SAP Outpaces Rivals with Strong Growth amid App Slowdown

The major part of this growth was driven by SAP’s Business AI, which includes 60 Generative AI use cases

SAP showcases an extra ordinary Q2 performance while its competitors in the enterprise applications market experienced slowed-down growth. SAP stands out from its rivals with a 33% increase in Cloud ERP Suite revenue to $3.72 billion and a 25% rise in overall cloud revenue to $4.52 billion. Salesforce, Oracle, and Workday have all experienced significant decreases in growth, with Salesforce reporting 8-9% revenue growth for the fiscal year while Oracle's cloud revenue increased by only 10% last quarter.

A positively evolving partner ecosystem, an increase in Business AI interest, and a solid customer demand for on-premises migrations contributed to SAP’s success. Christian Klein, CEO of SAP, stated that the company's growth is unaffected by the larger economic contingencies affecting its rivals. The major part of this growth was driven by SAP’s Business AI, which includes 60 Generative AI use cases with plans for 100 more by the end of this year.  In addition to that, the increase in on-premises to cloud migrations and the strategic RISE program, aimed at guiding comprehensive business transformations, added to this growth.

Despite industry-spanning challenges, SAP’s strategic initiatives and customer-centric innovations are driving exceptional results, setting the company apart in a dynamic and unpredictable market condition.