In this podcast, Sebastian shares his insights from attending SAP’s annual user group meeting, Sapphire in Orlando earlier this year.
SAP’s DaaP is an offer to encourage customers to make a decision on Digital access, SAP’s answer to indirect access disputes dragged through the courts in 2017. The offer is said expire in May 2020. Until then SAP is said to be flexible on back maintenance for unlicensed indirect access and other software licensing misdemeanors (Assuming you buy their cloud, of course).
This appears to be a great time for a financial assessment, looking at current contracts, future requirements and business processes, to determine if staying on legacy model or exploring digital access. A time to trade in unused licenses and understand utilization of third-party apps. Overall, a licensing strategy for SAP is required.
SAPs current curve for adoption is currently not steep enough to meet the 2025 end of support deadline. Using my rough estimates s4 hana adoption is likely to be only 69%, leaving over 12,000 customers exposed with legacy SAP. According to Sebastian, only 800 customers have taken the digital access route, less than 2% of customers.
- SAP has 41,500 customers according to Computer Weekly supplier profile [Source]
- SAP has 10,500 s4 hana subscribers according to Statista (Quarterly number of SAP S/4HANA subscribers worldwide, from 2014 to 2019) [Source]
- At the current growth rate, assuming the same overall customer numbers, adoption would hit 69% prior to the 2025 end of support deadline for legacy SAP software
About Martin Thompson
Martin is also author of the book "Practical ITAM - The essential guide for IT Asset Managers", a book that describes how to get started and make a difference in the field of IT Asset Management.
On a voluntary basis Martin is the Chief Agitator at the Campaign for Clear Licensing, a contributor to ISO WG21 which develops the SAM International Standard ISO/IEC 19770 and board member of Free ICT Europe which supports the ICT secondary market.
Learn more about him here and connect with him on Twitter or LinkedIn.