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Thursday, 28 November 2013 13:41

Europe does not need a technology champion

Written by Nick Farrell



SAP says US is our friend

Germany's biggest tech company, SAP, has rejected calls by domestic politicians for European IT firms to band together to better compete against US tech groups in the wake of spying allegations. A few German politicians have suggested an IT industry equivalent to European jetmaker Airbus following allegations about US spying on Europeans, including the monitoring of German Chancellor Angela Merkel's mobile phone.

SAP co-Chief Executive Jim Hagemann Snabe said that a merger between some European IT companies with the aim of drawing a line between them and the rest of the global market, does not make any sense. Talking to Reuters Snabe said it would die from the outset and less competition, less innovation and less growth in a globally-focused sector.

German politicians in favour of IT companies teaming up, such as Merkel think it would make Europe less dependent on US technology and data groups including Microsoft, Google and Cisco.
Snabe said that some of SAP's US rivals have said they were expecting setbacks from the spying allegations, SAP said the current debate around privacy in Europe is helping its business.

Nick Farrell

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