In a significant boost to India’s digital economy, SAP Labs India has inaugurated its second campus in Bengaluru, an ambitious project involving an investment of €194 million (around ₹1,700 crore). The facility, which spans 41 acres, is set to emerge as a major hub for artificial intelligence (AI) and digital innovation, with 15,000 new jobs expected to be created over the next few years.

The announcement came during a high-profile inauguration event attended by Union Minister for Railways, Communications, Electronics & IT, Ashwini Vaishnaw, who applauded the company’s commitment and emphasized India's strong positioning in the global digital transformation journey.

A new epicentre for AI talent

The newly launched SAP campus is designed to serve as a center of excellence for AI innovators, attracting talent not only from across India but also from around the globe. The €194 million investment reaffirms SAP’s long-standing commitment to India as one of its most critical markets and innovation centers.

The campus is expected to facilitate deep tech research, focusing on artificial intelligence, cloud computing, machine learning, and advanced data analytics—technologies central to Industry 4.0 and the Digital India vision.

According to SAP executives, the goal of the new facility is to "foster innovation at scale, support clients globally, and create a sustainable, inclusive, and AI-driven future."

India's resilience and growth appreciated

While addressing the gathering, Minister Ashwini Vaishnaw stated, “India was fortunate to have a steady growth in this transformative period. As the world faced uncertainty, India remained a stable and reliable partner in global tech and manufacturing value chains.”

He further noted that investments like SAP’s new campus highlight the confidence that global enterprises have in India’s governance, talent, and policy framework. The minister underlined that India's digital economy has grown rapidly, with a future anchored in AI, semiconductors, cyber security, and cloud technology.

Employment generation and skills ecosystem

One of the most significant outcomes of this investment is the creation of 15,000 jobs, particularly in high-value roles such as AI research, software engineering, product design, and data science. These jobs are expected to empower the youth, especially engineering and IT graduates, with exposure to cutting-edge tools and technologies.

In alignment with this expansion, SAP has also pledged to collaborate with Indian universities, skilling institutions, and startup ecosystems, ensuring that the talent pipeline remains robust, diverse, and future-ready.

Sustainability and smart infrastructure

The Bengaluru campus is not just technologically advanced—it is also environmentally conscious. SAP has confirmed that the new premises are designed around green building standards, including:

• Net zero energy and water goals

• Efficient use of renewable energy sources

• Smart cooling and lighting systems

• A design that promotes accessibility and wellness for employees

With these features, the facility is expected to achieve platinum-level green certifications, setting a benchmark for corporate infrastructure in the country.

SAP’s journey in India

SAP has been present in India since 1998 and has steadily expanded its footprint. Its Indian operations are among the largest outside Germany, playing a key role in product development, customer support, and global delivery services.

This new facility, according to SAP Labs India MD & SVP Sindhu Gangadharan, “symbolizes our vision for the next decade—where India will play a leadership role in co-innovating AI solutions for the world.”

SAP currently supports over 13,000 customers across India, including several public sector undertakings, MSMEs, and digital-first startups.

Aligning with India’s digital and industrial ambitions

The launch of this AI hub is strategically aligned with the Indian government’s broader goals:

• Digital India

• Make in India

• Startup India

• AI for All initiative

It also complements ongoing national missions in semiconductors, electronics manufacturing, and deep-tech R&D. By locating such a large innovation center in Bengaluru—the Silicon Valley of India—SAP further deepens India's global relevance in technology leadership.

A vote of confidence amid global headwinds

In the context of global economic headwinds and technology decoupling, such a massive investment into India’s innovation economy is seen as a vote of confidence in India’s policy consistency, economic resilience, and democratic stability.

As global tech giants re-evaluate their supply chains and R&D hubs, India is emerging as a key destination for not just manufacturing, but also for frontier technology research.

Conclusion: A landmark moment for India's tech sector

The inauguration of SAP’s €194 million AI campus marks a turning point in India's AI and innovation journey. It’s not just about the number of jobs—it’s about the kind of jobs, the kind of technology, and the kind of future India is building.

With global partners like SAP investing in long-term capacity, and with strong support from the government, India is well on track to become a leading hub for ethical, inclusive, and scalable AI development.

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