Startup Stories

SAP Acquires Dremio to Unify Enterprise Data for Agentic AI

WALLDORF, Germany: SAP agrees to acquire Dremio, the Austin-based data lakehouse platform, to power agentic AI across enterprise customers.

The deal makes SAP Business Data Cloud an Apache Iceberg-native enterprise lakehouse. The integration unifies SAP and non-SAP data on a single open platform. Terms of the transaction remain undisclosed pending regulatory approval.

Dremio brings a federated query engine that reaches any data source without ETL pipelines. The platform manages itself through autonomous clustering, optimization, and compaction routines. An AI semantic layer adds business context so agents draw from consistent truth.

The acquisition addresses a core bottleneck blocking enterprise AI adoption today. Most projects fail because fragmented data sits in proprietary formats across systems. Agents cannot reason effectively when business context lives across disconnected silos.

SAP commits to continuing Dremio’s open-source leadership on Apache Iceberg. The German giant also pledges ongoing investment in Apache Polaris and Apache Arrow. Iceberg now stands as the industry-standard open table format for analytics.

The deal pairs with SAP’s parallel acquisition of Prior Labs announced the same day. Prior Labs builds tabular foundation models for structured business data. Together, the two deals consolidate critical AI infrastructure under one European roof.

“Enterprise AI doesn’t stall because the models aren’t good enough; it stalls because the data isn’t ready,” says SAP CTO Philipp Herzig.

The combined platform feeds SAP’s Joule agentic layer with unified enterprise context. Customers can run analytics and AI agents across their entire data estate. SAP HANA Cloud handles real-time transactions while Dremio powers analytical workloads.

The transaction expects to close in Q3 of 2026 subject to regulatory approvals. SAP customers should see early integrations roll out following deal closure.

Anurag Shukla

Anurag Shukla is a Senior Journalist with over two decades of experience across television, digital, and print media. He has worked with leading national news organisations and has also served as a Research Officer in the Prime Minister’s Office (PMO), contributing to media research and policy-level content. A former journalism academic, Anurag brings strong editorial depth and a keen understanding of how technology, governance, and society intersect at Tea4Tech.

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