SAP SE is accelerating its AI strategy with two major acquisitions. The German software giant is acquiring Prior Labs, a pioneer in tabular foundation models, and Dremio, a leading lakehouse platform provider.
With the purchase of Prior Labs, founded by Frank Hutter, Noah Hollmann, and Sauraj Gambhir, SAP gains one of the world’s top teams in Tabular Foundation Models (TFMs). These models excel at understanding tables, numbers, and statistics — areas where traditional large language models still struggle. Prior Labs’ TabPFN-2.6 currently leads the TabArena benchmark.
“The biggest untapped opportunity in enterprise AI lies not in large language models, but in AI built specifically for the structured data that powers global business,” said SAP CTO Philipp Herzig. SAP plans to invest more than one billion euros over the next four years to turn Prior Labs into Europe’s leading frontier AI lab for structured data.
Simultaneously, the acquisition of Dremio significantly strengthens SAP’s data foundation. Dremio’s open, Apache Iceberg-based lakehouse will enhance the SAP Business Data Cloud, enabling seamless integration of SAP and non-SAP data for agentic AI systems.
Both deals are expected to close in Q3 2026.
Dr. Jakob Jung is Editor-in-Chief of Security Storage and Channel Germany. He has been working in IT journalism for more than 20 years. His career includes Computer Reseller News, Heise Resale, Informationweek, Techtarget (storage and data center) and ChannelBiz. He also freelances for numerous IT publications, including Computerwoche, Channelpartner, IT-Business, Storage-Insider and ZDnet. His main topics are channel, storage, security, data center, ERP and CRM.
Contact via Mail: jakob.jung@security-storage-und-channel-germany.de