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SAP to Disconnect Russian Companies from Software by December 2023

The German supplier of industrial software SAP will disconnect the Russian companies from the software on December 31, 2023.

The developer sent the relevant notifications to about 100 customers in Russia, told “Kommersant” a source familiar with the situation. Until the full expiration of the contracts, companies will be able to use only SAP cloud services.

According to a source in the IT market, SAP solutions are used as central systems that provide basic processes for enterprises. “The key risk of switching from them is actually a complete stoppage of work. At the same time, there is no full-fledged analogue of SAP in Russia yet, ”he noted.

SAP is the world leader in the supply of enterprise management systems (ERP), recalled the president of the Russoft association, Valentin Makarov. According to him, it is a difficult task to transfer organizations from German to Russian software, but the developments of 1C and Lanit can be alternatives.

The German software developer announced its withdrawal from the Russian and Belarusian markets back in March 2022. The company’s offices were restructured, and employees were transferred to the CIS countries: Armenia, Azerbaijan, Georgia, Kazakhstan, etc.

Before the start of the war in Ukraine, SAP was the largest supplier of industrial specialized software for Russian companies and held a 60% share in this market.

One of the largest SAP clients in Russia was Russian Railways. By the end of 2022, Russian railways have developed a plan to replace inaccessible solutions for 6.4 billion rubles, including replacing software from IBM and Oracle.

Russian Railways said they no longer use SAP support. “All technical support is provided by domestic organizations,” the state corporation noted.

In December 2022, former employees of the Russian office of SAP established Lab SP LLC. “We are fully prepared to support Russian clients,” said Pavel Deverilin, CEO of the company. According to him, Lab SP employs specialists who “have been supporting SAP products for decades.”

After the decision of the German company to finally leave Russia, the demand from medium and large businesses for advanced technical support services for SAP solutions and system localization has grown on the market, said Sergey Andrianovsky, Director of the Competence Center for Enterprise Management of the T1 holding.

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2023-09-05 08:29:00

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