SAP
SAP SE is a German multinational enterprise software company best known for its ERP and business application suite used to run core processes across finance, supply chain, HR, procurement, and customer operations. SAP has embedded AI capabilities across its cloud applications and data platform, and offers generative AI experiences through its Joule copilot to automate workflows and improve decision-making.
AI Strategy
SAP’s AI strategy centers on embedding AI (including generative AI) into end-to-end business processes across its cloud application portfolio, with governance and enterprise security, and enabling customers/partners to build and run AI on SAP BTP using their business data. The company emphasizes responsible AI, integration with SAP’s data layer, and ecosystem partnerships (notably with hyperscalers and model providers) to deliver enterprise-grade AI capabilities.
Key AI Products
Financials
Funding
Business Focus
Competitive Analysis
Strengths
- •Deep domain coverage of core enterprise processes (ERP) with high switching costs
- •Large installed base and partner ecosystem (SIs, ISVs)
- •Strong integration between applications, data, and platform (BTP) for end-to-end workflows
- •Enterprise-grade security, compliance, and governance expectations for regulated industries
- •Embedded AI across business applications plus a unified copilot experience (Joule)
Challenges
- •Complexity of implementations and upgrades; reliance on SI ecosystem can increase time-to-value
- •Perception of high total cost of ownership for some segments
- •Cloud transition and product portfolio breadth can create overlap and customer confusion
- •Faces intense competition from hyperscalers and best-of-breed SaaS vendors in specific domains
- •AI differentiation depends partly on partner model providers and cloud infrastructure
Strategic Partnerships
Partnership spanning cloud and enterprise integration; SAP workloads and integrations on Microsoft Azure and joint go-to-market for enterprise customers.
Cloud partnership to run SAP solutions on Google Cloud and collaborate on data/analytics and AI capabilities for enterprise customers.
Cloud partnership enabling SAP solutions on AWS and joint customer programs for migration and modernization.
Collaboration to support enterprise AI and generative AI use cases leveraging NVIDIA AI software/hardware with SAP’s platform and applications.
Collaboration around enterprise transformation and technology integration; IBM is a major SAP systems integrator and technology partner.