EMC’s $ 1.5 b investment plan may signal return to good times in India –based tech sector
By Anand Parthasarathy
Global leader in jumbo-sized information storage infrastructure, EMC, has decided to pump $ 1.5 billion into its India operation, over the next five years, even while inaugurating a spanking new Bangalore home for its India- based development work, the largest such centre outside of the US. Wednesday’s announcement makes for the biggest gloom-busting action in India’s silicon city, possibly signalling that the infotech business is past the pits and on a straight and narrow course to recovery by year end.
As the Times of India astutely notes, EMC’s CFO David Goulden, didn’t come alone to do the honours for the new Centre of Excellence, along with Karnataka State Chief Minister B.S Yeddyurappa: He brought along Chief Information Officer Sanjay Mirchandani, Human Resources head Jack Mollen, Asia-Pac-Japan Vice President (HR) Gary Baty and President Steve Leonard and Globalization VP John Herrera – that’s one power packed exec jet. Not since Former ARM Chairman, Sir Robin Saxby, brought along his entire director –board to show them what his India team was doing, prior to holding their board meeting in Bangalore, three years ago, has the city seen such a concentration of high power suits from one corporation. Gartner estimates EMC has a quarter share of the $ 200m plus storage business in India. The company known for its gargantuan storage solutions of a peta byte or more, also vigorously pushes its Lilliputian line of Iomega external drives of a GB or less in this country… a case of stooping to conquer!
EMC’s confidence booster shot came on a day when another IT biggie on Bangalore’s Outer Ring Road – Cisco – also unveiled plans to add half as much again to its 1 million plus square foot development campus.
While NASSCOM, has suggested a modest growth rate of 4 to 7 percent for the India-based BPO industry in 2009-10, the government’s Electronics and Computer Software Export Promotion Council (ECS ) is more macho and sees double these numbers achieved.
The signals blowin’ in the wind, along the IT corridors of India’s silicon city, seem to agree, IT’s time to get back to business in Bangalore
(Sep 10 2009 )
Read what Steve Hamm, author of the definitive chronicle of Wipro, "Bangalore Tiger" has to say in Business Week has to say about what EMC is doing in India: