Enterprise Apps Unpacked29 Maj 2025

SAP makes case for integrated “flywheel” of AI, data and applications

SAP has faced numerous challenges in recent years, but three big ones stand out: moving its on-premises products to the cloud; convincing customers to adopt its current ERP platform, S/4HANA Cloud; and meeting the unprecedented demand for artificial intelligence by developing practical AI applications.

SAP touted significant progress on all three fronts at its annual Sapphire conference, which was held on consecutive weeks this month, first in Orlando and then in Madrid. It repositioned S/4HANA Cloud ERP as a mix-and-match, AI-infused "business suite" – a throwback to the brand name of its previous ERP flagship. It augmented its primary data platform, Business Data Cloud, with prebuilt, composable applications that combine data products with AI and simulation features. And it embedded the Joule AI co-pilot in more business processes across the application suite, making it more autonomous and omnipresent as a user-friendly interface to ERP.

The result, SAP claimed, is an integrated "flywheel" of AI, data and apps that feed off each other to accelerate digital transformation.

While reaction was generally positive, it was leavened with the wait-and-see attitude that is typical after the ambitious promises and glitzy presentations of a software conference. SAP still has integration and data management work to do if the components of the business suite – especially cloud platforms like Ariba and Concur that it acquired – are to work seamlessly together.

In the podcast, three Informa TechTarget editors offer their analysis of Sapphire developments and observations from the Orlando and Madrid events: Jim O’Donnell, news director at SearchSAP; Brian McKenna, enterprise applications editor at London-based ComputerWeekly; and industry editor David Essex.

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