SAP Increases Commitment to Powering Innovation in France
WALLDORF — SAP SE (NYSE: SAP) CEO Bill McDermott today announced a series of planned investments for SAP’s operations in France over the next five years to accelerate the company’s digital strategy and support France’s growing position as a hub of innovation.
Plans to incubate more than 50 startups
Will invest €150 million per year in R&D over next five years
Acquires Recast.AI, Paris startup focused on conversational user experience
The move includes:
Opening the second SAP.iO Foundry location in Europe to provide more than 50 startups with mentorship, technology and access to the vibrant SAP ecosystem
Investment by SAP.iO Fund in French startups in the seed or Series A round
Spend by SAP of €150 million in research and development annually over the next five years
Acquisition of Recast.AI to accelerate development of SAP Leonardo Machine Learning capabilities
Signaling its continued support for France, SAP estimates a more than €2 billion spend over five years, intended to accelerate the company’s fast growth in the cloud and advance a technology community focused on machine learning (ML), blockchain, the Internet of Things (IoT) and software as a service (SaaS). The step reflects SAP’s global strategy – fueled by the SAP Leonardo digital innovation system – to help every organization become an intelligent enterprise. SAP will focus on startups that build solutions complementary to the SAP Leonardo system to foster fast collaboration and global scale.
“There is a real sense of economic momentum in France,” Bill McDermott, CEO, SAP, said after a meeting with French President Emmanuel Macron. “President Macron’s bold embrace of the digital world will help France rise to an enviable position as a global innovation leader. 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.”
For the first time, the incubation and innovation activities SAP undertakes in France include investment in startups with special focus on global impact, such as sustainability and climate change, where France is taking a leadership role. This new focus on social impact will complement the SAP.iO program’s strategic investments, which align with core businesses and technologies of SAP. The startups, led by dynamic entrepreneurs, play a critical role in extending SAP’s footprint and creating high-value use cases for customers.
Recast.AI Acquisition to Accelerate Natural Language Processing Capabilities
Recast.AI provides a development environment – software, technology and applications – that uses natural language, for example, chatbots. Recast.AI’s technology matches the requirements of conversational chatbots and allows high-performance natural language processing that supports more than 20 languages.
The acquisition will help SAP enhance the natural language processing capabilities in SAP solutions to help customers enjoy an improved user experience. SAP aims to simplify complex business interactions and processes by employing conversational user experience technology. The intention is to have applications speak to SAP software users in natural language. SAP created the SAP CoPilot digital assistant, a Web application, and an in-house platform to build conversational applications. SAP intends to use this platform across a wide breadth of its portfolio.
Recast.AI was founded in 2015, emerging from French coding school “42,” and is currently located at the incubator “Station F.” The company has grown quickly and today serves international customers in France, including large banks and insurance and tech companies. Recast.AI provides a modern ML-based technical architecture and owns proprietary algorithms that understand natural language. Its team of highly talented data scientists and engineers will strengthen ML development at SAP.
SAP is acquiring Recast.AI through its direct French subsidiary SAP France Holding, a limited liability company. Both companies agreed not to disclose details of the transaction.
SAP France celebrated its 30-year anniversary in 2017. Thousands of organizations in France – public and private – rely on SAP solutions and services to help them run at their best. In addition to hosting two of the 19 SAP Labs of SAP Labs Network, the company opened a flagship SAP Leonardo Center location in Paris last year. The location harnesses technologies such as AI and ML to deliver greater value to customers across the region. Innovation is core to operations in France. It includes plans to develop the France Innovation hub with the opening of Sports Center, an SAP Future Cities initiative and the extension of the SAP Leonardo Center location, which has already hosted more than 30,000 visitors since its opening.
Visit the SAP News Center. Follow SAP on Twitter at @sapnews.
As market leader in enterprise application software, SAP (NYSE: SAP) helps companies of all sizes and industries run better. From back office to boardroom, warehouse to storefront, desktop to mobile device – SAP empowers people and organizations to work together more efficiently and use business insight more effectively to stay ahead of the competition. SAP applications and services enable more than 365,000 business and public sector customers to operate profitably, adapt continuously, and grow sustainably. For more information, visit www.sap.com.
Note to editors:
To preview and download broadcast-standard stock footage and press photos digitally, please visit www.sap.com/photos. On this platform, you can find high resolution material for your media channels. To view video stories on diverse topics, visit www.sap-tv.com. From this site, you can embed videos into your own Web pages, share video via email links, and subscribe to RSS feeds from SAP TV.