SAP to invest $1bn in India
The $10bn German software maker SAP will invest $1bn over the next five years to expand its operations in India. It also intends to double headcount from the present 2,800 over the same period.
By TNN |
NEW DELHI: The $10bn German software maker SAP will invest $1bn over the next five years to expand its operations in India. It also intends to double headcount from the present 2,800 over the same period.
Out of the committed investment, the company will spend about $40m in boosting R&D activities which it does through SAP Labs India in Bangalore and Gurgaon.
The company also opened a new office in Gurgaon where it will staff 250 people by the end of ’06. By the end of this year, SAP expects 20% of the global R&D, services and support to be done out of India.
Says Henning Kagermann, chairman & CEO, SAP, “India is one of the fastest growing markets in the Asia-Pacific region. We are seeing a phenomenal growth in demand for our solutions from the Indian enterprises. We have invested $500m so far and the additional investment testifies to the importance we attach to our Indian operations.”
Alan Sedghi, president and CEO, SAP India, says, “Our ’10 goal is to bag 15,000 customers, add 100,000 SAP certified consultants and participate in about 100 e-governance and public sector projects.” The company at present has 1,050 customers and about 50% of its revenue comes from the small and medium enterprises.
In its $1bn commitment to India SAP follows other global IT majors which have planned large investments to boost Indian operations. These include IBM, Microsoft, Dell, Oracle, Cisco, EMC and others. The largest committed outlay so far has been by IBM which said that it will triple investments in the country to $6bn over the next few years.
Out of the committed investment, the company will spend about $40m in boosting R&D activities which it does through SAP Labs India in Bangalore and Gurgaon.
The company also opened a new office in Gurgaon where it will staff 250 people by the end of ’06. By the end of this year, SAP expects 20% of the global R&D, services and support to be done out of India.
Says Henning Kagermann, chairman & CEO, SAP, “India is one of the fastest growing markets in the Asia-Pacific region. We are seeing a phenomenal growth in demand for our solutions from the Indian enterprises. We have invested $500m so far and the additional investment testifies to the importance we attach to our Indian operations.”
Alan Sedghi, president and CEO, SAP India, says, “Our ’10 goal is to bag 15,000 customers, add 100,000 SAP certified consultants and participate in about 100 e-governance and public sector projects.” The company at present has 1,050 customers and about 50% of its revenue comes from the small and medium enterprises.
In its $1bn commitment to India SAP follows other global IT majors which have planned large investments to boost Indian operations. These include IBM, Microsoft, Dell, Oracle, Cisco, EMC and others. The largest committed outlay so far has been by IBM which said that it will triple investments in the country to $6bn over the next few years.
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