SAP and Ambipar Unveil Net Zero as a Service

Rhea-AI Summary

SAP SE and Ambipar have announced a partnership to launch Net Zero as a Service, combining SAP's cloud solutions with Ambipar's carbon credit expertise. This service aims to help customers manage and offset carbon emissions effectively. Key features include:

1. End-to-end carbon management using SAP's ERP-centric and AI-enabled solutions
2. Access to certified carbon credits through Ambipar's AMBIFY platform on SAP Store
3. Establishment of a common data foundation for emissions measurement and decision-making

Ambipar is piloting the service in its own operations before wider availability to SAP customers. The partnership is expected to support both companies' growth objectives while helping businesses achieve their sustainability goals.

Positive

• Partnership with Ambipar to offer Net Zero as a Service, potentially expanding SAP's market reach
• Integration of Ambipar's AMBIFY platform on SAP Store, potentially increasing revenue streams
• Expansion of SAP's sustainability management solutions portfolio

Negative

• None.

Insights

Environmental Technology Expert

SAP and Ambipar's Net Zero as a Service represents a significant advancement in corporate sustainability solutions. By integrating SAP's cloud-based ERP systems with Ambipar's carbon credit expertise, this offering addresses a critical need in the market for comprehensive carbon management tools.

The solution's strength lies in its end-to-end approach, covering measurement, management and offsetting of emissions. This holistic strategy is particularly valuable as companies face increasing pressure to achieve net-zero targets. The AI-enabled features for granular decision-making could provide a competitive edge in optimizing sustainability efforts.

However, the success of this service will depend on factors such as:

• Accuracy and reliability of emissions data collection
• Integration capabilities with existing corporate systems
• Pricing structure and ROI for customers
• Scalability across different industries and company sizes

While promising, investors should monitor adoption rates and customer feedback once the service is widely available to gauge its market impact and potential for driving revenue growth for both SAP and Ambipar.

Financial Analyst

This partnership has positive implications for SAP's strategic positioning in the rapidly growing sustainability software market. By leveraging Ambipar's expertise in carbon credits, SAP enhances its existing sustainability offerings, potentially opening new revenue streams and increasing its competitive advantage.

Key financial considerations include:

• Potential for increased software license and subscription revenue
• Cross-selling opportunities within SAP's extensive customer base
• Possible margin improvements through value-added services

The pilot with Ambipar serves as a proof of concept, which could accelerate adoption if successful. However, investors should watch for details on the revenue-sharing model between SAP and Ambipar, as well as the projected impact on SAP's financials in the short to medium term.

Given SAP's 260.47 billion market cap, this initiative alone may not significantly move the needle immediately but could contribute to long-term growth and customer retention in an increasingly ESG-focused business environment.

WALLDORF, GERMANY / ACCESSWIRE / September 27, 2024 / SAP SE (NYSE:SAP) announced a partnership with Ambipar (B3:AMBP3)(NYSE:AMBI), a global leader in environmental solutions with operations in 40 countries, to bring Net Zero as a Service to customers and support the fight against climate change.

Net Zero as a Service brings together a combination of SAP's robust cloud solutions and Ambipar's deep carbon credit generation and trading expertise to help customers seamlessly manage and offset carbon emissions.

"In partnering with SAP, we are bringing together two companies with a shared commitment to help organizations achieve net zero," said Tercio Borlenghi Junior, CEO of Ambipar. "By combining SAP's technology with Ambipar's decarbonization expertise to create Net Zero as a Service, customers will have access to a simple but comprehensive solution that contributes to the low carbon economy."

Comprehensive Carbon Management

Net Zero as a Service can equip SAP customers globally with solutions for the entire decarbonization journey. SAP's ERP-centric and AI-enabled solutions will provide end-to-end carbon management, allowing customers to establish a common data foundation, seamlessly measure emissions and make granular and timely decisions that are financially and environmentally sound. Customers can neutralize emissions by purchasing internationally certified carbon credits through Ambipar's technology platform AMBIFY, available on the SAP Store, the online marketplace for SAP and partner offerings.

"SAP customers are increasingly seeking ways to measure and offset their carbon emissions," said Adriana Aroulho, president of SAP Brazil. "Through Net Zero as a Service and our partnership with Ambipar, SAP is building on our commitment to deliver comprehensive sustainability management solutions and empowering our customers to become future-ready businesses."

Scaling Net Zero as a Service

Ambipar is currently piloting Net Zero as a Service in its own operations, tapping into the power of SAP's solutions as it aims to meet aggressive growth targets this year, before the service becomes widely available to SAP customers.

By leveraging SAP Sustainability solutions, Ambipar will establish a unified data foundation, breaking down silos across the business, and seamlessly measure and manage carbon emissions.

"Ambipar is undergoing a worldwide expansion and counts on SAP as a trusted IT partner as they scale," said Aroulho. "Net Zero as a Service will support Ambipar's growth objectives, while helping the company effectively streamline operations, drive innovation and manage its own environmental footprint. We are thrilled to bring this service to SAP customers."

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Media Contact:

Sybelle D'Marco, +1 (305) 490-6139, sybelle.d-marco@sap.com, ET
SAP Press Room; press@sap.com

This document contains forward-looking statements, which are predictions, projections, or other statements about future events. These statements are based on current expectations, forecasts, and assumptions that are subject to risks and uncertainties that could cause actual results and outcomes to materially differ. Additional information regarding these risks and uncertainties may be found in our filings with the Securities and Exchange Commission, including but not limited to the risk factors section of SAP's 2023 Annual Report on Form 20-F.

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SOURCE: SAP

View the original press release on accesswire.com

FAQ

What is Net Zero as a Service offered by SAP and Ambipar?

Net Zero as a Service is a comprehensive solution that combines SAP's cloud solutions and Ambipar's carbon credit expertise to help customers manage and offset carbon emissions. It provides end-to-end carbon management, emissions measurement, and access to certified carbon credits.

How does SAP (NYSE:SAP) benefit from the partnership with Ambipar?

SAP benefits by expanding its sustainability management solutions portfolio, potentially increasing revenue streams through the integration of Ambipar's AMBIFY platform on SAP Store, and enhancing its market reach in the growing field of carbon management and offsetting.

When will Net Zero as a Service be available to SAP customers?

The press release doesn't specify an exact date, but it mentions that Ambipar is currently piloting Net Zero as a Service in its own operations before the service becomes widely available to SAP customers.

What solutions does SAP (NYSE:SAP) offer for carbon management in Net Zero as a Service?

SAP offers ERP-centric and AI-enabled solutions that provide end-to-end carbon management. These solutions help establish a common data foundation, measure emissions, and enable granular and timely decision-making that is both financially and environmentally sound.