The Evolving Landscape of Enterprise Software: High-Margin AI Solutions
An insightful analysis by Forrester Research reveals that major enterprise application vendors are shifting away from discounting to prioritize high-margin AI products. This marks the end of the “era of experimentation” and the beginning of monetization. Key players highlighted include:
- Oracle, SAP, Workday, Microsoft, ServiceNow, and Salesforce
- Benefits of integrating AI into workflows hinge on substantial organizational investment in process redesign.
However, this transition comes with risks:
- Increased vendor lock-in and strategic risk associated with software decisions
- A concerning shift towards a “platform of platforms” strategy
Forrester stresses the importance of rigorous due diligence with vendors. Key actions include:
- Managing consumption via a FinOps practice
- Seeking transparency in pricing
- Building business cases based on tangible outcomes
The stakes have never been higher in leveraging AI—are you ready to adapt?
👉 Share your thoughts on how your organization plans to navigate these changes!
