SAP pumps $24 m into Indian lab

BANGALORE: Business software solutions major, SAP AG has announced plans to invest 20 million euros ($24 million) in SAP Labs, its global development hub in Bangalore, the second largest development center for SAP outside Waldrof, Germany. The company also plans to increase its headcount to 3000 in Bangalore by the end of 2006. It currently employs 1,100 in Bangalore and over 5,000 in Waldrof. Palo Alto and Tel Aviv are the other global development centers of the company.

Europe's largest software company, SAP AG has so far invested close to 20 million euros since 2002 in its software campus at Whitefield, in the outskirts of Bangalore. The latest announcement is the third and last phase of the proposed expansion of the company in the India.

The company's Chairman and CEO, Henning Kagermann, said, "India has taken its place as a major force from a regional and a global perspective, SAP's performance in India has been most successful and it is clearly among the top three emerging markets globally for SAP. India has been at the forefront of setting benchmarks in the industry with world-class IT development and an impressive talent pool."

After operating out of ITPL, SAP Labs in India moved to its software campus in Whitefield with about 750 employees. Last year it added 350, taking the toll to 1,100. This year, it plans to increase its headcount by 400 to reach 1,500 by the end of 2004. Subsequently, it plans to double its headcount in the next two years.