AWS and SAP ink generative AI partnership | 2024-05-29 | Investing News
- Amazon Web Services, a subsidiary of Amazon.com (NASDAQ:AMZN), is collaborating with enterprise application software giant SAP (NYSE:SAP) to expedite generative AI adoption in the cloud enterprise resource planning (ERP) space
- The agreement will involve a gradual integration of RISE with SAP, SAP’s AI-powered ERP platform, and Amazon Bedrock, Amazon’s generative AI platform
- Amazon stock has added 50.72 per cent year-over-year and 106.61 per cent since 2019
- SAP stock has added 46.58 per cent year-over-year, but only 55.11 per cent since 2019
Amazon Web Services (AWS), a subsidiary of Amazon.com (NASDAQ:AMZN), is collaborating with enterprise application software giant SAP (NYSE:SAP) to expedite generative AI adoption in the cloud ERP space.
Key focuses of the collaboration
- Improve the performance of SAP cloud workloads.
- Simplify the embedding of generative AI across a business’ critical applications.
- Streamlining the process for customers to adopt the RISE with SAP solution on AWS, the former being SAP’s AI-powered ERP platform, which is equipped with machine-learning capabilities to enhance decision-making.
Key benefits to AWS and SAP
- Customers can access generative AI models from Amazon Bedrock in SAP AI Core to build customized applications, joining tens of thousands of customers who use Amazon Bedrock for generative AI. SAP and AWS intend to expand Bedrock’s role in bringing generative AI functionality to SAP’s cloud portfolio, including finance and product lifecycle management.
- SAP will use AWS Trainium and AWS Inferentia chips to train and deploy future AI products, with AWS chips having previously delivered performance gains, cost savings, and energy efficiency to the German company.
- RISE with SAP on AWS also offers memory capacity to support large, complex projects.
Leadership insights
“AWS was the first cloud provider certified to support the SAP portfolio and today, thousands of enterprise companies run SAP solutions on AWS to get the most out of their mission-critical applications,” Matt Garman, AWS’ incoming chief executive officer, said in a statement. “Now, AWS and SAP are making it faster and easier for companies to apply generative AI to their core business data to become more efficient, responsive and sustainable.”
“Partnerships like this collaboration with AWS are critical as we embed generative AI solutions across our ERP applications so that customers can drive innovation at an accelerated pace,” added Christian Klein, chief executive officer of SAP. “In addition to delivering modern cloud ERP to our joint customers, we are excited to support Amazon on their own transformation journey as they adopt RISE with SAP for pioneering areas such as Project Kuiper, Amazon’s satellite initiative intended to increase global broadband access.”
About Amazon Web Services
Amazon Web Services is the world’s most comprehensive and broadly adopted cloud. It offers over 240 services for compute, storage, databases, networking, analytics, artificial intelligence (AI), media, management and more across 33 geographic regions.
About Amazon
Amazon is the media, e-commerce and technology company behind Prime, AWS, Kindle, Fire tablets and TV, Echo and Alexa.
Amazon stock is up by 0.67 per cent trading at US$183.37 per share as of 10:19 am ET. The stock has added 50.72 per cent year-over-year and 106.61 per cent since 2019.
About SAP
SAP is a global leader in enterprise applications and business AI with an over 50-year track record of creating value by uniting business-critical operations across finance, procurement, HR, supply chain and customer experience.
SAP stock is down by 0.84 per cent trading at US$190.91 per share as of 10:20 am ET. The stock has added 46.58 per cent year-over-year, but only 55.11 per cent since 2019.
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(Top photo: Adobe Stock (AI generated).)
