MULTINATIONAL software corporation SAP on Wednesday (Mar 23) launched SAP Labs Singapore, a S$250 million engineering lab that aims to develop solutions in areas such as digital supply chains, sustainability, machine learning and artificial intelligence (AI).

The lab's launch was supported by the Singapore Economic Development Board (EDB), the company said.

SAP aims to hire 200 digital professionals for the new facility this year, intending to bring its headcount in Singapore to more than 500 such employees by 2025.

SAP plans to recruit graduating students from Singapore universities and institutions of higher learning, with a focus on software engineers and areas including AI, data analytics, cloud and sustainability.

"By investing in a diverse local early talent pool here, SAP Labs Singapore aims to strengthen the engineering core in Singapore, and create more high-skill, high-value career opportunities and paths for Singapore residents," said Manik Saha, managing director of SAP Labs Singapore.

Among the lab's goals is collaboration with local businesses to encourage global expansion and competitiveness, focusing on areas like sustainability and intelligent business networks. This will further the engagement SAP has with small and medium-sized enterprises here, the company added.

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SAP Labs Singapore is the first such facility by the company in South-east Asia, and its 21st globally. Its Labs Network aims to encourage thought leadership globally and in local ecosystems, with labs established in countries like China, South Korea, France and the United States.

SAP picked Singapore as a location due to its proximity to key regional and local customers, the ability to recruit and tap local talent, and Singapore businesses' readiness to enhance their competitiveness digitally, it said.

SAP's Asia-Pacific and Japan leadership is based in the existing SAP regional Asia headquarters in Pasir Panjang, which houses over 1,100 employees.

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