The supply-chain vendor is opening up its Web-based supplier network to companies that currently don't use its software with a new subscription-based service.
Ariba Inc. this week launched Ariba Supplier Connectivity, a new service that lets its more than 120,000 customers conduct business on the Ariba Supplier Network with trading partners not using Ariba applications. The supplier network, which had been exclusive to customers using Ariba's spend-management applications, is a Web-based transaction procurement system.
Ariba Supplier Connectivity is a subscription-based service for companies not previously using the Ariba spend-management tools. It includes the Ariba-certified adaptor to the Ariba Supplier Network and services such as a global help desk, technical support, and testing and certification.
The Ariba Supplier Network lets buyers and suppliers connect and conduct business electronically and manage entire transactions, from sourcing to orders to payment, according to Ariba. Participants can also access multiple network-delivered services to improve collaboration among companies. Companies in 115 countries conduct more than $5 billion worth of transactions monthly on the network, the company says.
In other news, Ariba last week reported that revenue for the second quarter 2005, ended March 31, reached $81.3 million, up from $56 million in the year-ago quarter. The results for the quarter include FreeMarkets Inc., which Ariba acquired in July.
Software license revenue fell to $12.6 million, from $15.9 million in the year-ago quarter. Subscription and maintenance revenue, however, rose to $31.2 million, compared with $21.5 million for the second quarter of 2004. Services and other revenue for the quarter was $37.4 million, compared with $18.5 million for the second quarter of 2004.
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