Over the next five years, Software Asset Management (SAM) will undergo a profound transformation. What was once viewed as a governance and compliance function will become a critical driver of:

• Digital strategy
• Financial stewardship, and
• Operational resilience.

The catalysts

A convergence of technological innovation, shifting licensing models, and rising business expectations.

At ITAA, we’re already seeing the contours of this new SAM landscape take shape — and for those paying attention, it’s clear: the SAM function of tomorrow will look radically different from the one we know today.

1. AI-Driven Automation Will Redefine the SAM Workflow

AI and machine learning are poised to take over many of SAM’s most time-consuming tasks. From data normalization and license reconciliation to predictive alerts on non-compliance or cost spikes, automation will become the backbone of SAM operations. This shift will liberate SAM professionals from administrative cycles and empower them to act as strategic advisors — aligning technology usage with business goals.

2. Real-Time Licensing Models Will Demand Continuous Oversight

Traditional “true-up” cycles are giving way to dynamic, real-time licensing frameworks. Usage-based pricing, API integrations, and real-time entitlement changes will require continuous monitoring and adjustment. SAM teams will need tooling — and skillsets — that support fast, data-informed decision-making, not just quarterly reporting.

3. Cloud Overspend Will Continue to Escalate

In cloud environments, the risk of overspending is exponentially higher. Without governance and optimization, resources are left running, redundant environments multiply, and budget predictability vanishes. Many organizations are now spending significantly more than they did on-prem — and often with far less visibility or control. SAM must become a proactive player in cloud cost governance, partnering with FinOps and engineering teams.

4. SaaS Proliferation Will Extend SAM’s Reach

The explosion of SaaS and the rise of shadow IT are pushing SAM into unfamiliar territory. More and more, license management must extend beyond IT-managed tools to include

• Employee-procured apps
• Unvetted SaaS contracts, and
• Decentralized purchasing.

Governance must now account for provisioning, data privacy, and integration risks — all without slowing the pace of innovation.

5. SAM Will Evolve into an Embedded Service Layer

As organizations mature, SAM will no longer be a standalone team with niche tooling. Instead, it will function as a service layer — embedded across FinOps, ESG reporting, cybersecurity, and transformation initiatives. In this model, SAM insights will help inform sustainability audits, budget forecasting, cloud strategy, and risk management. It’s not about who owns SAM — it’s about who benefits from it.

6. Strategic Advisory Will Outpace Operational Delivery

The SAM partners of the future won’t just reconcile data or manage tools — they’ll bring business context, commercial insight, and the independence to challenge vendors. Organizations will increasingly value advisors who are vendor-agnostic, fluent in business outcomes, and able to connect software decisions to strategic value.

From Reactive to Proactive: The Next Era of SAM

SAM is evolving from a reactive compliance function to a proactive enabler of smart IT decisions. In an environment defined by continuous change, only those organizations that treat SAM as a strategic discipline — not just a cost-control measure — will unlock its full value.

The next five years aren’t just about new tools. They’re about redefining SAM’s role in the business.

Is your organization ready?

Steve Narey, Multi-Services Vendor Director

Steve brings over a decade of experience helping global companies optimize software license management, reduce risk, and cut costs, especially during cloud migrations. His expertise spans strategic relationship management, business development, project management, contract negotiation, cloud optimization, and program implementation.