AI Agents Fuel Rivalry Between SAP and Salesforce
The Economist highlights how AI agents are blurring lines between front and back office, turning SAP and Salesforce into competitors.
The Rise of AI Agents in Enterprise Software
A recent article in The Economist (June 5, 2025) sparked surprise in the IT community by detailing how AI agents are transforming traditional enterprise software landscapes. The piece highlights how artificial intelligence is erasing the boundaries between front-office (CRM) and back-office (ERP) systems, turning longtime collaborators like SAP and Salesforce into rivals.
From RPA to AI Agents: A Rocky Evolution
The concept of automating business processes isn’t new. Robotic Process Automation (RPA), championed years ago by SAP thought leaders like Professor August-Wilhelm Scheer, promised efficiency but struggled with rigidity. RPA required human oversight for monotonous tasks, limiting its scalability. Now, the integration of generative AI (GenAI) and company-specific large language models (LLMs)—such as those explored by Aleph Alpha—offers a more agile solution.
The Household Robot Parallel
The article draws a clever analogy to home cleaning robots: while advanced (e.g., LiDAR navigation), they still need preparatory work (moving chairs, clearing floors) to function effectively. Similarly, AI agents in ERP environments operate smarter but rely on structured conditions. The key difference? AI agents adapt dynamically, unlike their RPA predecessors.
The Clash of Titans: Who Leads When AI Agents Collide?
The Economist’s central question: What happens when AI agents from competing platforms meet? With no "rules of the road," a Salesforce AI agent could encroach on ERP tasks, while an SAP agent might handle CRM. In a hypothetical scenario involving SAP, Salesforce, Workday, UiPath, and ServiceNow, who prioritizes workflows? The report warns of a "Wild West" scenario where the strongest AI dominates, potentially reshaping ERP hierarchies.
The Unpredictable Future of AI Leadership
IT departments are experimenting, but the ultimate winner remains unclear. Could Salesforce or Workday’s AI agents lead, relegating SAP to a support role? The article leaves this open-ended, emphasizing the need for industry standards.
Read the full Economist analysis here.
Related News
Avaamo Launches Prebuilt AI Agents for Customer Experience
Avaamo introduces CX Agents with specialized capabilities for service, ordering, and billing, expanding its AI-driven digital workforce solutions.
Key Lessons From Developing an Effective AI Agent
Discover three critical lessons from building an AI agent, including listening to data, prioritizing efficiency, and meeting customers where they are.
About the Author
Dr. Lisa Kim
AI Ethics Researcher
Leading expert in AI ethics and responsible AI development with 13 years of research experience. Former member of Microsoft AI Ethics Committee, now provides consulting for multiple international AI governance organizations. Regularly contributes AI ethics articles to top-tier journals like Nature and Science.