New SAP Pricing Model

Discussion created by SAMBeastDavid Advocate on Apr 16, 2018
Latest reply on Apr 17, 2018 by jesper.lassen

Hi All,


FYI from last week (sorry if you're already aware!)



New Pricing Model

The new model – a first of its kind for the enterprise software industry – addresses challenges faced by some customers when it comes to pricing for Indirect/Digital Access.

  • Historically, for most use cases, customers primarily had the option to pay for the SAP ERP application based on the number of users. As more systems began to access SAP software systems, this created a challenge for customers, who asked for an alternative pricing approach.
  • Moving forward, SAP will differentiate between:
    • Direct/Human access (existing), which will be charged for by number of human users.
    • Indirect/Digital Access: Access via third party, Internet of Things (IoT), bots and/or other digital access that can be licensed based on transactions/documents processed by the system itself (new).
  • SAP’s new model pertains to the digital core – SAP S/4HANA and SAP S/4HANA Cloud – as well as the SAP ERP application.
  • Existing customers can choose to remain on the current model or move to the new document-based pricing model – whichever best fits their SAP solutions and digital transformation initiatives.
  • Conversion offerings are available to help customers who choose to move from current pricing to the new model."


Also, this statement gave me a bit of a giggle "SAP also introduced new organizational changes that separate license sales departments and procedures from auditing departments and procedures."


Have a great week all!