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SAP Platform Economy

It is essential that IT platforms provide a transparent structure for users and integrate ERP applications in a comprehensive manner. Following the introduction of NetWeaver and subsequent developments such as HCP (Hana Cloud Platform), SAP has now unveiled BTP (Business Technology Platform). It represents the future of ERP.
Peter M. Färbinger, E3 Magazine
October 3, 2024
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From SAP NetWeaver to Hana Cloud Platform

SAP's former Chief Technology Officer Shai Agassi was an early proponent of the value of an IT platform for different algorithms and applications. With NetWeaver, he established a portfolio of high-quality software solutions at SAP.

However, NetWeaver never achieved the level of traction that would have been expected of it. The term was widely recognized within the SAP community, yet the underlying platform concept was not fully understood or utilized. Even SAP customers, who utilized crucial functional components from NetWeaver, expressed high levels of satisfaction but demonstrated limited awareness of the platform's added value. This unfortunate state of affairs was largely attributable to SAP's licensing policy. There was no uniform licensing model for NetWeaver functions, and some engine prices were inconsistent with one another.

When SAP began to rename individual NetWeaver functions, the resulting confusion was significant. For example, XI, or eXchange Infrastructure, became PI, or Process Integration. As is often the case with SAP, this name change was accompanied by a notable increase in engine prices.

Business Technology Platform

Following numerous trials of alternative platforms and cloud solutions, a unified platform was developed under the direction of SAP's former Chief Technology Officer, Jürgen Müller: SAP BTP, or Business Technology Platform. SAP once again opted for the NetWeaver route, aiming to construct an ERP platform by integrating numerous existing and yet-to-be-developed functions. This platform is expected to play a pivotal role in the expansion of S/4.

BTP is currently a diverse combination of functions, applications, and programming environments, primarily for ABAP, but also for other languages in accordance with the Bring Your Own Language (BYOL) approach. However, BTP also incorporates AI and analytics, which means that all SAP customers will eventually have the option of using BTP.

Clean Core and SAP BTP

Some observers in the SAP community view BTP as an additional ERP system, comparable to S/4. The dual system of BTP and S/4 is a logical consequence of the S/4 clean core. SAP is attempting to integrate the ERP core system into the standard offering. The implementation of clean core is still in its infancy, but it is an important SAP project for the future. To that end, SAP partner LeverX will be present at the DSAG annual congress in Leipzig, where they will be showcasing the relevant process models.

The areas in which SAP ERP will continue to develop remain to be seen: An S/4 with Clean Core can also be modified via APIs in the future. However, it will also be possible to plan an extension of the ERP system using Steampunk, CAP and RAP on SAP BTP. It has not yet been decided which path will The specific areas in which SAP ERP will continue to develop are not yet clear. It is also anticipated that an S/4 with clean core will be modifiable via application programming interfaces (APIs) in the future. However, it will also be possible to plan an extension of the ERP system using Steampunk, CAP, and RAP on SAP BTP. The optimal path for SAP partners and customers has yet to be determined. Even SAP partner LeverX has yet to receive a definitive response. The discussion about SAP Business Technology Platform will continue at the Steampunk and BTP Summit 2025 in Heidelberg.

Hyperscaler and LeverX framework

One of the key advantages of SAP BTP over other IT platforms is its broad availability. Additionally, BTP is accessible as a service on Microsoft Azure, Google Cloud Platform, and Amazon Web Services. At the LeverEdge 2024 conference in Miami, Florida, at the beginning of October, SAP partner LeverX presented a collaboration with AWS and a framework that complements BTP and enables clean core concepts. LeverX thus appears to be one of the first SAP partners to adopt a strategic approach to the clean core and BTP topics.

It is now time for SAP to step up. While BTP has "platform" in its name, it still has a long way to go in terms of a uniform UI and a consistent license structure. As an addition to S/4, BTP with the inclusion of "Steampunk" will only be successful for partners and customers when there is a consolidated PKL—price and conditions list—as well as a binding user interface.

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Peter M. Färbinger, E3 Magazine

Peter M. Färbinger, Publisher and Editor-in-Chief E3 Magazine DE, US and ES (e3mag.com), B4Bmedia.net AG, Freilassing (DE), E-Mail: pmf@b4bmedia.net and Tel. +49(0)8654/77130-21


2 comments

  • Solange es so kompliziert bleibt, Services auf der BTP zu buchen und den Überblick über die Kosten zu behalten, so lange werden Erweiterungen OnStack gebaut. Auch hier funktioniert Cleancore.
    Cleancore ist auf Grund der aktuellen Budgetsituation und der gewachsenen Z-Welten aber nicht das aktuelle Top-Thema bei den SAP Kunden. Erst mal S/4 Projekt verschieben, man wurde gerade von einem chinesischen Mitbewerber übernommen, oder im Grosskonzern herrscht Chaos, da an vielen SAP Systemen über Abteilungen hinweg an der Transformation gebastelt wird – natürlich ohne Berater Support, zu teuer.
    Danach folgt dann das Augen zu und durch Brownfieldprojekt, 2 Jahre danach: Fiori (hybrid) Einführung. Clean core, was ist das?

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      E3-Magazin

      Leider haben Sie Recht! BTP ist eine interessante Ansammlung von Funktionen und Applikationen aber keine konsistente Plattform, weder hinsichtlich Leistung noch bezüglich Lizenzen. Und „Clean Core“ ist dann vielleicht doch ein „Frozen Core“, was ein End-of-Life für S/4 werden könnte. Es gibt bei SAP keine Aussagen über eine Weiterentwicklung von S/4, das somit bis 2040 in der Wartung verharren wird.

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For the second time, E3 magazine is organizing a summit for the SAP community in Salzburg to provide comprehensive information on all aspects of S/4 Hana groundwork.

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The event is organized by the E3 magazine of the publishing house B4Bmedia.net AG. The presentations will be accompanied by an exhibition of selected SAP partners. The ticket price includes attendance at all presentations of the Steampunk and BTP Summit 2025, a visit to the exhibition area, participation in the evening event and catering during the official program. The lecture program and the list of exhibitors and sponsors (SAP partners) will be published on this website in due course.