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European tech giant lost 30 billion euros in one day

The largest European software development company — SAP — lost about 30 billion euros in a day after the publication of negative reports for the third quarter of 2020. Writes about this Financial Times.

The share price of the German tech giant on Monday, October 26, plunged more than 20 percent to below $100. SAP's market capitalization fell from 147 billion euros to 118 billion. It was SAP's worst trading day since the 2008 global financial crisis.

The company said that due to the coronavirus, corporate customers are spending less money on its software in 2020. SAP has lowered the forecast for revenue and profit for the current year and abandoned the targets for 2023. The company acknowledged that it will take longer than expected to recover from the pandemic.

To overcome the crisis in the industry, the company announced its intention to focus entirely on cloud computing and compete with companies such as Oracle and Salesforce.

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