US Large Enterprises Replace Edge Software with AI Agents, Saving Millions Annually and Pressuring Suppliers

US large enterprises haven't abandoned core business software like Salesforce and SAP. Instead, they use AI tools to build custom apps to replace edge software and pressure suppliers for renegotiations.

Cisco replaced presentation software with its in-house AI Agent, saving nearly $5 million annually in licensing fees. EY uses vibe coding to build custom functions on SAP instead of buying paid upgrades. Lowe's replaces content generation software with AI Agents, and FedEx is negotiating with partners to adapt to AI changes.

Gartner's survey shows 96% of software engineering organizations have provided AI tools to developers, and over 70% will use AI Agent-based programming tools in the next two years. Core software is shifting from operational hubs to data sources, with AI Agents becoming the main interface for employees to interact with software.