SAP to save over €2B by replacing costly AI models
SAP is removing some expensive AI models from products for more affordable ones, aiming to boost efficiency and save more than €2 billion over the next 2 years.
CFO Dominik Asam shared that it has already switched out costly tech in its consulting assistant: no drop in performance, just less strain on the wallet.
SAP explores European AI alternatives
SAP is now using models from OpenAI, Anthropic, and Google, focusing on what works best without breaking the bank.
There is also a big push from customers, especially governments, for transparency about where these AI tools come from.
That has led SAP to explore more local solutions in Europe and keep up with what users actually want.
SAP to charge per finished task
Even with cheaper models, SAP expects overall AI spending to rise as demand grows.
Its plan: charge customers based on finished tasks instead of technical resources used, a move designed to keep profits steady.