Breaking News: SAP plans to layoff 3,000 employees and plans to sell Qualtrics


SAP SE plans to layoff 3,000 employees worldwide as part of the global restructuring currently underway in the tech sector. SAP is also exploring a sale of it’s Qualtrics division which it acquired 4 years ago. Unlike most tech companies, especially the FANG companies, SAP did not expand extensively during the pandemic.

SAP disclosed alongside its fourth-quarter earnings that it intended to begin a “targeted restructuring program in selected areas of the company” that would affect about 2.5% of its employee base. Commenting in the earnings call after the release of the quarter’s earnings, Chief Executive Christian Klein said

“While we know these changes are necessary, it is never easy to make decisions that affect our colleagues in this way”

SAP explains that the restructuring is meant to “further focus on strategic growth areas by aligning our operating models and go-to-market approach with our accelerated cloud transformation.”

With respect to Qualtrics sale, Mr. Klein indicated

“SAP believes that this potential transaction could unlock significant value for both companies”

Shares of Qualtrics were up nearly 30% in midday trading Thursday and were trading at $15. Shares of SAP were off about 2% and were trading at $114 on the New York Stock Exchange (NYSE).

30 day stock performance of SAP and Qualtrics


Layoff statistics amongst tech companies

  • Amazon – 18,000
  • Google – 12,000
  • Meta (FaceBook) – 11,000
  • Microsoft – 10,000
  • Salesforce – 8,000
  • Cisco 4,100
  • IBM – 3,900
  • SAP – 3,000
  • Crypto.com 2,000


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