SAP is discontinuing the sale of its mid-market software, Business By Design, marking a significant shift in the company’s strategic focus and raising questions about the long-term viability of legacy product lines. According to a communication to clients and IT service providers and reported by Handelsblatt, the software will be removed from SAP’s price list on April 20, 2026 and will no longer be offered to new customers.
While existing customers will be permitted to continue utilizing Business By Design, the decision signals a definitive end to SAP’s investment in acquiring new clients for the platform. Uma Rami, responsible for the development of SAP’s mid-market products, confirmed the company will honor existing contracts, providing security updates and compliance adjustments for current users. However, the absence of new customer acquisition effectively relegates Business By Design to a niche, sunsetted offering.
The discontinuation represents a sobering conclusion to a product launch initially billed with substantial ambitions. Introduced in 2007, Business By Design was envisioned as a key driver for expanding SAP’s reach into the Mittelstand, Germany’s vibrant small and medium-sized enterprise sector. Under the leadership of then-CEO Henning Kagermann, the company had targeted tens of thousands of new customers. Technical hurdles, however, substantially hampered its initial market penetration, ultimately falling short of projections.
Analysts suggest the move reflects a broader restructuring within SAP, prioritizing the growth of its cloud ERP offerings and moving away from mid-market solutions deemed less strategically vital. However, the abrupt end to a product still utilized by roughly 2,700 companies (as of 2022) raises concerns about the potential disruption for these continuing users and the broader implications for SAP’s commitment to serving all segments of the business landscape. The decision could also be interpreted as a tacit acknowledgement of past miscalculations in resource allocation and market positioning, prompting questions about the rigor of SAP’s product lifecycle management processes. Furthermore, the handling of this transition – ensuring a smooth experience for departing users – will be a key test of SAP’s reputation and customer relations in the coming years.