SAP

SAP board member Thomas Saueressig urged ahead of the Digital Summit that Germany should invest more in AI, particularly industrial and applied AI, to maintain competitiveness despite high production costs. He stressed the importance of sovereign cloud offerings with data, technology, operational and legal sovereignty and said SAP can already provide sovereign solutions; the state Delos‑Staatscloud is intended to make Microsoft technology usable within a German operational structure. Sovereignty requires higher costs (SAP expects roughly a 15 percent premium) and not full autarky; moreover, politics must act as an anchor customer to help companies scale and promote retraining and upskilling measures for employees. » More on faz.net

SAP board member Thomas Saueressig urges stronger public and private investment in AI to offset high production costs in Germany and create long-term jobs. He emphasizes the importance of sovereign cloud offerings and says fully sovereign operation in Germany is more expensive (around a 15 percent premium) and should be achieved not by isolation but through balanced cooperation. SAP is betting on industrial and applied AI rather than copying American base models and recommends choosing the right model for each task. Saueressig expects AI costs will need to be refinanced and sees retraining and state support as ways to make the transition socially acceptable. » More on faz.net

The SAP share largely withstood the tech sell-off and closed at €208.90, while competitors like Alphabet and ServiceNow lost significantly. SAP rents computing power on AWS, Google and Microsoft instead of shouldering large AI investments itself; cloud revenues rose 26 percent in the third quarter and the cloud order backlog climbed 28 percent to €24.14 billion. Risks remain: the cloud gross margin fell to 74.3 percent, SAP expects slightly slowing growth in the order backlog, and there is concern that AI could displace traditional enterprise software. Technically, the report cites resistance at €216.65 and support at €203.20; a sustained break of the support would call the recent recovery into question. » More on deraktionaer.de