The Ongoing SAP Upgrade Cycle, Showing Big Regional Differences!

While producing PAC's new "Worldwide SAP Upgrades Market" report, which is scheduled for release next week, I found it amazing how the various country markets are moving at quite different paces (having had a lot of input from my colleagues around the world).

And here's generally what I gathered:

While SAP Upgrade Services are a healthy and fast growing offering, the timing that PAC has estimated as the upgrade cycle reaching its "peak" is very different from country. Germany will be the first market to reach an “Upgrade Cycle Peak” in mid-2009, followed by the U.S. in mid-2010, remaining G-7 countries in the second half of 2010, and finally large enterprises within emerging regions into 2011.

The other thing to consider, is that while "SAP Upgrade Services" are not necessarily a true "market segment," and perhaps more of a "market cycle" that will come and go, the movement of the SAP user base (albeit slower than expected) to the new technology platform should offer a boost to the SAP-related IT Services business for years to come.