Behind SAP and OpenAI's Sovereign AI Launch in Germany

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Christian Klein, CEO of SAP SE
SAP, OpenAI and Microsoft are partnering on a sovereign AI initiative for Germany’s public sector, supported by Delos Cloud and Azure infrastructure

SAP has partnered with OpenAI to introduce OpenAI for Germany, a new initiative focused on integrating advanced AI into the nation’s public sector with an emphasis on sovereignty, security, and regulatory compliance.

Backed by SAP’s subsidiary Delos Cloud and running on Microsoft Azure, the partnership is designed to give millions of employees secure and responsible access to cutting-edge AI tools.

“Applied AI is what truly creates value,” says Christian Klein, CEO of SAP.

“Business AI company with decades of experience serving public sector organisations, we believe OpenAI for Germany represents a huge step forward.

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“We’re bringing together SAP Sovereign Cloud expertise with OpenAI’s leading AI technology to pave the way for AI solutions that are built in Germany, for Germany.”

Extending AI to the public sector

The initiative is set to launch in 2026, targeting German governments, public administrations and research institutions.

Its goal is to streamline daily operations by integrating AI agents into workflows, enabling public sector employees to devote more time to serving citizens rather than handling administrative tasks.

Sam Altman, CEO of OpenAI, says: “Germany has long been a pioneer in engineering and technology, so it’s no surprise that millions of Germans already use ChatGPT to make their lives easier, drive scientific breakthroughs and build new businesses.

Sam Altman, CEO of OpenAI | Credit: Getty

“With OpenAI for Germany, we’ll work with local partners to extend this potential to the public sector – helping to improve services and ensuring that the benefits of AI are shared across the country and doing so in line with German values of trust and safety.”

Azure and Delos Cloud supporting sovereignty

SAP plans to leverage Delos Cloud, its sovereign cloud subsidiary, as the backbone of the new AI service.

Running on Microsoft Azure technology, the platform will unite local oversight with the benefits of scalable, enterprise-grade infrastructure.

“With this partnership we are looking forward to bringing more AI capabilities to Germany’s public sector,” says Satya Nadella, Chairman and CEO of Microsoft.

Satya Nadella, Chairman & CEO at Microsoft

“Azure as the platform for Delos Cloud will power this, helping to ensure AI is deployed with the highest standards of sovereignty, data privacy, regulatory compliance and operational resilience – empowering public institutions to adopt AI confidently and responsibly.”

To meet rising compute demands, SAP intends to scale Delos Cloud’s infrastructure to 4,000 GPUs dedicated to AI workloads.

The company has also indicated plans for further investment to bolster Germany’s AI ecosystem, with potential expansion across SAP-owned facilities as well as partnerships with co-location providers and industry collaborators.

Building Germany’s AI future

The collaboration is positioned as a cornerstone for developing tailored public sector applications, ranging from AI agents that manage records to tools that analyse administrative data and boost efficiency.

These solutions are built to meet Germany’s rigorous standards for data sovereignty and legal compliance.

The project aligns closely with the German Federal Government’s High-Tech Agenda, which sets an ambition for AI-driven value creation to reach up to 10% of GDP by 2030.

By embedding sovereign AI directly into public services, the initiative reinforces Germany’s strategy to remain at the forefront of applied AI globally.

It also connects to the “Made for Germany” programme, a coalition of 61 companies and global investors that has pledged more than €631bn (US$739.43bn) towards accelerating national growth and modernisation efforts.

In addition, SAP has separately committed more than €20bn (US$23.43bn) to strengthen digital sovereignty in Germany, underlining its alignment with the country’s long-term priorities.

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Sovereign AI in practice

By bringing together SAP’s strength in enterprise applications, OpenAI’s advanced AI technology and Microsoft’s cloud infrastructure, OpenAI for Germany is positioned as a sovereign solution designed specifically for public institutions.

The initiative underscores how AI can be applied responsibly at scale, ensuring sensitive data is protected while meeting strict regulatory standards.

Scheduled to launch in 2026, OpenAI for Germany aims to equip the public sector with both the advanced compute resources and the governance frameworks necessary to leverage AI for greater efficiency, innovation, and national competitiveness.

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