SAP to invest $1b in India

CYBERMEDIA NEWS

Business software solutions provider SAP will invest $1 billion in India over
the next five years. Till now the company has invested around half a billion
dollars in the country. Refu­­sing to give a break up of the investment plan,
Henning Kagermann, Chairman of the Executive Board of SAP AG and CEO, said, “Most
of our investment would be in people and as far as the number of employees are
concerned we can double our headcount in India. We plan to increase India
headcount to 3,500 employees by the end of 2006 from 2,750 employees as of July
2006.”

“India has also been elevated to the status of a strategic hub in the APAC
region within the SAP world,” said Kagermann. “As one of our top eight
strategic markets, and now a strategic hub in the region, we are seeing
phenomenal growth in demand for our solutions from Indian enterprises.”

ALAN SEDGI: Our goal is to reach 15,000 customers by 2010 in India

The company has already invested Euro 20 million to build phases I and II of
SAP Labs India campus and plans to invest an additional Euro 30 million in
expanding its R&D capability. By the end of 2006, India is expected to
account for 20 percent of the firm's global R&D development as well as
services and support business.

Kagermann also inaugurated SAP's new office in Gurgaon. The company would
have over 250 employees working from new office by the end of 2006. The office
would have significant presence by SAP's lines of businesses, housing Global
Services and Support Center (GSC) as well as SAP India Field and SAP Global
Delivery Center.

Aimed towards sustaining and building on the outstanding partner ecosystem
SAP has in India, the company also announced the setting up of new Center of
Excellences (CoEs) around key focus areas. A CoE for the public sector will be
set up in the new Gurgaon office. The company will also set up CoEs in the
retail and small and medium enterprise (SME) focus areas.

Speaking on the occasion, Alan Sedgi, President and CEO- Indian sub
continent, SAP said, “India is expected to account for 10 of total SAP
customers globally by 2010. Our goal is to reach 15,000 customers by 2010 in
India. We also plan to have an additional 1,00,000 SAP certified consultants by
2010. We are also targeting around 100 e-governance and public sector projects
in India and expanding our market presence and accessibility in India.”