To expand sales, improve R&D facilities, develop market
New Delhi, June 20
EMC Corporation, the world's largest maker of storage computers and software, plans to double its investment in India to $500 million by 2010. The company said that the investment would be used to develop the information management market, expand sales and increase R&D facilities in India.
The company had earlier planned to invest over $250 million by 2007.
Research will account for most of the spending in India, where the company expects to double its workforce in two years to 3,200 people, the Chairman, President and CEO of EMC Corp, Mr Joe Tucci said on Tuesday. While low wages, which are a sixth of that in the US, have played a role in dictating investment flows, India's primary draw is its quality of technology professionals, he said.
"We are not in India because it is low-cost. Yes, that is a great benefit, but we are in India because you have knowledgeable people. There are countries lower in costs than India, but we are making investments here," Mr Tucci said. EMC currently has 800 employees and an equal number of contract workers.
"India is one of the growing markets for EMC in the Asia Pacific and Japan region. Our India business is growing at more than 20 per cent CAGR," Mr Tucci added.
EMC said India had rapidly become one of the most strategic markets for its expanding global business. The company also said it would set up a centre of excellence in e-governance to assist the central and various State governments with their information management and storage requirements for implementing e-governance programmes. EMC will also be expanding its presence to over 60 cities by 2008 and will also be setting up over 100 academies by 2007.
EMC, which began its India operations in 2000, currently has a software development and support centre in the country's technology hub of Bangalore.