The Hindu Business Line : Sierra to expand China operations

Hyderabad, Nov. 16 IT solutions provider Sierra Atlantic has sewn up plans to expand its Chinese operations based out of Guangzhou province, stepping up headcount and upscaling IT services business substantially.

The company is particularly growing its outsourced product development business in the areas of infrastructure management, networking and embedded software which it added through the acquisition of ArrAy. These complement its enterprise solutions business.

The Chief Executive Officer, Mr Raju Reddy, told Business Line that the company has been among the first Tier-II Indian IT services provider to have Chinese presence with over 200 people and is now in the process of expanding this number to about 500. Most global corporations now have a different business mindset and prefer an approach that combines the advantages of offshored technology delivery centres with testing and thereafter deploying them in a globalised environment. This is met with the advantages of an Indian development centre with Chinese operations, Mr Reddy said.

India plans

“Sierra Atlantic in India too is on expansion mode and growing at about 45 per cent this year ending December 2007. We have invested about $30 million in India expansion and acquisition over the last two years and have completed the phase one of the campus here and the second phase is set for growth,” Mr Reddy said.

The General Manager of Sierra Atlantic’s China operations, Mr Hwapyng Tzeng, said that there is demand for outsourced product development in China as more multinationals set up their facilities there. There is no dearth of local talent as the efforts of the Chinese Government to create manpower are paying off. The province has 60 universities generating over 1,50,000 graduates.

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