SAP Plans EUR2 Billion Investment in France

SAP SE (SAP.XE) plans to invest more than 2 billion euros ($2.45 billion) in France over the next five years to accelerate its digital strategy and support innovation in the country, the company said on Monday.

The provider of business software said the investments will include the opening of its second incubator in Europe, which will nurture more than 50 technology startups, as well as an investment of EUR150 million a year in research and development.

SAP said the investment will help it develop products based on technology such as machine learning, blockchain and the Internet of Things.

"We see immense potential in the entrepreneurial spirit of France to disrupt business models, create modern jobs and unleash exciting new opportunities that help the world run better," SAP's Chief Executive Bill McDermott said after a meeting with French President Emmanuel Macron.

Meanwhile, SAP said it is buying startup Recast.AI through its French subsidiary SAP France Holding for an undisclosed amount. Recast.Ai was founded in 2015 and focuses on developing software and applications that use natural language to speak with users, SAP said. Its said the acquisition will help SAP simplify complex business interactions and improve customer experience.

Write to Marc Navarro Gonzalez at marc.navarrogonzalez@dowjones.com

(END) Dow Jones Newswires

January 23, 2018 02:30 ET (07:30 GMT)