SAP plans to lay off 3,000 jobs
- January 26, 2023
- 0
German company SAP, the world’s largest software maker, plans to lay off three thousand people, or 2.5% of its global network. This was reported by Ukrinform with reference
German company SAP, the world’s largest software maker, plans to lay off three thousand people, or 2.5% of its global network.
This was reported by Ukrinform with reference to Reuters.
It is stated that the company is trying to cut costs and focus on the cloud business.
In Germany, where SAP is headquartered, the company will lay off a little over 200 people. The layoffs came after SAP reported a 30% increase in revenue in its cloud business in the fourth quarter, aided by strong demand for its software.
“We expect only a moderate impact on cost savings in 2023 and a more significant impact in 2024, cost savings of around 300 to 350 million euros by 2024,” CFO Luka Mučić told reporters.
SAP has also initiated the process of selling its stake in Qualtrics. It bought the company for $8 billion in 2018 and went public in 2021 for about $21 billion.
Today, survey software vendor Qualtrics has a market cap of $7 billion and SAP owns 71% of the stake.
SAP is the latest technology company to lay off after giants like Google, Microsoft and Amazon announced thousands of layoffs to cut costs as they prepare for tougher economic conditions.
Source: Ukrinform
I’m Maurice Knox, a professional news writer with a focus on science. I work for Div Bracket. My articles cover everything from the latest scientific breakthroughs to advances in technology and medicine. I have a passion for understanding the world around us and helping people stay informed about important developments in science and beyond.
