SAP Freezes Most Travel and Hiring as AI Costs Soar
Software Giant SAP Stops Most Travel and Hiring Because of AI's Soaring Cost

SAP, one of the world's largest software companies, has suspended most travel and hiring due to the soaring costs of AI, according to an internal email obtained by 404 Media. The restrictions, which began in July, remain in effect, with exceptions only for AI-related activities. A current employee noted that the company is rolling out a new AI tool company-wide, likely increasing costs further. This move highlights the financial strain AI places on businesses, leading some to throttle employee AI usage.
SAP says it needs to “be disciplined in how we spend.”