SAP Locks 85% of 2026 Revenue as AI Demand Peaks

• SAP has secured 80-85% of its 2026 revenue target by Q4 2025, driven by surging artificial intelligence demand.
• CEO Christian Klein highlighted AI solutions as the key catalyst behind new customer contracts and robust cloud growth.

On October 23, 2025, CNBC reported that SAP, Europe’s largest AI company, had achieved substantial strides toward its financial targets, locking in 80-85% of its projected 2026 revenue by the closing quarter of 2025. The company attributed this progress to an overwhelming demand for artificial intelligence solutions, reinforcing the role of AI as the cornerstone of its growth strategy.

The company’s Q3 2025 performance, as covered by Cryptopolitan on the same day, showcased this momentum. The cloud backlog surged by 23%, reaching €18.8 billion, alongside a 22% year-on-year increase in cloud revenue. Although total revenue for the quarter stood at €9.08 billion—slightly short of the €9.15 billion forecast—the consistent growth in cloud services underscored the resilience and strength of SAP's key business segments.

SAP's CEO Christian Klein identified artificial intelligence as the driving force behind the influx of customer contracts. In remarks highlighted by Cryptopolitan, Klein emphasized SAP’s focus on applied AI as a competitive differentiator, particularly against tech leaders in the United States and China.

In addition to operational success, SAP achieved significant validation from major financial institutions during the year. CNBC revealed that Deutsche Bank affirmed SAP as its top pick in European tech, while earlier in 2025, Bank of America ranked SAP as the top-performing large-cap software company for the year. This consistent recognition further solidified investor confidence in SAP, maintaining its status as Europe’s most valuable technology firm.

Amid these accomplishments, Klein also addressed competitive challenges in the global AI race during Q3. He expressed concerns about Europe’s capability to compete in developing large language models due to stringent regional regulations. Concurrently, he noted the accelerated AI advancements emerging from China, where a low-regulation environment fosters rapid innovation. Klein argued that SAP’s strength lies in applied AI technologies, as the training of large language models becomes an increasingly commoditized practice.

Despite such challenges, SAP continues to uphold its dominant position in the market. The company’s strategic emphasis on artificial intelligence has not only yielded new customer contracts but also positioned Europe as a significant player in the global AI competition.