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Microsoft goes after Salesforce and ERP users with AI-powered converter

software Ironically, this idea lands as Salesforce is struggling to sell its own AI. Microsoft has found another use for AI: providing an off-ramp for Salesforce customers.

Microsoft goes after Salesforce and ERP users with AI-powered converter

software Ironically, this idea lands as Salesforce is struggling to sell its own AI. Microsoft has found another use for AI: providing an off-ramp for Salesforce customers. The software giant on Wednesday introduced Dynamics 365 Activate, an AI-powered tool designed to help partners and customers move to Dynamics 365 faster, with less manual effort and lower migration risk. This tool is available as a public preview and converts Salesforce implementations into Dynamics 365. Microsoft plans to launch additional CRM and ERP migration scenarios later this year.

Microsoft’s vision is to create a unified agentic implementation experience that supports starting new businesses, migrating from existing tools like Salesforce, or growing businesses already running Dynamics. The AI-powered converter profiles data, identifies relationships and dependencies, and surfaces customizations requiring attention. This process provides implementation teams with a clearer blueprint for what should move, change, or be redesigned before migration begins.

For Salesforce, the tool analyzes existing CRM environments, building a detailed understanding of data, business processes, customizations, and dependencies. Microsoft’s partners are a key target, as the AI converter helps them quickly assess Salesforce environments, determine what to preserve, simplify, or redesign, and identify migration risks and dependencies earlier. This empowers teams to focus more on solution architecture, industry expertise, and change management.

Microsoft has been building a significant business applications division since its 2001 acquisition of Great Plains Software. While exact revenue figures for CRM and ERP are not reported, the Productivity and Business Processes unit, which includes Dynamics, generated $140 billion in FY 2026, up nearly 15% year-over-year. Microsoft holds about 25% market share in ERP and around 4-5% in CRM, though Salesforce dominates with roughly 20% market share. Salesforce customers may be considering alternatives, as its Agentforce platform has not been well-received, and AI spending at Salesforce has impacted its margins.

Source: The Register

Distributed to Finance · Top Story by RedPress.

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