SAP is investing another S$12 million in Singapore, as it looks to further develop artificial intelligence (AI) applications in key industries.
Supported by Digital Industry Singapore (DISG), the investment will focus on industry-specific AI solutions, initially targeting advanced manufacturing, financial services, and travel and logistics.
The investment will be part of SAP’s Digital Innovation Accelerator and will bring together the German company’s in-house business architects, data scientists, and developers to collaborate with industry leaders on creating tailored AI solutions.
According to SAP Singapore managing director Eileen Chua, the investment is a continuation of Singapore’s efforts to “future-proof” its economy through digital transformation initiatives.
“Co-innovation initiatives like our Digital Innovation Accelerator enable SAP and our customers to rapidly scale digital transformation by tapping into our global expertise and ecosystems,” she said.
The programme will prioritise AI use cases that address industry-specific challenges, with a strong focus on sustainability. Solutions are expected to include AI-driven improvements in environmental monitoring, supply chain optimisation, and sustainability reporting.
Since 2019, SAP has invested nearly S$300 million in the city-state, positioning Singapore as a hub for AI and digital innovation in the Asia-Pacific region.
The AI boost marks the latest in SAP’s growing commitment to deep technology development in the city-state, following the establishment of Southeast Asia’s first SAP Labs in 2022 and Asia’s first innovation center for experience management in 2023.
The investment comes at a time when Singapore has refreshed its Smart Nation masterplan with greater emphasis to train scientists and students with AI expertise.
Smart Nation 2.0 was launched earlier this week by Prime Minister Lawrence Wong, who said AI is an important tool for the next generation of workers. One new initiative is to allow students to tinker with technology incorporating AI to help them understand the nuances, limitations and abilities of AI tools.
The Digital Innovation Accelerator, first launched by SAP in 2019, will have industry leaders work with a dedicated team of in-house SAP business architects, data experts, and developers to develop unique AI use cases tailored for their businesses.
Precision plastics manufacturer Sunningdale Tech is already working with the Accelerator to improve its processes.
Sunningdale chief executive Khoo Boo Hor said AI-driven solutions will enhance production forecasts, reduce overproduction, and optimise resource usage, such as cutting down on the waste of corrugated boxes.
The Accelerator team will have an additional focus on sustainability, aiming to create positive climate action outcomes through the application of AI and SAP’s sustainability solutions for use cases. These include improved environmental monitoring, reporting, and optimised supply chains.
The new investment is expected to foster greater digital innovation in the AI ecosystem. Philbert Gomez, executive director and head of DISG, stressed the critical role of AI in enhancing the competitiveness of Singaporean businesses.
“We are delighted to partner with SAP in the expansion of its Digital Innovation Accelerator, which will work with industry leaders to develop, prototype, and scale AI solutions that advance their sustainability goals from Singapore,” he added.
