SAP winds down Russia activities further, ending cloud services -Breaking
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© Reuters. FILEPHOTO: Man walks by a SAP logo, during company’s annual general meetings in Mannheim, Germany on May 15, 2019. REUTERS/Ralph OrlowskiFRANKFURT, (Reuters) – German software company SAP announced Thursday that it will shut down Russian cloud operations. This follows earlier in the month when Russia sales were stopped.
“Russia’s ongoing unjustified war is a heartbreaking display of brutality and a violation of the fundamental principle of freedom that we share with Ukraine,” the company said on its website.
The company stated that Russia’s customers would still be able use its products, as certain organisations have installed software they can maintain.
As Chief Executive Christian Klein, last week’s newspaper interview revealed, the withdrawal represents a shift in direction. He defended SAP’s decision to continue providing services to Russian industries such as healthcare, energy, and trade.
This move comes after Ukraine appealed earlier in the month to Microsoft (NASDAQ:), and SAP for cloud computing and giant software companies, including Microsoft (NASDAQ;) to end Russia’s invasion.
Philip Carter, an analyst at IDC, stated that Russian companies are hesitant to completely rely on cloud services for information technology. This could limit the impact of SAP’s decision.
SAP announced Thursday that it will provide its technology to multinational organizations in Ukraine for humanitarian assistance.
Deutsche Telekom, a German telecoms company, stated on Twitter (NYSE 🙂 that it would be closing down its Russian activities. These activities mainly relate to the Saint Petersburg-based software development center.
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