NetApp to offer low-priced solutions mid-sized businesses

Abhishek Law
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Mr Surajit Sen, Director- Channels, Marketing & Alliances, NetApp India (file
Mr Surajit Sen, Director- Channels, Marketing & Alliances, NetApp India (file photo).

In a bid to grab higher market share, Silicon Valley (California)-headquartered data storage and management company, NetApp, will offer low-priced solutions designed specifically for mid-sized business (MSB) units in the country.

The company has lowered product prices to woo smaller customers.

“We have lowered our product prices. But more importantly we have added more value to the same product. The product will have all the relevant software for MSBs,” Mr Surajit Sen, Director – Channels, Marketing & Alliances, NetApp India, told Business Line.

A little over a fifth of the company's revenues in India (21 per cent) are from MSBs while the remaining are from large enterprises. NetApp caters to 600 such units in India. It is currently offering data storage and management services for MSBs at a lowered price of Rs 4.5 lakh.

Focus will be on catering to MSBs across different verticals of healthcare, media and manufacturing, Mr Sen said.

NetApp is a NASDAQ-listed company and had clocked global revenues of over $5 billion (Rs 25,000 crore) last year. It competes with Hitachi, IBM and Hewlett Packard (HP) in the data storage segment. NetApp India – the Indian arm of the company – has a 13 per cent market share in the $600-million (Rs 3,000 crore) data storage and management segment of the country.

Global Slowdown

Asked if the global slowdown was one of the reasons for NetApps to focus on MSBs, Mr Sen said it was a logical for large enterprises would slow down on investments in the current environment.

He, however, did not specify whether the slowdown had led to the company's re-worked focus on mid-sized enterprises.

According to him, most mid-sized businesses in India have been using legacy versions of Microsoft Windows.

This provides scope for software upgradation for the MSBs thereby providing growth opportunities for NetApps, he added.

(This article was published on November 29, 2011)
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