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In a memorandum to employees with the subject line "SAP on the defense," chairman and chief executive officer Marc Benioff slammed SAP's plans to launch a software-as-a-service application.

The memo was leaked to the media late Wednesday.

Benioff said he agrees with SAP chief executive officer Henning Kagermann that the German software maker's customers should explore the benefits of on-demand. "When rivals who have long dismissed our model finally embrace on-demand, minds and markets are opened to us," Benioff wrote. "Let's respond the way and make each one of these customers a success."

Benioff invited SAP AG customers to sign up for a free 30-day trial.

The lengthy memo addresses SAP's plans to launch a software-as-a-service (SaaS) customer relationship management (CRM) application on Thursday at media events in California and New York.

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