SAP changes expensive AI models to cheap ones: bet on efficiency and benefits of 2 billion euros German software developer SAP has started to replace OpenAI, Anthropic and Google artificial intelligence models with cheaper alternatives. The company expects the move to yield more than 2 billion euros in efficiency benefits over the next two years. The company's CFO, Dominic Assam, said that the transition to alternative models will only take place in those areas where they will continue to meet the requirements. According to him, the model on which the internal counseling assistant works has already been replaced. At the same time, SAP is not expected to reduce overall spending on artificial intelligence. On the contrary, they may increase as the use of technology increases. But cheaper models will help keep margins healthy as workloads increase. And it can change the market The SAP case shows that large enterprise users are starting to treat AI models as infrastructure. In the first phase, companies experimented with the most powerful models, now comes the optimization phase. And if SAP can prove that cheaper models can handle most tasks as well as expensive ones, it could increase competition among AI vendors. This is good news for businesses, as the choice will become wider and the cost of using artificial intelligence will be more predictable. MashTech on Telegram | up to MAX.

SAP changes expensive AI models to cheap ones: bet on efficiency and benefits of 2 billion euros German software developer SAP has started to replace OpenAI, Anthropic and Google artificial intelligence models with cheaper alternatives. The company expects the move to yield more than 2 billion euros in efficiency benefits over the next two years. The company's CFO, Dominic Assam, said that the transition to alternative models will only take place in those areas where they will continue to meet the requirements. According to him, the model on which the internal counseling assistant works has already been replaced. At the same time, SAP is not expected to reduce overall spending on artificial intelligence. On the contrary, they may increase as the use of technology increases. But cheaper models will help keep margins healthy as workloads increase. And it can change the market The SAP case shows that large enterprise users are starting to treat AI models as infrastructure. In the first phase, companies experimented with the most powerful models, now comes the optimization phase. And if SAP can prove that cheaper models can handle most tasks as well as expensive ones, it could increase competition among AI vendors. This is good news for businesses, as the choice will become wider and the cost of using artificial intelligence will be more predictable. MashTech on Telegram | up to MAX.