SAP, and Oracle, and IBM, oh my! ‘Cloud and AI’ drive legacy software firms to record valuations
How has SAP's market cap changed over the past year?
SAP's market cap has experienced significant growth over the past year, increasing by 49.32%. As of June 28, 2024, SAP's market cap reached $235.44 billion, driven by the company's excellent results, positive market sentiment, and successful transition to the cloud5. This growth highlights SAP's strong performance and its ability to shift with the times.
What strategies has SAP CEO Christian Klein implemented since 2020?
SAP CEO Christian Klein has focused on helping customers transition to the cloud, striking partnerships with hyperscalers like Google and Nvidia, and injecting "business AI" across its cloud suite. Klein has also offered on-premises customers discounts to make the transition to the cloud, and emphasized the importance of acting with a sustainably profitable strategy and working with a resilient supply chain3.
What role does AI play in SAP's business strategy?
AI plays a crucial role in SAP's business strategy by enhancing efficiency, productivity, and decision-making across its applications4. SAP Business AI provides natural language processing, automation, and predictive analytics capabilities, enabling smarter decisions and efficiencies at scale. It is deeply embedded in SAP's business processes and analytics, helping customers optimize operations and drive business outcomes.