SAP SE (NYSE:SAP) shares rose 2% after the software giant announced a strategic partnership with OpenAI to deliver a sovereign AI solution for Germany’s public sector.
The initiative, named “OpenAI for Germany,” will leverage SAP’s enterprise software capabilities alongside OpenAI’s artificial intelligence technology to serve government institutions. The service will be powered by SAP subsidiary Delos Cloud, running on Microsoft Azure infrastructure, with a planned rollout scheduled for 2026.
The project is designed to allow millions of public sector employees to utilize AI while adhering to strict data sovereignty, security, and legal requirements. SAP intends to expand Delos Cloud infrastructure in Germany to 4,000 GPUs dedicated to AI workloads, with the potential for further investment depending on uptake.
“Applied AI is what truly creates value. As a Business AI company with decades of experience serving public sector organizations, we believe OpenAI for Germany represents a huge step forward,” said Christian Klein, CEO of SAP SE.
OpenAI CEO Sam Altman added that the partnership will “extend this potential to the public sector—helping to improve services and ensuring that the benefits of AI are shared across the country.”
The initiative aligns with Germany’s national AI strategy, which aims to generate up to 10% of GDP through AI-driven value creation by 2030. SAP has committed over €20 billion to strengthen Germany’s digital sovereignty.
The collaboration focuses on integrating AI into daily workflows for public employees, enhancing processes such as records management, administrative data analysis, and other government operations to improve efficiency and service delivery.
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