German firm unveils $175 million R&D centre plans in Ho Chi Minh City

German firm unveils $175 million R&D centre plans in Ho Chi Minh City

Germany's SAP, the world's largest provider of enterprise application software, on August 7 announced plans to invest more than €150 million (around $175 million) over the next five years into SAP Labs Vietnam, a new research and development (R&D) centre in Ho Chi Minh City.

SAP Labs Vietnam will be situated in a Grade-A building in Saigon ward, Ho Chi Minh City. It will be SAP's second centre in Southeast Asia, behind Singapore.

Vietnam is one of 20 countries worldwide to host an SAP R&D centre, underscoring the company’s long-term commitment to the Asia-Pacific region.

The new R&D centre will play an important role in supporting SAP’s product development, especially in core sectors like sustainable digital supply chains and intelligent enterprise solutions integrated with AI.

“SAP Labs Vietnam is not merely an R&D centre, but also an indispensable catalyst in the digital transformation in one of Asia’s most dynamic tech markets,” Thomas Saueressig, a member of the executive board of SAP SE, said.

Since September 2024, SAP Labs Vietnam has recruited more than 200 employees. The German company expects to expand its workforce to 500 staff by 2027, including 350 new hires in 2025 alone. In addition to seeking senior-level talent, the company is working closely with leading universities in Ho Chi Minh City to nurture young tech talent and open career pathways in advanced fields such as data analytics, AI, and software engineering.

SAP is one of the world's largest providers of enterprise application software, serving more than 400,000 customers in over 180 countries. Renowned for its enterprise resource planning, cloud computing, and AI solutions, SAP plays a key role in helping global businesses operate efficiently and drive digital transformation.

In Vietnam, SAP has been present for more than 15 years, providing technology solutions to major corporations in manufacturing, retail, finance, telecommunications, and energy.

VIR