Report: SAP Cloud Migration Accelerates as 2027 Deadline Looms

A new benchmark report, RISE with SAP 2025, reveals a major shift in the ERP landscape as the 2027 end-of-maintenance deadline for legacy systems approaches. Here are the key takeaways from the study of 122 SAP professionals:

The Tipping Point: For the first time, usage of legacy SAP ECC and Business Suite has dropped below 50%. Meanwhile, 30% of organizations are now fully live on SAP S/4HANA Cloud Private (up from 19% last year).

Size Matters: Smaller organizations (under $2B revenue) are moving faster, with 26% fully live. Larger enterprises are lagging behind, often stuck in the planning phase due to complex IT landscapes.

The AI Factor: Generative AI is now a strategic driver, influencing 43% of migration decisions in 2025—a sharp rise from just 14% in 2023.

Major Roadblocks: For those who haven't moved, the biggest barriers are high costs and unclear business value (cited by 43%), along with the difficulty of fixing "custom code."

Security Gaps: Despite the move to the cloud, security remains an issue. Only one-third of organizations report conducting regular security monitoring and auditing.

The Bottom Line: The pressure to modernize is growing, but cost, complexity, and security remain significant hurdles for businesses trying to navigate the transition. Full Article Read here - ERP Today