The Hindu Business Line : `For AMD, India is regional hub'

Speaking to Business Line, Mr Sanjeev Keskar, Country Manager, AMD Far East Ltd, narrates his experience in building the company in India. Excerpts from the interview:

The market for personal computer (PCs) clocked a robust growth in 2003. How has AMD benefited?

The year 2003 has been very successful for AMD in India as we grew by 100 per cent over 2002.

When we started in India in the first quarter of 2001, we didn't have any OEMs (original equipment manufacturers) or a strong distribution.

Our focus in the initial years has been on building dealer networks and OEMs. Today, we have a sound distribution network and also engagements with companies such as HP-Compaq, IBM, HCL Infosystems, Acer, Zenith and Wipro.

In 2003, we grew faster than the market, as was enunciated by studies from International Data Corporation (IDC) and Manufacturers Association for Information Technology (MAIT).

We've been targeting the home and SOHO (small office-home office) segment so far and today we have a market share of 25 per cent in this segment.

How did you manage to achieve this growth and win more OEMs against a severe competition?

We have ensured that our partners are successful and that engaging with AMD is not cannibalising their other businesses.

In the home and SOHO segment, assemblers account for as much as 80 per cent. We have helped branded PC makers create a new price-point without having to compromise on the performance of the machines.

Once some companies started selling AMD machines, others also followed suit because of the obvious peer pressure.

At the same time, we also focused on our channel partners. In India, a lot of sales to home and SOHO segments take place through resellers.

We ensured that our channels get better margins in selling AMD machines.

What are your plans for this year?

The Indian PC market is expected to explode over the next 12 months.

The recent decision by the government to cut excise duty on PCs to 8 per cent would give the right impetus for the sector.

This year we will start focusing on the corporate and government sectors. Our plan is to launch a great deal of communication efforts, targeting the Chief Information Officers (CIOs) in large companies.

We will organise CIO meets in various places on our own and along with our partners. We will also do one-on-one calls with key officials in corporates.

Recently, we appointed two sales heads dedicated for these verticals. For AMD, India is a focus region in this part of the world.