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SAP ditches expensive AI models for cheaper options, eyes €2 billion gains

Original: SAP swaps costly AI models for cheaper alternatives, targets over €2 bln in gains

German software company SAP says it is replacing costly AI models with cheaper alternatives as part of a push to generate more than €2 billion in gains. The move signals a broader cost-discipline shift among enterprise software makers as they weigh the expense of running large AI systems against returns, and it is drawing attention from investors and tech observers watching how AI spending pays off.

Why now: Companies across tech are under pressure to justify heavy AI investments, so SAP's cost-cutting approach is a notable signal.

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