Held in Berlin between November 4–6, 2025, SAP TechEd 2025 was not merely a showcase of product innovations — it was a preview of the deep transformation reshaping the entire SAP ecosystem. Under the motto “Business AI in Every Process,” SAP made its stance clear: artificial intelligence is no longer a separate layer but an integral component of every business application. The event’s highlights — including the AI Agent Framework, ABAP Cloud roadmap, Cloud ALM standardization, Datasphere integrations, and new developer tools — mark a decisive shift for SAP professionals, both strategically and technically.
BTP: The Unifying Platform Behind SAP’s InnovationAt the core of these innovations lies the SAP Business Technology Platform (BTP) — the unified foundation for modern SAP architecture.
ABAP Cloud, Build Code, Datasphere, and the Joule AI Agent Framework all operate as integrated services within BTP.
It stands as the technical guarantor of the Clean Core strategy, consolidating all extension, integration, and data management processes under one umbrella.
With this approach, developers can seamlessly build and manage applications across cloud and on-premise landscapes, within a single logical environment.
Five Pillars of Transformation
This year’s TechEd structured SAP’s technology evolution around five strategic dimensions:
Business AI & Agent Framework, Data & Analytics (Datasphere), Developer Experience (ABAP Cloud), Enterprise Governance (Cloud ALM), and Sustainable Business Models.
Let’s take a closer look at each pillar — and what they mean for SAP professionals shaping the digital enterprise of tomorrow.
1 — Business AI & Agent Framework: Intelligence Embedded in Every Process
In 2025, SAP moved beyond analytical recommendations — systems can now act autonomously through AI agents. The new AI Agent Framework empowers developers to define, train, and integrate agents into SAP applications using Joule Studio.
Key innovations include:
- Model Context Protocol (MCP): allows agents to understand the contextual structure of SAP data.
- Agent-to-Agent (A2A) Communication: enables synchronization between agents across modules (e.g., finance and procurement).
- Agent Memory: introduces persistent memory that allows agents to learn from past interactions.
Together, these advances transform Joule from a conversational assistant into an intelligent decision-making entitywithin the SAP system.
SAP defines its Business AI vision not only through autonomy but also through responsibility. The newly introduced Responsible AI Framework ensures that all agent decisions are explainable, fair, and robust. Each AI agent operates under a principle of “controlled autonomy,” allowing human oversight and maintaining ethical and legal compliance across organizations.
In essence, SAP professionals are now entering the era of designing processes that work with AI — not just integrating it.
SAP-RPT-1: The New Foundation of Enterprise AIOne of the event’s most groundbreaking announcements was SAP-RPT-1, SAP’s first enterprise foundation model — the Relational Pretrained Transformer.
Trained on over 250 million lines of ABAP and 30 million lines of CDS code, it naturally understands SAP data structures and eliminates the need for separate predictive models in finance, procurement, and operations.SAP-RPT-1 will be publicly available in Q4 2025 through SAP AI Foundation, marking the beginning of a new era of domain-specific foundation models optimized for enterprise data.
Integration Suite: The Connectivity Backbone of the Agent EcosystemThe SAP Integration Suite serves as the connectivity backbone enabling AI agents to communicate across SAP and non-SAP environments.
Agents built in Joule Studio can securely connect with CRM, procurement, manufacturing, and third-party applications via APIs. As a result, the AI Agent Framework extends beyond SAP’s internal ecosystem — becoming a bridge for cross-platform, intelligent automation throughout the enterprise landscape.
2 — Data & Analytics: Real-Time Intelligence with SAP Datasphere
The data layer also took a major leap forward at SAP TechEd 2025.
SAP Datasphere and SAP Analytics Cloud now operate seamlessly through zero-copy integration, connecting directly with leading platforms such as Snowflake, Databricks, and Google BigQuery.
The newly introduced Knowledge Graph Engine automatically models relationships across data sources, enabling AI agents to interpret information within the right business context.
This architecture forms the “Data → Agent → Action” chain that defines SAP’s operational intelligence vision:
- Data: collected from multiple sources and unified in real time.
- Agent: interprets contextual meaning and produces decisions.
- Action: executes those decisions as automated business events (e.g., approvals, orders, alerts).
Data Quality and Governance: The Foundation of Trustworthy AI
SAP emphasized that true operational intelligence cannot exist without high-quality, governed data.
AI agents operating on Datasphere rely on governance layers built upon data integrity and validation rules.
Organizations are therefore advised to begin every AI initiative with a strong data-cleaning and governance framework.
In short, SAP data professionals are evolving from report builders to producers of operational intelligence — where data modeling, governance, and security are strategic skills.
New SAP–Snowflake PartnershipOne of the standout announcements was the new SAP Snowflake Solution Extension for SAP Business Data Cloud.
This integration enables zero-copy data sharing, shared semantic models, and unified AI-driven data scenarios across both platforms.With this partnership, enterprises can now process SAP data directly in Snowflake, enabling real-time analytics and AI applications without replication.
It represents a new era of connected, open, and intelligent data ecosystems for SAP customers.
3 — ABAP Cloud & SAP Build Code: The New Developer Experience
SAP has officially positioned ABAP Cloud as its single recommended development model, marking a definitive shift from classical on-premise ABAP to a cloud-native paradigm.
Key innovations introduced at TechEd 2025 include:
- SAP Build Code now features AI-powered code explanation and suggestion engines.
- Developers can access SAP extensions directly through Visual Studio Code and the OpenVSX Marketplace.
- Low-code / no-code tools are now embedded within the ABAP Cloud environment, enabling business users to actively participate in the development cycle.
- The certification system is being redesigned — moving away from traditional multiple-choice exams toward scenario-based, hands-on assessments.
This evolution shifts developers from merely writing code to designing intelligent workflows with AI collaboration.
Additionally, SAP unveiled ABAP LLM models trained on 250 million lines of code, supporting developers with automated code suggestions, error detection, and optimization.
These models will be available via the GenAI Hub in Q4 2025, and ABAP development is also expanding into modern editors with the new VS Code Extension.
For ABAP professionals, mastering “Clean Core,” “Extension,” and “Agent Integration” concepts is now non-negotiable.
Bridge Architecture & Hybrid TransitionSAP also introduced the concept of Bridge Architecture, designed to create a seamless link between on-premise ECC systems and S/4HANA Cloud environments.
Through hybrid connections enabled by BTP, organizations can migrate customizations and data models to the cloud without operational disruption.
This gradual transition strategy has been presented as the recommended path for all RISE with SAP customers through the end of 2026.
Further Reading
Check out this article to explore the key SAP technology breakthroughs of 2025 — and discover why they matter most for IT professionals and especially SAP Basis teams!
4 — Cloud ERP & Cloud ALM: The New Backbone of Modernization
At SAP TechEd 2025, the core of ERP transformation was defined by the “Clean Core + Extension” approach. System customizations are no longer embedded into the core but are now shifted to the API and agent layers. The technical backbone of this new model is powered by SAP Cloud ALM.
SAP Cloud ALM: The Successor to Solution Manager
SAP officially announced Cloud ALM as the default lifecycle management tool for all RISE with SAP customers. This platform replaces the traditional Solution Manager, offering modules for test automation, integration monitoring, change control, and performance analytics.
However, Cloud ALM is not merely a monitoring tool — it is positioned as a central hub for continuous improvement and automation.
SAP’s pilot collaborations with NEURA Robotics and Sartorius further extend the boundaries of AI-driven physical operations, such as warehouse automation and robotic field operations.
The SAP ecosystem is no longer defined solely by software — it now thrives at the intersection of data, AI, and physical automation.
Quantum Computing Collaboration with IBMThe event also featured SAP’s announcement of a long-term quantum computing research partnership with IBM.
This collaboration aims to explore how quantum computing and classical AI models can work together in enterprise-scale simulations.
SAP envisions applying this technology beyond 2030, particularly in financial optimization and supply chain simulation scenarios.
5 — Sustainability & Green Ledger: Accountability Powered by AI
At TechEd 2025, SAP positioned artificial intelligence not merely as a productivity enabler but as a driver of sustainable business models.
The new Green Ledger architecture allows organizations to track carbon footprint, energy consumption, and circular economy data within the same ledger as their financial transactions.
AI agents analyze this data to propose sustainable supply chain optimizations and carbon offset strategies.
Solutions such as SAP Sustainability Footprint Management and Responsible Design and Production integrate with Cloud ALM and Datasphere, enabling measurable environmental impact management across the enterprise.
AI is no longer just a profitability engine — it has become a partner in optimizing both business performance and planetary sustainability.
6 — 2026 Roadmap for SAP Professionals
Focus Area | Recommended Focus | Expected Outcome |
Agentic AI Competency | Designing agents in Joule Studio, using MCP and knowledge graphs | Ability to design autonomous business processes |
Responsible AI & Trust Framework | Adopting Explainability, Fairness, and Robustness standards | Reliable, transparent, and ethical AI implementations |
Data Quality & Governance | Adopting Datasphere and zero-copy integrations
| Real-time and trustworthy decision support |
Integration Suite & Architecture | Managing APIs, Event Mesh, and cross-system agent integration
| Unified AI ecosystem across SAP and third-party systems |
ABAP Cloud & Build Code | Developing in cloud environments using open-source tools
| Agile development and AI-assisted productivity |
Bridge Architecture (Hybrid Transition) | Implementing ECC → S/4HANA Cloud transition with BTP hybrid connections | Seamless modernization and Clean Core alignment |
Cloud ALM Transformation | Planning Solution Manager migration, test automation, and change management | Continuous monitoring and automation culture |
Organizational Readiness | Establishing data governance and AI ethics policies
| Secure and scalable AI-driven culture |
7 — Implementation Challenges
While SAP TechEd 2025 introduced a bold vision for the future, it also surfaced several structural challenges that organizations may face during implementation.
Below are some of the most common obstacles likely to arise in this transformation journey:
- Agentic AI is still maturing; organizations lacking strong data quality and contextual modeling foundations risk generating inaccurate outcomes.
- The Cloud ALM transition is not just a technical migration — it requires redefining organizational roles and responsibilities.
- The Clean Core model demands strict discipline in customization; every integration must be designed at the API or agent layer.
- Changes in the certification system will impact talent development strategies; companies need to redesign their learning programs accordingly.
Looking Ahead: An Intelligent, Connected, and Sustainable SAP Ecosystem
SAP TechEd 2025 defined the new trinity of the SAP ecosystem: Data, Agents, and Cloud Governance.
With Joule driving agent technologies, Datasphere providing contextual data intelligence, ABAP Cloud shaping the developer experience, and Cloud ALM orchestrating process visibility — SAP’s innovation layers are now tightly interwoven.
For SAP professionals, this era is no longer about simply “staying up to date” — it’s about collaborating with systems that learn and evolve alongside humans.
This new wave represents the shift from Solution Manager to Cloud ALM, from manual monitoring to autonomous operations, and from static reporting to live decision cycles.
👉 As we move toward 2026, the focus should be clear:
“An SAP ecosystem that designs with AI, thinks with data, and operates in the cloud.”