Key Takeaways
- The 2027 ECC end-of-maintenance deadline is driving SAP pricing urgency; counter with multi-year migration strategies
- 2026 pricing structures include new BTP SKUs and changed bundling models—understand what you're actually buying
- AWS, Azure, and GCP are aggressively competing for SAP workloads; use hyperscaler offerings as negotiation leverage
- RISE with existing customisations carries significant licensing penalties; Clean Core alternatives exist but require careful evaluation
- Most early RISE adopters face renewals in 2026-2027; preparation must begin now
- Third-party maintenance options reduce SAP lock-in and strengthen your negotiating position
Understanding the 2026 RISE Landscape
The RISE with SAP benchmarking conversation in 2026 is fundamentally different from deals struck in 2023 and 2024. SAP's go-to-market strategy has shifted, pricing structures have evolved, and most crucially, the 2027 ECC end-of-maintenance deadline is now real—not theoretical. This guide provides enterprise decision-makers with the tactical and strategic intelligence needed to navigate RISE renewals, upgrades, and initial implementations with confidence and financial discipline.
The 2027 ECC Deadline as Negotiating Pressure
SAP's January 2027 end-of-maintenance date for ECC 6.0 is the elephant in every RISE negotiation. SAP will—and already is—using this deadline as a lever to accelerate deals and inflate pricing. Here's what enterprises need to know:
- Timeline Reality: Despite the January 2027 cutoff, you do not need to migrate all workloads simultaneously. Extended maintenance contracts (EMC) exist and will continue to exist. Negotiate multi-year migration schedules rather than accepting SAP's aggressive timelines.
- Cost of Inaction: Organizations ignoring the deadline face not just support cost increases but also compliance risk. However, this risk is manageable if you have a documented migration roadmap. SAP cannot force immediate cutover.
- Leverage Point: The deadline applies to ECC only. If you have non-ECC systems (NetWeaver, legacy solutions), your urgency is lower. Segment your portfolio and negotiate each workload independently.
- Tactical Response: Counter SAP's urgency messaging with a structured three-year migration plan anchored to business priorities, not SAP's support schedules. This typically reduces your initial RISE commitment by 30-50%.
2026 Pricing Structures: What's Changed
SAP's pricing model for RISE has evolved since 2024. Understanding the new architecture is critical for accurate benchmarking:
Core Consumption Units (CCUs) and New SKUs
SAP has introduced more granular consumption models within RISE, including separate pricing for BTP (Business Technology Platform) consumption. Where 2024 deals often bundled BTP usage, 2026 pricing frequently separates it:
- S/4HANA Cloud base license (CCU-based for core ERP)
- BTP consumption (separate metric, often on top of core RISE)
- Analytics and reporting (SAC, Datasphere) increasingly decoupled
- Integration services (Cloud Integration, API Management) with separate meters
Benchmark tip: Request pricing for these components separately, then negotiate bundling discounts. Many enterprises are overpaying because they accepted SAP's suggested bundles without understanding the component costs.
Clean Core vs. Existing Customisations
RISE with SAP licensing pricing models strongly favor Clean Core implementations (minimal custom code, standardized processes). RISE with existing customisations attracts:
- Higher CCU requirements (customised processes consume more capacity)
- Extended implementation costs (bringing custom code to cloud standards)
- Potential for "Custom Application Base" licensing, which is significantly more expensive
- Ongoing support complexity fees and slower innovation adoption
For enterprises with heavy customisation, demand detailed modeling of licensing costs before committing. Clean Core migration may justify upfront investment savings over multi-year RISE terms.
Optimize Your RISE Pricing Model
Get expert clarity on 2026 pricing structures, BTP bundling strategies, and Clean Core versus custom licensing implications. Our advisors will benchmark your options against market standards.
Schedule RISE AdvisoryS/4HANA Cloud vs. Private Edition: The Benchmarking Equation
2026 presents a clear choice: Cloud (RISE with SAP standard) or Private Edition (S/4HANA Cloud Private Edition). Each path has distinct licensing and financial implications:
RISE with SAP (Public Cloud)
- Pricing: Consumption-based (CCU model), generally lower initial outlay but ongoing variable costs
- Scaling: Automatic, pay-per-use, minimal capex beyond implementation
- Control: Limited customisation, SAP controls infrastructure and upgrades
- Multi-tenancy risk: Shared infrastructure (mitigated by strong security but worth considering for regulated industries)
S/4HANA Cloud Private Edition
- Pricing: Capacity-based (full system purchase), higher upfront cost but fixed, predictable spend
- Control: Greater customisation flexibility, single-tenant isolation, infrastructure choice (on-premises or hyperscaler)
- Scaling: Manual, requires capex planning and longer procurement cycles
- Support: More complex licensing for add-on solutions, potentially higher total cost for integrated suites
2026 Benchmark Recommendation: For most enterprises, RISE public cloud is the default. However, industries with strict data residency requirements (financial services, healthcare), organizations with extreme customisation needs, or those with predictable, stable workloads should model Private Edition. Request three-year total cost models for both paths before deciding.
Hyperscaler Competition as Negotiation Leverage
AWS, Microsoft Azure, and Google Cloud are aggressively competing for SAP workloads in 2026. This creates unprecedented negotiating power for enterprises:
AWS SAP Competency and Pricing
AWS offers aggressive discounts for SAP customers, particularly those committing to multi-year Reserved Instances. Benchmark AWS pricing for your infrastructure layer separately from SAP's software costs. The combination often undercuts SAP's bundled offers.
Azure and SAP Integration Discounts
Microsoft is bundling SAP solutions within Azure commitments. If your organization already has Azure seats, negotiate SAP discounts tied to broader cloud commitments. This can reduce RISE costs by 10-20%.
Google Cloud's SAP Acceleration Program
GCP offers favorable rates for RISE implementations and includes free integration tooling. Request pricing comparisons showing GCP as a viable infrastructure option—SAP often reduces pricing when facing cloud competition.
Tactical Move: During RISE benchmarking, request separate quotes from SAP for private cloud (on your preferred hyperscaler) and compare them directly. The threat of hyperscaler migration (even hypothetically) often yields 15-30% pricing reductions.
Understanding RISE with SAP Product Inclusion
RISE bundles more than just S/4HANA. Know exactly what you're licensing:
- S/4HANA Cloud: Core ERP system (always included)
- BTP (Business Technology Platform): Integration, low-code development, extension tools (increasingly separate pricing in 2026)
- SAC (SAP Analytics Cloud): Cloud-native analytics; often separately metered
- Datasphere: Data fabric solution; separate or bundled depending on deal structure
- Signavio: Process intelligence and task mining; frequently added for additional cost
- GROW with SAP: Onboarding acceleration (typically 1-2 years free, then paid)
- SuccessFactors, Ariba, Concur: Talent, procurement, and expense solutions; bundled optionally
Demand a detailed breakdown of each component's pricing and licensing model. Many enterprises are charged for products they don't use because they accepted bundled terms without granular understanding.
Third-Party Maintenance and RISE Negotiation
SAP's maintenance pricing is non-negotiable on support contracts—but third-party maintenance alternatives (Rimini Street, Etoile, etc.) provide significant leverage:
- Cost Reduction: Third-party maintenance costs 40-70% less than SAP support, applied to on-premises ECC workloads outside RISE
- RISE Positioning: If you migrate partial workloads to RISE and maintain others on-premises with third-party support, SAP knows your total cost of ownership improves. Use this in negotiations.
- Hybrid Strategy: A hybrid model (RISE for innovating workloads, third-party support for stable ECC) is increasingly viable and can reduce your total SAP spend by 25-40%.
Negotiation Tactic: Present SAP with a "RISE + third-party maintenance" model and request their price match. Many SAP account teams will reduce RISE pricing rather than lose workload volume entirely.
The Customer Success Board in RISE Renewals
SAP's Customer Success Board (CSB) program provides leverage in RISE negotiations. Typically SAP engages CSBs during year two or three of RISE contracts to discuss renewals and upsells. Key points:
- Timing: Most RISE customers from 2022-2024 are entering their CSB engagement phase in 2026. SAP will present renewal options and growth initiatives.
- Preparation: Prepare detailed usage analytics, business outcomes, and cost-benefit analysis before your CSB engagement. This positions you for negotiation, not just acceptance of SAP's renewal terms.
- Leverage Points: Have alternative vendors (third-party maintenance, hyperscaler options, even Oracle or Infor) documented as fallback scenarios. SAP will adjust terms if renewal risk is apparent.
Preparing for Your First RISE Renewal (2026-2027)
Early RISE adopters are now entering renewal cycles. Here's a structured approach:
Phase 1: Gather Intelligence (6 months pre-renewal)
- Document actual usage: CCU consumption, BTP minutes, data transfers, all billable metrics
- Collect competitive pricing: AWS, Azure, GCP quotes for equivalent workloads
- Analyze business outcomes: cost savings, time-to-market improvements, technical debt reduction
- Benchmark against peers: Industry data on RISE pricing and terms (engage advisors if needed)
Phase 2: Model Scenarios (4 months pre-renewal)
- Three-year cost projection under current RISE terms
- Alternative scenario: hybrid (RISE + third-party support)
- Private Edition modeling on preferred hyperscaler
- Clean Core migration cost-benefit analysis
Phase 3: Prepare Negotiation Brief (2 months pre-renewal)
- Executive summary of renewal terms, pricing, and alternatives
- Documented business case for each scenario
- Competitive intelligence and hyperscaler quotes
- Governance approval and negotiation authority
Phase 4: Engage SAP with Data
- Present usage analytics and request renewal pricing upfront
- Introduce alternative scenarios (not as threats, but as viable options being evaluated)
- Negotiate pricing in context of three-year commitment, not annual increments
- Close with multi-year term and favorable renewal gates
Key Tools and Platforms for RISE Licensing and Optimization
Understanding the tools SAP provides (and their limitations) is critical for ongoing cost management:
- USMM (Universal Subscription Model Manager): SAP's tool for license consumption tracking and compliance; essential for RISE customers
- LAW (License Administration Workbench): Older but still-used tool for license key and support management
- SAP STAR (Solution Tracking and Response): SAP support and incident tracking integrated with licensing
- Solution Manager: Lifecycle management and system optimization (increasingly cloud-native)
- SAP for Me: Cloud-based service delivery portal; primary interface for RISE support and updates
These tools provide visibility into consumption and support but often lack granular cost allocation by business unit. Many enterprises implement third-party cloud cost management platforms (Cloudability, Densify) to bridge the gap.
User Types and Licensing Models
RISE licensing depends on user classification. Ensure correct assignment during implementation and renewal:
- Professional Users: Full system access, high consumption tier (most expensive)
- Limited Professional Users: Restricted transaction/module access, moderate consumption tier
- Developer Users: Development and testing instances, lower consumption than production professionals
- Frictionless User Engagement (FUE): Portal and self-service access with minimal system interaction (lowest cost)
RISE consumption models often shift the focus from user count to active usage metrics. Benchmark your user mix against industry standards and push back on over-provisioning.
Expert S/4HANA Migration Licensing Support
Navigating RISE pricing, Clean Core vs. customisation trade-offs, and S/4HANA licensing complexity requires expert guidance. We'll help you structure negotiations and optimize your total cost of ownership.
Explore S/4HANA Migration Licensing2026 Best Practices for RISE Benchmarking
- Never accept SAP's first offer. Request detailed usage-based pricing and always model alternatives (hyperscaler, third-party, private cloud).
- Separate infrastructure from software licensing. Negotiate hyperscaler contracts independently from RISE terms.
- Document business outcomes. Cost savings, innovation velocity, and risk reduction provide negotiating ammunition in renewal conversations.
- Understand your customisation burden. Clean Core vs. customised RISE has massive licensing implications. Model both carefully.
- Build governance early. Create a RISE cost optimization team with finance, procurement, and IT stakeholders. This prevents cost creep and supports future negotiations.
- Use third-party advisors strategically. External benchmarking and advisors often yield 10-25% cost reductions and provide confidence in your negotiating position.
Frequently Asked Questions
SAP is using the 2027 deadline as leverage to accelerate RISE commitments and inflate pricing. However, the deadline applies only to ECC support, not to data access or system operation. Extended maintenance contracts (EMC) will continue beyond January 2027. Counter SAP's urgency messaging with a multi-year, phased migration strategy anchored to business priorities. This typically reduces initial RISE commitments by 30-50% and extends the actual migration timeline to 3-4 years.
RISE with SAP (public cloud) uses consumption-based licensing (CCUs), offering lower upfront costs with variable, ongoing charges. S/4HANA Cloud Private Edition uses capacity-based licensing (full system purchase), with higher upfront costs but fixed, predictable spend and greater customization flexibility. RISE is optimal for enterprises with variable workloads and cloud-first strategies. Private Edition suits organizations with stable, predictable systems or high customization requirements. Request three-year total cost models for both paths during benchmarking.
Hyperscalers are aggressively competing for SAP workloads through discounted infrastructure and bundled services. Request separate quotes from AWS (SAP Competency), Azure (SAP integration discounts), and GCP (SAP Acceleration Program). During RISE negotiations, present these hyperscaler options as viable alternatives—SAP will often reduce pricing by 15-30% when facing cloud competition. Emphasize that you're evaluating cloud optionality and cost efficiency across your entire infrastructure, not just the software license.
RISE with existing customisations attracts higher Consumption Core Unit (CCU) requirements because customised processes consume more capacity. Additionally, custom code may fall outside standard RISE licensing and incur "Custom Application Base" licensing, which is significantly more expensive. Clean Core implementations minimize custom code and standardize processes, reducing licensing costs by 20-40% over multi-year terms. However, Clean Core requires upfront migration effort and organizational change management. Model both scenarios with detailed cost-benefit analysis, including implementation costs, operational complexity, and licensing savings.
Start preparation 6 months before renewal: document actual usage (CCU consumption, BTP metrics), collect competitive pricing from hyperscalers and third-party providers, and benchmark against industry peers. Model three scenarios (renewal at current terms, hybrid RISE + third-party support, Private Edition). Two months before renewal, prepare a negotiation brief with usage analytics, business outcomes, and alternative scenarios. Present this data to SAP's Customer Success Board proactively—enterprises with documented value and competitive alternatives typically secure 15-25% renewal discounts. Negotiate for multi-year commitments with favorable renewal gates, not annual increments.