Hi,
ATP is an acronym for Available to Promise and the server is generally used to carry out an availability check. Moreover its not a separate installation but a logical service running on an SAP instance(dedicated) which is part of SAP System. To elaborate it actually establishes the availability of materials in the SAP logistic modules viz., orders related to sales, production etc., based on the ATP logic. The ATP server has a buffer on the shared memory in which ATP relevant information is stored. This in-fact significantly reduces the access to the database tables RESB and VBBE.
If you need a little more on this...check this link[http://sap.ittoolbox.com/groups/technical-functional/sap-log-mm/atp-server-functionality-205939]
Thanks and Regards,
Damanaidu J
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