The General Services Administration (GSA) announced an 18-month OneGov agreement with SAP on Tuesday that delivers steeply discounted access to the company’s database, integration, analytics, and cloud solutions for federal agencies.
GSA estimates the deal will generate $165 million in savings over its duration, with discounts reaching up to 80% on select SAP software licenses.
“The OneGov agreement with SAP gives federal agencies access to new tools as they accelerate technology modernization, transition away from legacy systems, and unlock significant taxpayer savings,” GSA Federal Acquisition Service (FAS) Commissioner Josh Gruenbaum said in a statement.
“Through this and other OneGov agreements, GSA is providing federal agencies with essential IT tools, such as cloud services, to support the White House’s AI Action Plan,” Gruenbaum said.
Under the agreement, for the next 18 months, agencies can access the 80% discount on the company’s license-based products, including SAP HANA, ASE, IQ, SQL Anywhere, Replication Server, and PowerDesigner.
They will also have access to a 35% discount on cloud services, including SAP Business Technology Platform (BTP), SAP Analytics Cloud, and HR Payroll.
GSA said federal agencies will also have access to additional benefits under the offer, including a $1-for-$1 first-year modernization incentive, waived data egress fees across government-certified hyperscaler environments, and access to SAP enterprise architect support.
“Through OneGov, agencies can access SAP’s leading database, integration, analytics, and cloud solutions to run more efficiently in service of the public,” said Christian Klein, CEO of SAP SE. “At SAP, we’re dedicated to helping government modernize and deliver even greater value for American taxpayers.”
“Today, we strengthen our nearly three-decade partnership with the U.S. federal government,” added David Robinson, president of SAP Cloud ERP and managing director of SAP U.S. Public Services. “We look forward to working together to accelerate IT modernization by leveraging the AI-powered SAP Business Suite to eliminate inefficiencies, reduce operating costs, and empower agencies to move faster, operate smarter, and maintain a persistent state of innovation.”
According to GSA, this agreement is available to existing SAP customers for renewals, expansions, or IT modernization projects.
The SAP agreement adds to OneGov deals already reached with Oracle, Elastic, Google, Adobe, Salesforce, DocuSign, OpenAI, Box, Anthropic, Microsoft, ServiceNow, Meta, xAI, and Perplexity.
GSA unveiled its OneGov initiative in April, which aims to streamline federal IT acquisitions through standardized terms and pricing.