SAP unveils EU AI Cloud: a unified vision for Europe’s sovereign AI and cloud future
On November 27, 2025, SAP unveiled EU Artificial Intelligence Cloud, a strategic framework that consolidates its existing milestones into a single sovereign Artificial Intelligence and cloud offering for Europe. The initiative is described as a truly full-stack sovereign cloud offering that lets customers choose the level of sovereignty and deployment that fits their regulatory and operational requirements. EU Artificial Intelligence Cloud explicitly supports EU data residency and full sovereignty to help organizations meet specific compliance needs while retaining SAP cloud innovation.
As part of the launch, SAP announced a partnership with Cohere to bring Cohere North into SAP Business Technology Platform (SAP BTP). Cohere North will extend state-of-the-art agentic and multimodal Artificial Intelligence capabilities into SAP BTP, enabling customers with data residency constraints across industries to build production-ready Artificial Intelligence into core business processes. SAP positions the integration as a way to unlock deeper insights, more accurate decision support and more intelligent automation across complex workflows without compromising on sovereignty, compliance or performance.
EU Artificial Intelligence Cloud is powered by a growing ecosystem of European and global partners, with integrations of advanced models and applications from Cohere, Mistral AI, OpenAI and others directly into SAP BTP. Customers can consume partner offerings as SaaS, PaaS or IaaS and deploy them flexibly across SAP’s infrastructure or trusted European partners. Deployment options include SAP Sovereign Cloud on SAP Cloud Infrastructure (EU) IaaS built with open-source technologies and operated within SAP’s European data center network, SAP Sovereign Cloud On-Site in customer-selected data centers, selected hyperscalers per market, and Delos Cloud in Germany for public sector needs. AI models run on SAP’s software abstraction layer (SAP Cloud Infrastructure + SAP BTP) in European data centers to ensure compliance and independence from U.S. hyperscalers. For more context, the release reiterates SAP’s role as a global leader in enterprise applications and business Artificial Intelligence and notes that organizations have trusted SAP for over 50 years.