ICONIQ Capital, which has previously invested in tech giants such as Snowflake, Databricks, Anthropic, and ElevenLabs, has now turned its attention to a young London-based startup. Conduct, which aims to accelerate modernization processes by analyzing enterprise software systems, raised $60 million in a Series A funding round led by Index Ventures and ICONIQ. SAP also participated in this round as a strategic investor, while existing investors Creandum, Lucid Capital, and Booom continued their support.
Founded in 2024 by Jan Philipp Haas, Philipp Hoefer, and Henry Thompson, Conduct helps large-scale companies understand their SAP infrastructures, which have become increasingly complex over the years. The company’s founders previously managed product and commercial operations for major enterprise clients in Europe and Japan at Palantir.
SAP Migration Pressure Is Accelerating Market Growth
One of the main drivers behind Conduct’s rise is SAP’s plan to end primary support for its ECC systems on December 31, 2027. According to Gartner data, 17,000 of the approximately 35,000 SAP ECC customers have not yet completed their migration to SAP S/4HANA. However, given that these migrations typically take 18 to 36 months, companies are said to be facing time pressure.
Due to years of customization in enterprise-level companies, procurement, production, pricing, and approval processes are embedded within millions of lines of code. This makes the systems extremely difficult to understand. Until now, companies have needed months-long consulting projects to perform these analyses.
However, Conduct aims to accelerate this process through AI-powered automation.
What Does Conduct Do?
Conduct’s platform analyzes customized code, integrations, and dependencies—particularly within SAP systems—to uncover the corresponding business processes. Thanks to the platform, companies can instantly see, for example, which processes will be affected by a change in a data field, where a specific pricing rule is applied, or which modules an SAP migration will cover.
However, Conduct does more than just analyze; it can also automatically generate the necessary code, test scenarios, and transformation steps. According to the company, transformation projects at clients such as Daimler Truck, Heidelberg Materials, Fraport, and DHL are progressing at least 30 percent faster.
Conduct CEO Jan Philipp Haas made the following remarks on the subject:
“Today, most large companies expect tangible results from their AI investments. But the reality is that the systems AI is expected to work on are no longer fully understood by humans. Decades of customization have made these infrastructures incomprehensible. Conduct makes these systems readable and manageable again.”
Strategic Partnership Support from SAP
SAP’s participation in this funding round also drew attention. The company has positioned Conduct as a “strategic AI partner” for SAP Cloud ERP applications. Additionally, Conduct is collaborating with some of the world’s largest SAP transformation consulting firms, such as BCG and NTT DATA Business Solutions.
ICONIQ’s investment in an early-stage startup in London is viewed by the industry as an unusual move. ICONIQ, which typically invests in later-stage technology companies, has a portfolio that includes firms such as Figma, Snowflake, Databricks, Anthropic, and ElevenLabs.
ICONIQ General Partner Seth Pierrepont noted that Conduct provides critical infrastructure for enterprise AI, stating:
“For the first time, Conduct is making business logic—which has been locked away within enterprise systems for years—understandable and actionable. This lays the foundation for the next generation of enterprise AI.”
Competition Heats Up
The global ERP software market, expected to reach approximately $77 billion in 2025, is projected to grow to $157 billion by 2033. This growth is also accelerating competition in the modernization space.
LeanIX, acquired by SAP in 2023, focuses on enterprise architecture visibility, while Celonis operates in the field of process mining. ServiceNow’s ITOM solutions manage IT operations but cannot automatically generate conversion code from ERP systems.
Conduct’s key differentiator is that it not only maps systems but also generates directly deployable code and tests.
The company announced that it will use the new investment to expand its engineering and sales teams, enhance its SAP capabilities, and extend the platform to other enterprise systems such as Salesforce, Oracle, MES, and WMS.