Gartner Report: SAP’s RISE Struggles in Cloud Transition

September 17, 2024

Our Take:

  • Declining adoption: SAP’s RISE with SAP program saw its share of sales fall from 71% in Q3 2023 to 41% in Q2 2024, indicating declining adoption.
  • Shift to GROW with SAP: The introduction of GROW with SAP for smaller businesses in 2023 has further divided sales.
  • User resistance: Customers express hesitation over complex migrations and increased costs associated with the cloud subscription model.
  • ECC support ending: Mainstream support for SAP ECC ends in 2027, pushing businesses toward the transition despite reluctance.

 

SAP’s RISE program, aimed at helping businesses transition to cloud-based services, is facing declining adoption. Gartner reports that RISE’s share of SAP sales dropped significantly from 71% in Q3 2023 to 41% in Q2 2024. Contributing factors include customer reluctance due to complex migrations and rising costs of the cloud subscription model. Meanwhile, SAP’s new offering, GROW with SAP, targeting smaller enterprises, further split the market. With mainstream support for SAP ECC ending in 2027, businesses face pressure to migrate, despite ongoing concerns.

 

Source:

https://www.theregister.com/2024/09/16/gartner_finds_rise_with_sap/

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