EU Launches Antitrust Probe into SAP’s ERP Software Maintenance Practices

The European Union has launched an antitrust investigation into Germany's SAP over concerns that the company may have restricted competition in the market for maintenance and support services related to its widely used Enterprise Resource Planning (ERP) software.

The probe focuses on SAP's practices concerning the mandatory requirement for customers to obtain maintenance and support services directly from SAP for their on-premises ERP software, which could limit competition from third-party service providers. The European Commission is also investigating whether SAP prevents customers from terminating maintenance services for unused software licenses, forcing businesses to pay for unwanted services, as well as other practices like the extension of contract terms and charges for reinstatement fees after service gaps.

The Commission's preliminary findings suggest that SAP could be leveraging its dominant position in this aftermarket to impose unfair trading conditions and higher costs on customers.

The EU competition chief Teresa Ribera stated that thousands of companies across Europe rely on SAP's ERP software and related services and expressed concern that SAP's practices may reduce customer choice and raise expenses by making it harder for rivals to compete. The investigation carries potential penalties, including fines up to approximately 10% of SAP's annual global sales if violations are confirmed.

SAP has acknowledged the investigation and maintains that its policies align with industry standards and competition rules. The company is reportedly working with the Commission and has previously offered concessions to address the EU's concerns in hopes of avoiding a formal investigation and financial penalties. The Commission will conduct an in-depth inquiry with SAP able to submit commitments to resolve the matter.

This probe is part of broader regulatory scrutiny of major software vendors' licensing and maintenance practices in the EU, particularly around software that enterprises use to manage core business functions such as finance, human resources, procurement, and supply chain.

Sources:

• Morningstar/Dow Jones Newswires, Sep 25, 2025morningstar

• Bloomberg, Sep 25, 2025bloomberg+1

• Mirage News, Sep 24, 2025miragenews

• MarketScreener, Sep 25, 2025marketscreener

• Reuters, Sep 22-25, 2025finance.yahoo+2

• US News, Sep 22, 2025usnews

• Barron's, Sep 25, 2025barrons