Anti-Network Trust or Anti-Network Bust? Exploring the DOJ Review of SAP’s Proposed Acquisition of Ariba (Part 3) [Plus+]

There is a strong rationale for antitrust enforcement in US history. From railroads to steel, antitrust enforcement has enabled greater competition and business and consumer choice. Yet in the case of Ariba/SAP, there is an argument to be made for the fact that competition is strong and rising in the P2P and network market, and will remain so for the foreseeable future given the caveats we outlined earlier in this series. The only flags we would raise for this potential transaction based on the standards the DOJ and FTC analyze M&A activity based on anti-trust concerns is how Ariba and SAP could potentially lock customers into their own network offering and require (read: mandate) pricing on suppliers because of the lock-in with the procurement and AP community on the buy-side.

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