Dell bets big on India

Leading computer manufacturer Dell plans to invest more in India to expand its operations besides hiring more people in the next one year.

The second largest PC-maker globally also hopes to cross the $2 billion annual revenue mark in India soon.

“India today offers a fantastic opportunity to use technology for a wide range of applications. We see a tremendous opportunity for growth of the PC segment in this country…$2 billion is the milestone that our India team is now working on,” Dell CEO Michael Dell told journalists at an event organised by the Federation of Indian Chambers of Commerce and Industry here on Tuesday.

Dell already has around 23,000 employees in India and looking at adding a ‘few thousand' more people in its Indian workforce, which is now the second largest employee base outside the U.S. Dell's business activities in the country include research and development and manufacturing in Sriperumbudur near Chennai (Tamil Nadu).

Three focus areas

Pointing out that the company sees good growth for its business in India as the PC penetration level hovers around just 20-30 PCs per 1,000 people, Mr. Dell said in India, the company had adopted three focus areas — growing its India presence in the hardware business; entering into education and healthcare segment for the production of customised products and services; and managing and servicing offerings sold in India.

Dell saw its revenues in India grew by 37 per cent last year, while its consumer business grew by 41 per cent. Dell's small and medium businesses unit and public sector vertical grew by 52 per cent and 41 per cent, respectively. Speaking at the event, Prime Minister's Adviser on Public Information Infrastructure and Innovation Sam Pitroda said India was starting to build four IT data centres in Poona, Hyderabad, Bhubaneswar and Delhi, while the government had agreed to set up a data centre in each State capital. This initiative would help in providing IT solutions for realising social and economic welfare gains for the people.

“Innovation holds the key to India's ability to compete and solve problems for people at the bottom of the pyramid. With that in view, the Centre has set up a National Innovation Council. We have decided to request the State chief ministers to create State-level innovation councils and are asking Central ministries to constitute industry-related innovation councils,” Mr Pitroda added.