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NEW DELHI: Business software solutions provider SAP will invest $ one 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.”
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 per cent 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, SAP Indian sub continent president and CEO, 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.”
The company plans to have 22 training centers across India to be operational by end of 2006.
Hans-Peter Klaey, President and CEO of SAP Asia Pacific and corporate office of SAP Group, stated: “India is one the fastest growing country in the APAC region. In H1, 2006, we added 800 new customers, out of which 200 were from India. We have crossed the 1000th customer mark in India and Godrej Industries is our 1000th customer.”
Today SAP has over 1050 Indian customers ranging across industry segments like consumer products, retail, BFSI, textiles, government, etc.
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