SAP Showcases New AI Customers Across APAC
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Key Takeaways
⇨ SAP experienced strong cloud revenue growth in the Asia Pacific and Japan region, with double-digit increases attributed to the successful integration of embedded AI in 50% of closed deals.
⇨ The company plans to expand its embedded AI use cases to 400 by 2025, highlighting the increasing business value that organisations in the region are deriving from SAP's AI technologies.
⇨ Customers in Asia Pacific are encouraged to capitalise on SAP's advancements in cloud and AI, which present opportunities for enhanced business efficiency and potential negotiation for better deals on services.
During the FY2024 earnings call, SAP recognised the particularly strong performance of the Asia Pacific and Japan region in building a successful 2024. The region led notable cloud revenue growth for the company, with double-digit increase in cloud revenue and cloud and software revenue both for the fourth quarter and the full year. A major factor for this growth is attributed to the embedded AI use cases in 50% of deals closed by SAP, also noted by SAP CEO Christian Klein. This holds true in the Asia Pacific region as well as other regions with SAP announcing multiple go-lives in showcasing cloud and AI innovative uses.
Highlighting the performance, Paul Marriott, President of SAP Asia Pacific and Japan, stated that “2024 was the year that AI moved from hype to reality for SAP customers across Asia Pacific and Japan. This will only accelerate in 2025 as we target a total of 400 embedded AI use cases. This level of adoption underlines the value organisations across Asia are realising from Business AI right now.”
Regional Customers Making an Impact
SAP closed one of the biggest deals during the last quarter with NTT Data Inc, a leading technology and business service company based in APAC. Although NTT Data provides services to companies making the move to RISE with SAP, SAP S/4HANA, or the cloud, they selected RISE with SAP, including SAP Business AI, SAP Business Technology Platform (BTP), and SAP Signavio to transform its business. According to the company, “RISE with SAP will provide NTT Data Inc. a unified, consolidated approach that will help streamline operations, enhance efficiency across business processes, and embrace innovation.”
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Other organisations in the region embracing business AI include Premium Transmission Limited (India), Ashok Leyland (India), ITC Limited (India), and SA Power Networks (Australia). Premium Transmission selected GROW with SAP and SAP Business AI while Ashok Leyland chose SAP Business AI, SAP Datasphere and SAP Analytics Cloud as part of their move to RISE with SAP. ITC Limited plans to complement their SAP S/4HANA deployment with SAP Business AI, SAP BTP, and SAP SuccessFactors. Lastly, SA Power Networks plans to move to RISE with SAP with SAP Business AI and SAP SuccessFactors.
These deals highlight the impact of SAP Business AI, powered by SAP’s generative AI assistant, Joule, on business operations across the Asia Pacific by enhancing business functionality in ERP and finance, supply chain, procurement, human resources, sales and customer service, marketing and commerce, IT and platform, and industries offerings.
Along with business AI’s impact, SAP also showcased the cloud momentum across the region. This started with Coles, a leading Australian retailer with over 120,000 employees, go-live on RISE with SAP in the fourth quarter. Other new cloud or RISE with SAP customers with wins or go-lives in Asia Pacific included Trent Limited, Hyundai Glovis, Roy Hill, Aditya Birla Fashion and Retail, Hokkaido Electric Power Company, Sterlite Power Transmission, NTPC Limited, Ventia, Daewoong Pharmaceuticals, Tosoh Corporation, and Underdogs.
What This Means for Mastering SAP Insiders
Capitalise on SAP’s accelerating cloud and AI advancements to drive your own digital transformation. Following a standout year of cloud growth and with plans to embed 400 AI use cases by 2025, SAP is doubling down on its commitment to the Asia Pacific and Japan region. This surge in AI adoption highlights the tangible business value organisations are already realising from Business AI. To stay competitive and maximise these innovations, now is the time to fast-track your cloud adoption strategies and fully leverage SAP’s evolving ecosystem.
Customers should leverage this opportunity with SAP. With SAP’s continued focus on AI and the cloud, customers in Asia Pacific may be able to work with their local account executives and make the most of the opportunity. If an organisation already plans to purchase cloud or AI services from SAP, there may be an opportunity to negotiate an improved deal that will help those teams keep Asia Pacific at the top of the growth list for SAP.
Understand the value of SAP’s business AI and cloud solutions. While some organisations in the region are already embracing these offerings, as showed by SAP’s announcement, every SAP customer should take the time to understand what is available, how it works with existing solutions and landscapes, and the benefits that are offered. Only by doing this will it be possible to accurately assess the benefits that SAP’s cloud and AI solutions can offer.