Enterprises struggling to unlock data trapped in their SAP systems for AI applications now have a simpler path forward. Rather than building bespoke data extraction pipelines, companies can now access their business software's information more directly through an expanded partnership between Databricks and SAP.
The two firms announced the expansion at SAP's TechEd conference in Berlin this week. SAP Databricks, the joint offering that launched in February 2025 and runs Databricks technology within SAP's Business Data Cloud, will receive four additional tools: Genie (an AI assistant), Lakeflow (for constructing data pipelines), Unity Gateway (for managing AI agents and controlling expenses), and Lakebase (a database purpose-built for AI applications).
SAP is also introducing the Application Data Foundation, a new mechanism for accessing data held within its enterprise software systems, whether deployed in the cloud or on premises. According to Databricks, enterprises have traditionally required custom pipelines to extract this information, a process that often strips away crucial business context in the transfer.
The timing carries particular significance as SAP transitions customers away from its legacy ECC platform, which will lose mainstream support in 2027. Databricks notes that more than 90% of Fortune 500 companies rely on SAP systems.
Databricks also plans to integrate Genie with Joule, SAP's proprietary AI assistant, enabling responses to surface directly within SAP applications. The companies have not yet disclosed when these capabilities will become available.
Data is the foundation for enterprise AI
Philipp Herzig, SAP's chief technology officer
Early results demonstrate the potential of the expanded partnership. SAF-Holland, a manufacturer of trailer components, reports that its analytical processes now execute five times faster after loading more than 100 million records into SAP Databricks.
The collaboration serves strategic interests for both organizations. SAP is advancing its Autonomous Enterprise initiative, which aims to embed AI agents throughout its software ecosystem, and has acquired Prior Labs, a company specializing in AI systems that interpret business data tables. Databricks, valued at $190 billion, seeks expanded access to the data streams powering these intelligent agents.
Source: The Next Web



