SAP CEO sees growing demand for AI services amid DeepSeek model's success

Published 28/01/2025, 12:00
© Reuters.

Investing.com -- SAP, the German multinational software corporation, shared its positive outlook for the demand of their artificial intelligence (AI) services on Tuesday. This follows the successful demonstration of the energy-efficient DeepSeek model from China.

According to Reuters, SAP CEO Christian Klein discussed with journalists the importance of AI infrastructure in running general AI models. He said,

"Yesterday ... (DeepSeek) showed that AI infrastructure will scale, it will become a commodity. Without this infrastructure, you cannot run the gen (general) AI models."

Klein also noted the increasing number of players entering the AI market. He stated that the market won't be dominated by a single large language model, which bodes well for SAP.

"Yesterday was a good day for SAP," he added, indicating the potential for growth in demand for SAP's AI services.

However, the success of the DeepSeek model has led to some jitters in the technology stock market. Many technology stocks have seen a decline after the Chinese discount AI model gained popularity, causing some investors to question the profitability of AI and related investments.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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