Software Giant SAP Stops Most Travel and Hiring Because of AI’s Soaring Cost
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Tokenmaxxing<br>Software Giant SAP Stops Most Travel and Hiring Because of AI’s Soaring Cost
Joseph Cox
Aug 6, 2026<br>at 3:13 PM
SAP says it needs to “be disciplined in how we spend.” That includes still freezing hires and travel. Unless it's to do with AI, of course.
Image: SAP media kit.
SAP, one of the world’s biggest software companies, suspended most travel and hiring last month because of AI’s soaring cost, with exceptions only being made for AI-related travel or hires, according to an internal SAP email obtained by 404 Media.<br>Bloomberg reported on the email and the freezes in July, but a current SAP employee said the bans are still in effect. The employee said the company had a global employee meeting recently where this was brought up again. They added SAP is currently rolling out a newly created AI tool to the entire company “which I can only imagine massively increases the costs.” 404 Media granted the source anonymity to protect them from retaliation.<br>The email highlights how companies both big and small are coming to grips with the reality of AI’s cost. Rather than being a massive cost saver, in some cases companies are throttling employees’ AI use as it spirals out of control, and scrambling to find other ways to keep costs down.<br>💡<br>Do you work at a company dealing with AI's costs? I would love to hear from you. Using a non-work device, you can message me securely on Signal at joseph.404 or send me an email at joseph@404media.co.
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