SAP Turns Attention to Middle East, Africa as Debt Crisis Looms in Europe

SAP AG is trying to help the emerging markets that are working to upgrade communications and computing systems, by selling software to their governments. The reason behind this is the prediction of "struggle" in southern Europe due to the sovereign debt crisis.

Head of operations in Europe, the Middle East and Africa for Walldorf, Germany-based SAP, Franck Cohen said, "There's a lot of appetite from Africa and especially the Middle East, northern Africa region, regarding our public sector solutions," Businessweek reports.

In the current quarter, SAP's software license sales have outnumbered Oracle Corp. in the region. At present SAP is looking for new markets because in southern Europe information technology investments are hampered by huge amount of public debt.

As per researcher IDC, government's investments on information technology in Middle East and Africa that excludes telecommunications will be rising by approximately 80% to $10.5 billion in 2015 as compared to 2010.

Mukesh Chulani, who is senior regional analyst of IDC's Government Insights program in Istanbul, mentioned in a telephonic interview that, "There's definitely a lot of action," reported Businessweek.

SAP has a plan to double the number of partners and consultants in Northern Africa and Middle East in coming 12 to 18 months.