the Company's Quarterly Report on Form 10-Q filed for the financial quarter ending March 31, 2010, and any subsequently filed reports on Forms 10-K, 10-Q and 8-K. All documents are available through the SEC's Electronic Data Gathering Analysis and Retrieval system (EDGAR) at sec.gov or NetSuite's website.
*"Emerging Market Analysis: Plans for SaaS Application Software Use in China and Malaysia, 2010-2011", Yanna Dharmasthira and Sharon A. Mertz, Gartner, Publication Date: 24 June 2010, ID Number: G00201056.