SAP Datasphere – The End of SAP Business Warehouse?

Share post via

Is SAP Datasphere the end of SAP Business Warehouse?

In August 2023, SAP released an updated Statement of Direction, positioning SAP Datasphere as the strategic successor product to SAP BW. Previously, this was described with a more open-ended outcome in the strategy. Does this signify the end of SAP BW?

1. Is SAP BW obsolete?

SAP offers three different data warehouse solutions: SAP BW/4HANA, SAP HANA SQL Data Warehousing, and SAP Datasphere. SAP's strategic focus is on public cloud products based on the Business Technology Platform (BTP). Further developments and future innovations are only to be expected in this area. Conversely, this means that all other solutions will no longer be intensively developed. Datasphere is SAP's strategic cloud data warehouse solution and thus the focus of SAP's investments and innovations.

The SAP Data Warehouse Portfolio: Focus on SAP Datasphere
Fig. 1: The SAP Data Warehouse Portfolio
The SAP Data Warehouse Portfolio
Fig. 1: The SAP Data Warehouse Portfolio

What does this mean for the classic SAP Business Warehouse? Is SAP BW still part of SAP's strategic portfolio? Does this mean that SAP BW is dead?

SAP BW/4HANA is a tried-and-tested, mature solution. SAP Datasphere is not yet 100% ready to replace complex SAP BW systems. Furthermore, SAP BW/4HANA (or SAP HANA SQL) is the only on-premise or private cloud option. SAP has also committed to supporting and further developing SAP BW/4HANA until 2040, which provides a certain degree of investment security. Therefore , it can be said that SAP BW is not (yet) dead.

2. Is SAP Datasphere the successor to SAP Business Warehouse?

Yes! SAP Datasphere is the strategic successor to SAP BW. This does not mean that SAP Datasphere is already capable of mapping every SAP BW scenario 1:1. However, SAP is positioning Datasphere as the long-term successor. A lot of development capacity is flowing from SAP BW into Datasphere development. Migration paths (SAP BW Bridge) from SAP BW systems to SAP Datasphere are being increasingly expanded.

Webinar recording

The end of SAP BW on HANA – Just wait it out?

3. Is SAP BW still future-proof? Should I still start an SAP BW/4HANA project?

SAP BW customers who are considering modernizing their data warehouse by introducing SAP BW/4HANA are faced with the question of whether this is (still) advisable. There is no blanket answer to this question. As is so often the case, it depends on the initial situation and the time horizon. Among other things, the following aspects can play a role in the decision-making process:

  • How large and complex is the current SAP BW system?
  • How satisfied are you with the existing system?
  • In which overall architecture is the SAP BW system integrated?
  • How much SAP BW expertise is already available in the development team? How much effort is involved in transferring expertise?
  • What is the goal of IT modernization?
  • Can SAP Datasphere already meet current requirements?
  • Is SAP BW Bridge already suitable as a migration scenario?

In our experience, customers pursue different strategies. There are customers, such as our customer BARMER, who are completely replacing their HR SAP BW system with SAP Datasphere. 

Other customers are consciously choosing to migrate their SAP BW system to SAP BW/4HANA, for example because they have already invested a lot of money in the system and/or because the complexity is (still) too high for SAP Datasphere. Given the impending end of maintenance for SAP BW, some customers cannot wait until SAP Datasphere is a fully-fledged option. We also consider this to be a valid option, as the time horizon until 2040 is still very long and migration to SAP Datasphere is also possible at a later date.

Many of our customers also rely on hybrid scenarios —that is, combining existing architectures (including SAP BW) with SAP Datasphere. Our customer projects range from pure self-service environments for specialist departments to outsourcing the reporting layer to SAP Datasphere. The driving factor is usually the need for greater flexibility. We consider hybrid scenarios in particular to be a project-proven approach to enabling added value beyond classic SAP BW.

One example scenario is the use of SAP Datasphere for self-service data preparation. We see a lot of potential here thanks to user-friendly data modeling. SAP Analytics Cloud (SAC) does not offer comprehensive data preparation capabilities – nor does SAP BW/4HANA. We often see departments looking for other solutions that are not integrated into the IT system landscape. Datasphere can therefore fill this gap very well and offers departments a high degree of freedom while integrating them into the IT system architecture. The diagram below outlines how the interaction between an enterprise data warehouse (EDW), other solutions, and Datasphere can work. For example, IT can provide an IT-governed space with quality-assured data models for standard reports. Based on this, custom extensions can be created in the line of business spaces. We can well imagine Datasphere functioning as a virtual semantic layer across all systems, as shown in Figure 2.

Hybrid scenarios using the example of SAP BW Bridge
Fig. 2: Hybrid scenarios – SAP BW/4HANA & Datsphere: Example SAP BW Bridge

Blog Article

23.07.2024

SAP HANA Cloud and Datasphere as the Foundation for Business Data Fabric

4. Summary

SAP Datasphere is the long-term strategic successor to SAP BW/4HANA. The outlook for SAP BW/4HANA is still very long (until 2040). Customers receive a very mature solution that ensures their project will be a success. The BW Bridge also offers the option of migrating to SAP Datasphere.

Against this backdrop, customers can approach SAP BW replacement at their own pace. Even though SAP Datasphere may not be suitable for every situation today, we already see many advantages in hybrid architectures regardless.

Would you like to learn more? Then our Discovery Workshop is just right for YOU.

SAP Datasphere Discovery Workshop
Explore SAP Datasphere together with our SAP experts.
Four people conversing at a table in an office.

Or you can contact us directly for a personal consultation:

ISR Employee Image

Christopher Kampmann
Head of Business Unit
Data & Analytics
christopher.kampmann@isr.de
+49 (0) 151 422 05 448

About ISR

Since 1993, we have been operating as IT consultants for Data Analytics and Document Logistics, focusing on data management and process automation.
We provide comprehensive support, from strategic IT consulting to specific implementations and solutions, all the way to IT operations, within the framework of holistic Enterprise Information Management (EIM).
ISR is part of the CENIT EIM Group.

Visit us virtually on these channels:

News Categories
News Archive

Latest Publications

Upcoming ISR Events

[tribe_events_list limit=”3″]