SAP is preparing to submit a formal package of commitments to the European Commission in an effort to resolve an antitrust investigation into its software licensing and support practices, according to people familiar with the case. The move is aimed at avoiding potential penalties that could reach up to 10% of the company’s global annual revenue, Reuters repoted.
Allegations and Investigation
The European Commission opened its probe in September to assess whether SAP has restricted competition in the aftermarket for maintenance and support of on-premise enterprise software. Regulators have suggested that SAP’s policies may have made it difficult for customers to switch providers, particularly by limiting their ability to terminate unused support contracts and by imposing reinstatement and back-maintenance fees on returning clients.
Remedy Discussions Progressing
Following informal consultations earlier this year, the Commission is expected to seek further input from customers and competitors before deciding whether SAP’s final proposal sufficiently addresses its concerns. Sources suggest that only minor revisions are likely before the commitments are accepted.
While the Commission declined to comment, the case is seen as part of a broader effort by EU enforcers to demonstrate balanced scrutiny across the technology sector — addressing not only U.S. digital giants such as Alphabet, Apple, and Meta, but also major European players.
SAP’s Response
SAP maintains that its policies are consistent with industry standards and compliant with competition rules. In a statement, a company spokesperson said:
“In our proposed remedies, we are clarifying how they work as part of our broader commitment to transparency and customer choice. We are adhering to the procedure and timeline established by the European Commission and trust they will bring this proceeding to a quick and fair close.”
Next Steps
If the Commission accepts SAP’s proposed commitments, the case could be settled without a fine. The remedies are expected to improve customer flexibility, increase clarity around pricing, and open the market to competing maintenance service providers.