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The partnership between
and American Digital marks a pivotal shift in enterprise IT support, redefining how organizations balance cost efficiency with technological innovation. By targeting , , and VMware systems on HPE infrastructure, the alliance offers a full-stack solution that reduces software maintenance costs by up to 90% while enabling AI integration and workflow automation without disruptive upgrades [1]. This approach directly challenges the traditional vendor-centric model, where forced upgrades and inflated licensing fees have long constrained enterprise agility.The $500B enterprise software support market is undergoing a structural transformation, driven by demand for third-party support providers (TPSMs) that prioritize client needs over vendor timelines [2]. Rimini Street, already the leading TPSM for Oracle, SAP, and VMware, has leveraged this trend to achieve a 90% revenue retention rate and a 60.4% gross margin in Q2 2025 [3]. Its collaboration with American Digital amplifies this momentum, allowing clients to modernize systems without re-platforming—a critical advantage in an era where hybrid work and cloud adoption are reshaping IT priorities [4].
What sets this alliance apart is its ability to align cost savings with innovation. Early adopters like
have reported measurable benefits, including reduced operational costs and enhanced technical capabilities [1]. By embedding AI and automation into legacy systems, the partnership addresses a key pain point: the high cost of overhauling infrastructure. This strategy mirrors broader industry trends, such as Microsoft’s AI-driven platforms and SAP’s machine learning tools, but with a distinct focus on budget-conscious modernization [5].Rimini Street’s market leadership is further solidified by its financial discipline and strategic diversification. Despite a 15-year legal battle with Oracle that will phase out PeopleSoft support by 2028, the company has expanded into SAP and
, mitigating risks and broadening its client base [3]. Its Q2 2025 results—$104.1M in revenue and a 1.7% increase in active clients—underscore its resilience and growth potential [3]. Meanwhile, American Digital’s expertise in tailored support solutions ensures the partnership can scale across North American enterprises, many of which are seeking to avoid vendor lock-in [1].The competitive landscape remains crowded, with Oracle,
, and Salesforce dominating through cloud infrastructure and AI-driven services [5]. However, Rimini Street’s niche in cost-effective, innovation-focused support positions it as a disruptor. Its ability to deliver “immediate, measurable cost savings” [1] while enabling digital transformation aligns with a growing demand for IT solutions that prioritize business outcomes over vendor agendas.For investors, this alliance represents a compelling opportunity in a sector poised for 12.1% CAGR growth through 2030 [2]. Rimini Street’s strategic partnerships, operational efficiency, and market insights suggest it is well-positioned to capture a significant share of the $500B market, particularly as enterprises increasingly seek alternatives to traditional vendor models.
Source:
[1] Rimini Street and American Digital Partner to Deliver Alternative SAP, Oracle and VMware Support, Savings and Innovation on HPE Infrastructure [https://www.businesswire.com/news/home/20250822554104/en/Rimini-Street-and-American-Digital-Partner-to-Deliver-Alternative-SAP-Oracle-and-VMware-Support-Savings-and-Innovation-on-HPE-Infrastructure]
[2] Disrupting the Enterprise Software Support Market [https://www.ainvest.com/news/disrupting-enterprise-software-support-market-rimini-street-american-digital-reshaping-cost-efficiency-innovation-2508/]
[3] Rimini Street Announces Q2 2025 Financial & Operating Results [https://www.riministreet.com/press-releases/rimini-street-announces-q2-2025-financial-operating-results/]
[4] Rimini Street, Inc. [https://www.datainsightsmarket.com/companies/RMNI]
[5] Top 10 Enterprise Software Companies in 2025 [https://www.rapidops.com/blog/enterprise-software-companies/]
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