Nokia, SAP, and Microsoft Forge Strategic Multi-Year Agreement for Cloud and AI Transformation

Nokia, a prominent global connectivity provider, has announced a significant multi-year strategic agreement with SAP and Microsoft to expedite its enterprise transformation. The core of this partnership involves migrating Nokia's SAP S/4HANA software environment to Microsoft Azure, utilizing the comprehensive RISE with SAP Methodology. This move is designed to enhance Nokia's business processes through advanced cloud and AI capabilities.

The agreement, finalized at the end of 2025, marks a crucial step in Nokia's journey to modernize its SAP landscape. By adopting RISE with SAP Methodology, Nokia will implement a structured, end-to-end approach for migrating its ERP landscape, encompassing processes, data, applications, and operating models. This will also provide continuous access to innovations and embedded AI functionalities within SAP's cloud ERP portfolio.

SAP will be responsible for operating and managing Nokia's SAP S/4HANA software environment in the cloud, allowing Nokia to shift its focus from infrastructure management to achieving strategic business outcomes. This approach emphasizes process standardization, operational simplification, and ongoing innovation rather than a one-time system migration.

Nokia's transformation journey with its next-generation SAP S/4HANA environment covers critical areas such as finance and key logistics capabilities, supported by various SAP solutions including SAP S/4HANA for central finance, SAP Master Data Governance, SAP Extended Warehouse Management, and SAP Global Trade Services. The integration of AI-enabled functionality embedded in SAP's cloud solutions is a key aspect of this transformation.

This strategic alliance highlights the growing trend of major enterprises leveraging hyperscaler cloud platforms and comprehensive transformation frameworks like RISE with SAP to achieve their digital and AI ambitions.